A new approach to Cross Media Ownership rules recommended by Richard Hooper

8/02

29 January 2002

A new approach to Cross Media Ownership rules recommended by Richard Hooper

Richard Hooper, Chair of the Radio Authority, has today (29 January), in his speech to The Future of Public Service Broadcasting Conference, recommended a new and simple approach to controlling cross media ownership.

He set out the Radio Authority's proposal that all cross-media ownership in the UK should be governed by an extension of the '3 plus the BBC rule', now widely accepted for radio ownership. The rule requires that in any locality there should be a minimum of three owners of local commercial services plus the BBC. Extending this principle to cross media ownership would mean:

A national newspaper or national TV channel should be allowed to own one but not more than one Independent National Radio (INR) station (thus allowing two other INRs, in separate ownership, plus the BBC).

A local newspaper group or local ITV company could own a local radio station in its circulation/broadcast area if there were two other radio stations not so owned (thus allowing two not so owned plus the BBC), with some modifications for the very smallest areas.

A national newspaper could own not more than one national terrestrial free to air TV channel (thus allowing two not so owned plus the BBC).

Richard Hooper said:

"The application of the ‘3 plus the BBC rule’ to cross media ownership has the merit of certainty, simplicity and transparency. The application of the rule would of course still be subject to competition considerations. The rule might possibly also be subject to an exceptional public interest test, but it has to be exceptional not routine. We want to get away from the current system of labour-intensive and opaque public interest tests which create considerable market uncertainty.

"The rule might also be adjusted with an "and/or" qualification, i.e. a national newspaper can own either a national radio station or a national TV channel, but not both. Media ownership rules are intensely political decisions. Unelected regulators like myself may propose, but elected parliamentarians ultimately dispose.

"The ‘3 plus the BBC rule’ will we believe guarantee a sufficient level of pluralism whilst allowing media groups to consolidate – thus the public interest in broadcasting can and should be protected, and balanced with the reasonable demands of the commercial interest."

ENDS

NOTE TO EDITORS

Click here to view Richard Hooper's speech, entitled 'A sound view of public service broadcasting' to The Future of Public Broadcasting Conference.
Click here for all Radio Authority news and documents relating to the Communications bill.

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