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Ten community radio licence awards: September 2005

Ofcom's Radio Licensing Committee ('RLC') made decisions on a total of fourteen applications for community radio licences at its meeting on 5 September 2005. Ten community radio licences were awarded and the reasons for award in each case are summarised below. The remaining four applicants were not awarded a community radio licence.

All community radio services must satisfy certain 'characteristics of service' which are specified in Article 3 of the Community Radio Order 2004. The RLC was satisfied that each of the groups awarded a licence met these 'characteristics of service'. In addition, each application was considered having regard to the criteria set out in section 105 of the Broadcasting Act 1990 ('BA 1990') (as modified by the Community Radio Order 2004). A summary of these criteria is set out below. The key considerations in relation to these criteria which formed the basis of the RLC's decisions to award licences to particular applicants are also set out below. Where applicable, the relevant subsection of section 105 of the BA 1990 is noted in brackets.

Finally, the RLC was satisfied that each group awarded a licence should be allowed to seek up to 50% of its annual income from the sale of advertising or programme sponsorship if it so wishes, in accordance with section 105(6) BA 1990, and that none of the new services would prejudice unduly the economic viability of any other local service (section 105(3) BA 1990).

West Yorkshire

Ten applications were received from groups in the West Yorkshire area. These are BCB in Bradford, Phoenix Radio in Halifax, Branch FM in Dewsbury, the Indian Muslim Welfare Society in Batley, Urban Space and Paradise Radio in Wakefield, Hillcrest Community Radio and Asian Fever in Leeds, Wharfedale FM in Otley and Wetherby Community Radio. The RLC decided to award a licence to both BCB (Bradford) and Phoenix Radio (Halifax). However, further investigation into the availability of suitable FM frequencies is necessary before the remaining eight applications in this region can be considered by the RLC.

BCB (Bradford): BCB put forward a very strong application. It is well resourced and it has built strong relationships with appropriate agencies in the area (1a). Training and community outreach are key areas of the group's activities, and its experience in involving various different communities (ethnic groups as well as learning disabled and young offenders, for example) and delivering well-targeted training is reflected throughout its application (1e and g). BCB demonstrated strong evidence of support for its proposals (1d).

Phoenix Radio (Halifax): This group has gained some years' experience running a number of temporary restricted service licences (RSL) in the area (1a). It has established relationships with various relevant community-based organisations in the area, and has appropriate social gain objectives (1e). Its proposals include a range of training opportunities, building on its current training provision (1e and g).

Greater Manchester and surrounding areas

Nine applications were received from groups in and around the Greater Manchester area. These are Chorley FM, Crescent Community Radio in Rochdale, Salford Community Radio, Oldham Community Radio, Tameside Community Radio, ALL FM in inner south Manchester, Wythenshawe FM, Pure Radio in Stockport, and Canalside Community Radio in Bollington, near Macclesfield. The RLC decided to award a community radio licence to Chorley FM, Crescent Community Radio, ALL FM and Wythenshawe FM. In addition, the RLC decided not to award a licence to Canalside Community Radio in Bollington. However, further investigation into the availability of suitable FM frequencies is necessary before the remaining five applications in this region can be considered by the RLC.

Chorley FM: This group has gained radio experience through running RSLs (1a). It has established good community linkages, in particular with regard to partner training organisations (1e and g), and demonstrates a wide-ranging institutional support for its proposals (1d). The groups plans to broadcast a diverse range of programmes and will focus on output appealing to 15-25 year olds and the lesbian, gay, bisexual and transgender community (1b and c).

Crescent Community Radio (Rochdale): This group aims to provide a choice to the Asian Muslim community of Rochdale with a largely speech-based service (1c). It has attracted wide-ranging support from diverse community groups and representatives (1d). It has become well-established in Rochdale and gained useful relevant experience through the operation of regular RSL broadcasts over a five year period (1a).

ALL FM (Ardwick, Longsight, Levenshulme and surrounding areas of inner south Manchester): This is an experienced group with a proven track record of securing funding (1a). It provides extensive evidence of local support (1d). Its social gain objectives are well thought-through, and its experience in the provision of training is a particular strength of this group (1e and g). It has sensible plans to develop a steering group as a mechanism for ensuring greater community involvement in the management and operation of the station (1a and f).

Wythenshawe FM: This experienced group has developed a wide range of strong community linkages and its social gain objectives are well developed and clearly defined (1e). The group is able to demonstrate detailed and extensive experience of delivering training to their target groups (1e and 1g). It proposes a high level of trainee, volunteer and general community involvement in the service (1e and 1g).

Other areas

Seven applications from other areas were also considered. The RLC decided to award a community radio licence to four applicants: The Superstation in the Orkney Islands, shmuFM in Aberdeen, Future Radio in West Norwich, and Radio Scilly in the Isles of Scilly. A summary of the reasons for award in each case are set out below. The RLC decided not to award a licence to Wayland Community Radio in Central Norfolk, Edge FM in Haverhill, Suffolk or Drive FM in Derry.

The Superstation (Orkney Islands): The management team of the Superstation has a wealth of radio broadcasting experience (1a). They have operated an RSL in the area and provided strong evidence of support and demand for the service (1d). There are currently no commercial radio operators broadcasting in the Orkney Islands and the applicant intends to provide a service of broad appeal (1b and c). The application was strong in terms of social gain objectives and the group has established training links with a local training provider (1e and g).

ShmuFM (the Middlefield, Printfield, Ferrier/Sandilands and Tillydrone areas of Aberdeen): This was a strong, well thought-through application. Schmu - Station House Media Unit, is a community-managed organisation with experience in running media-related education projects (1a ) in a deprived part of Aberdeen. Its commitment to social gain objectives and the involvement of volunteers in all parts of their operation, (as well as its experience in media-related training) are evident throughout the application (1e and g).

Future Radio (West Norwich): This group has RSL broadcasting experience in its proposed target area (1a). It has developed strong linkages within its target community and with statutory and other bodies in Norwich as a whole (1a and e). These are reflected in support for the group (1d) and well thought-through accountability proposals (1f). It is experienced in fund-raising and has sensible financial plans (1a).

Radio Scilly (Isles of Scilly): This group submitted an application which was strong across all of the selection criteria. Proposing to serve a community which is both geographically isolated and numerically small, this group is able to call upon considerable broadcasting experience at board level, both through involvement in previous RSL licences locally, and through professional experience (1a) . It is seeking to serve an area that is currently not within the measured coverage area of any commercial radio services, and has developed sensible programme plans aiming to appeal to all residents (1b and c). Social gain objectives, accountability and access arrangements for the community are all sensible and focus on the need to be inclusive of the whole population (2,100 people) (1e to g).

Each community radio service will be licensed on FM for a five-year period.

The following pages set out the statutory requirements relating to community radio licensing, and details of the licensing process. Further information about these, and detailed information relating to community radio, can be found at:

www.ofcom.org.uk/radio/ifi/rl/commun_radio/

Statutory requirements relating to community radio licensing

In carrying out all of its functions, Ofcom is required to have regard to the general duties set out in section 3 of the Communications Act 2003. In addition, under section 85(2)(b) BA 1990, it is the duty of Ofcom to do all that it can to secure the provision within the UK of a range and diversity of local radio services.

The characteristics of a community radio service

In respect of the licensing of community radio services in particular, all community radio licensees must satisfy 'characteristics of service' requirements which are specified in Article 3 of the Community Radio Order. The characteristics of community radio services are:

That they are local services provided primarily for the good of members of the public, or of particular communities, and in order to deliver social gain, rather than primarily for commercial reasons or for the financial or other material gain of the individuals involved in providing the service;
That the service is intended primarily to serve one or more communities (whether or not it also serves other members of the public);
That the person providing the service does not do so in order to make a financial profit by so doing, and uses any profit that is produced in the provision of the service wholly and exclusively for securing or improving the future provision of the service, or for the delivery of social gain to members of the public or the community that the service is intended to serve;
That members of the community it is intended to serve are given opportunities to participate in the operation and management of the service;
That, in respect of the provision of that service, the person providing the service makes himself accountable to the community that the service is intended to serve

Article 2 of the Community Radio Order includes four mandatory "social gain" objectives. "Social gain" means the achievement, in respect of individuals or groups of individuals in the community that the service is intended to serve, or in respect of other members of the public, of the following objectives:

the provision of sound broadcasting services to individuals who are otherwise underserved by such services,
the facilitation of discussion and the expression of opinion,
the provision (whether by means of programmes included in the service or otherwise) of education or training to individuals not employed by the person providing the service, and
the better understanding of the particular community and the strengthening of links within it. Specific community radio licence award criteria

There are seven specific selection criteria set out in section 105(1) BA 1990 that Ofcom must have regard to when considering whether to make a community radio licence award. In summary these are:

The ability of each applicant to maintain its proposed service over the licence period (section 105(1)(a));
The applicant's ability to cater for the tastes and interests of the target community (section 105(1)(b));
The extent to which each applicant would broaden the range of local commercial radio services available in the area, and have a content distinct from those services (section 105(1)(c));
The extent to which there is evidence of local demand or support for a proposed service (section 105(1)(d));
The extent to which the service would deliver social gain benefits to the public or relevant community (section 105(1)(e));
Provisions for making the operator of service accountable to the relevant community (section 105(1)(f));
Provisions for allowing access by members of the public or the relevant community to the station facilities, and the provision of training in the use of those facilities (section 105(1)(g)).

Considering whether, or to whom (and on what conditions), to grant a community radio licence, Ofcom must also have regard to the need to ensure that any service provided under that licence does not prejudice unduly the economic viability of any other local service. Sections 105(4) to (6) BA 1990 require Ofcom:

not to grant a community radio licence which would overlap with a commercial radio service serving no more than 50,000 persons of 15 years or older;
to prohibit paid advertising and sponsorship of programmes in respect of any community radio service where that service overlaps with any other local radio service serving between 50,000 and 150,000 persons of 15 years or older; and
in all other cases, to prohibit any community radio service from receiving an appropriate proportion (at least 50%) of relevant income from paid advertising and sponsorship of programmes.

Ofcom is also prohibited, by subsection 2 of section 105, from granting a licence to any applicant who proposes to receive from any one person (or company) more than 50% of its annual funding.

Process for assessment of applications

On 1 September 2004 Ofcom invited applications for licences to provide community radio services in most parts of the United Kingdom. These licences were offered for the provision of services on either the FM (VHF) or AM (medium wave) wavebands. The invitation did not specify the locations of services, but left it for applicants to decide where they wanted to be located.

Ofcom received 194 applications, the non-confidential sections of which were made available for public scrutiny on the Ofcom website.

Given the large number of applications received for community radio licences, Ofcom decided to assess them in order of priority by first considering applications in areas where the 14 pilot community radio (formerly known as 'Access Radio') stations are currently broadcasting, before moving on to look at applications for areas not involved in the pilot scheme. Ofcom expects to complete this round of the community radio awards process by the end of 2005.

The membership of the RLC for the licence awards and non-awards detailed above was as follows:

Ian Hargreaves, Ofcom Board member (Chair)
Kip Meek, Senior Partner, Competition & Content (Co-Chair)
Peter Davies, Director, Radio & Multimedia
Matthew MacIver, Content Board member for Scotland
Neil Stock, Head of Radio Planning & Licensing
Martin Campbell, Head of Radio Content & Standards (present for the consideration of the applications from groups in West Yorkshire and Greater Manchester and surrounding area only).

A summary and assessment of each application was presented to the RLC at its meeting on 5 September 2005. These papers summarised the proposals put forward by the applicants as they relate to the statutory criteria, and highlighted any issues of relevance under those criteria.

September 2005