Tuesday, 10 June 2025

City AM: Reeves should double down on soft power in Spending Review, not cut BBC spending

Story from City AM:

We live in a time of unprecedented volatility and instability. Industries are being rendered obsolete overnight and there’s no such thing as a job for life anymore. Against this backdrop, there has never been a greater need to use the levers of soft power to cement our place in the world order. And it’s the Foreign, Commonwealth and Development Office that should be at the forefront of pushing our soft power agenda through economic diplomacy.

But the department has historically been too risk averse, preferring to maintain the status quo instead of adapting to a changing world and shaking things up. The same can be said for other parts of Whitehall. Too often the civil service sees issues in silos. Every government department should be thinking how they can use soft power so we don’t get left behind.

We are world leaders in football and music but we don’t do enough to leverage that. Universal Music and Manchester United should be at the same table when we are looking to extend our influence across the globe.

The Chinese, Qataris and Saudis have been streets ahead smartly pushing their agenda whilst pockets of the West have been asleep at the wheel. The Qataris have a British property portfolio of at least £10bn. And their TV channel, Al Jazeera, has a huge global footprint and is widely respected.

Similarly, look at what the Saudis have done in the sporting arena with boxing, football and golf. And through the Belt and Road Initiative, the Chinese have invested in nearly 150 countries often in key infrastructure projects giving them a strategic and political advantage.

The BBC World Service is still one of the most trusted and recognised news brands in the world. We should be doubling down and not reducing our investment in one of our biggest exports.

As Rachel Reeves prepares to unveil big spending reductions in departmental budgets in Wednesday’s Spending Review, let’s hope soft power doesn’t fall victim to the axe.

Copyright 2025 City AM Limited.