Radio Authority announces preliminary determination of short form public interest tests for the new local radio licence for Glasgow

107/03

13 October 2003
Radio Authority announces preliminary determination of short form public interest tests for the new local radio licence for Glasgow

The Radio Authority has received thirteen applications for the new FM ILR licence for Glasgow (see press release 81/03 for details). Three of the applicants for this new licence already hold licences within the area. Therefore, if any of these applicants were to be granted the new licence, it would then hold two overlapping licences on the same waveband.

Under the provisions of the Broadcasting Act 1996, a company can only own two radio services on the same waveband in an overlapping area if the Authority determines that the proposed arrangement could not be expected to operate against the public interest. Accordingly, the Authority will be undertaking public interest tests on the following applications:

Smooth FM Ltd, a wholly owned subsidiary of Guardian Media Group plc. The proposed coverage area of the new Glasgow FM licence would significantly overlap with Real Radio, which broadcasts to Central Scotland on the FM waveband and is wholly owned by Guardian Media Group plc.

Glasgow Gold Ltd, a wholly owned subsidiary of Capital Radio plc. The proposed coverage area of the new Glasgow FM licence would significantly overlap with Beat 106, which broadcasts to Central Scotland on the FM waveband and is wholly owned by Capital Radio plc.

3C Glasgow Ltd, in which Scottish Radio Holdings plc has a controlling interest. Scottish Radio Holdings plc already owns three licences which would significantly overlap with the proposed coverage area of the new Glasgow FM licence: Clyde 1 FM and Clyde 2, which both broadcast to Glasgow, and West Sound AM, which broadcasts to Ayr. In order to comply with media ownership rules, Scottish Radio Holdings plc intends to dispose of the West Sound AM licence if 3C Glasgow Ltd is awarded the new Glasgow FM licence.

The Authority is minded to make a positive determination in relation to all of these applications in line with the Authority's published policy, as all of these applications would comply with the ownership rules proposed in the Communications Act 2003 which are expected to be in force at the time this licence would be granted. However, before making a final determination the Authority is seeking comments on the following matters:

If the licence were awarded to any of these applicants, would it lead to a reduction in plurality of ownership in Independent Local Radio services in the Glasgow area, and if so would that reduction be against the public interest?

Would there be an effect on the range of programmes available on Independent Radio in the area?

Would there be less diversity in the sources of information available in the area, or

less diversity in the sources of opinions expressed on the radio in the area?

You can view copies of the public interest test submissions at Mitchell Library, North Street, Glasgow. The submission submissions are available for viewing at Holbrook House (by appointment only).

The Radio Authority would welcome comments on these matters. These should be sent in writing to the Legal and Licensing Officer, The Radio Authority, Holbrook House, 14 Great Queen Street, London, WC2B 5DG, to arrive by 24 October 2003 at the latest.
ENDS

NOTES TO EDITORS

1. The Radio Authority is also conducting a cross-media short form public interest test on Smooth FM's application for Glasgow. Please see press release 108/03 for details.

2. The Radio Authority is responsible for licensing and regulating Independent Radio in accordance with the statutory requirements of the Broadcasting Acts 1990 and 1996. It plans frequencies, awards licences, regulates programming and advertising, and plays an active role in the discussion and formulation of policies which affect the Independent Radio industry and its listeners.

3. At the end of this year, the Radio Authority will cease to exist, and its responsibilities for licensing and regulating Independent Radio will pass to Ofcom, the new converged regulator for the communications sector. See the Ofcom transitional website at www.ofcom.org.uk for more details.

Contact:
Press enquiries:
Tel: 020 7887 4292 / 020 7887 4290
Out of hours tel: 07770 375283
Public enquiries:
Tel: 020 7887 4294

Revised: October 10, 2003