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6P/79/27
EXECUTIVE BOARD
Monday 20th January, 1941.

Minutes on Ministry's policy in regard to selling of articles.

To: Mr. Colin Wills

From: Mr. Parrish.

Empire Press Union Complaint.

I attach the copy of your note to Mr. Hodson, with suggested amendments. I think perhaps the D.G. would not wish to commit us to making no profit out of any single article . Also I think I should state the position as we see it, for our own purposes.

1) Our expenditure on authors' fees for feature articles is now over £10,000 and as every article which is given free to a newspaper may be argued to increase the profits of that newspaper by the commercial value of the article I do not think Finance Division would accept any principle other than that, subject to propaganda necessities, as much of this expenditure as possible should be returned to the Treasury. There is no danger whatever that the Ministry will make a profit on the total expenditure so the principle may safely be accepted that we are not attempting to make a profit, but I hardly think we can accept the principle that we should not make a profit on individual articles which will help to balance a loss on others.

2) It is generally accepted, as you know that an article sold is likely to be better propaganda than one handed to the newspaper free ; it even has more chance of being accepted for publication and given prominence. We are now selling to all the big international agencies which cover the American continent without complaint or question from them and I have not yet heard an adequate reason why we should not sell similarly to the Empire newspaper groups. Until this is forthcoming we can only assume that these groups have set their face against purchasing articles from us because they think that by so doing they can force us to supply them free, to their material advantage. They have been encouraged in this by the number of free articles with which they have been supplied in the past, but I do not in fact see why differentiation between articles should not be possible and why the Empire groups cannot pay for certain articles if they think it commercially worth their while. Any other principle seems to me to lay us open to the objection that we are spending the taxpayer's money to excessive private profit.

(The D.G. will know the present complaint originates from our attempt to sell an article to Mr. Trevor Smith (always a difficult man) of Australian Newspaper Service; Saywell, of Argus South African Newspapers, has said that while he would be prepared to buy the same article from an outside agent he thinks that if it is an article in any way sponsored by the Ministry it should be given free. MacAlpine of Australian Consolidated Newspapers is, on the other hand, prepared to pay for such articles and has done so; the D.G. should also be aware that we are selling a few articles through the Kosmos Press Bureau, syndicating agents in Australia, and a few direct to the magazine “Outspan” in South Africa.)

It would be useless to accept a position in which we were left simply to inspire literary agents with the sort of article we want placed. It is impossible to obtain an adequate flow of articles by this means . The greatest problem is the dearth of suitable, prominent writers. The Ministry must step in somewhere to persuade the existing ones to write; it must simplify the machinery, which even now is very complicated, in order to obtain control over the contents of the articles and to ensure the essential speed and volume; it must also be ready to offer financial guarantee and some portion of the financial outlay.

If the E.P.U. is really concerned about our effect upon the literary agents, we can readily put our articles through them; it will be less efficient and more costly to the groups and the taxpayer, but honour will be satisfied and our purpose can proceed.

(initialled) J.M.P.

11th January, 1941

1. Sir Maurice Peterson

2. Director General

Above are further observations on the problem of selling articles. I would myself favour the following policy:

a) Ministry to be free to sell articles where it acts only as unpaid agent and the whole fee goes to the author.

b) Ministry not to sell direct to any newspaper or group of newspapers articles for which it retains all or part of the fee.

c) Ministry to be free to market articles on a commission basis through literary agents or feature agencies.

I have seen no papers yet on individual complaints.

(Initialled) H.V.H.

11th January, 1941.

I agree. In so far as I understand this widespread activity of ours, we cannot direct it without incurring initial financial responsibility; as we must recoup ourselves in some measure.

(Initialled) G.A.

13th January, 1941.