Schedule 9 to the Communications Act 2003 requires Channel 4 Corporation (C4C) to put in place arrangements that secure, so far as reasonably practicable, that all significant risks that C4C’s other activities will have an adverse effect on the carrying out of its primary functions are identified, evaluated and properly managed. These must include arrangements for securing transparency objectives. Compliance with the arrangements must be checked regularly by a person who is not C4C’s auditor.
C4C’s primary functions are defined in section 199(2) of the Communications Act 2003 as:
Following a notification by Ofcom, C4C submitted proposed arrangements for the period of its renewed licence on 12 April 2016. C4C’s proposals made only minor amendments to the arrangements which were approved by Ofcom in January 2012. Schedule 9 requires Ofcom to decide whether to approve the proposed arrangements, approve them with modifications or require C4C to submit revised proposals in accordance with directions by Ofcom.
Ofcom has approved the proposed arrangements with two modifications. The first requires C4C to provide to Ofcom, by 31 October 2016 and thereafter within 3 weeks of C4C’s Annual Report being signed off by its Board, a table setting out the categories of activities identified by C4C as forming part of the primary functions and the categories identified as “other activities”. C4C must provide any substantive update to the table during the year as soon as reasonably practicable. The second requires C4C, on request, to provide to Ofcom details of the other activities identified in the table. These modifications are set out in paragraphs 10 and 11 of the arrangements.
In accordance with paragraph 6 of Schedule 9 to the Communications Act 2003, C4C must comply with the approved arrangements with immediate effect.