Research report prepared for the australian communications and media authority


UNITED KINGDOM 1.1The United Kingdom broadcasting environment



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1UNITED KINGDOM

1.1The United Kingdom broadcasting environment

1.1.1Overview


Primary responsibility for regulation of broadcasting (and telecommunications) in the United Kingdom (UK) rests with the Office of Communications (Ofcom), a statutory regulatory authority established under the Office of Communications Act 2002 (UK).20 Ofcom’s powers were formally vested in December 2003. Ofcom’s formation was part of a major reform of communications regulation in the UK, encompassed in the Communications Act 2003 (UK) (Comms Act (UK)). It replaced a large number of regulatory bodies which had responsibility for broadcasting, telecommunications, and spectrum regulation. Ofcom’s responsibilities come under two government departments, the Department for Business, Enterprise and Regulatory Reform21 and the Department for Culture, Media and Sport. It is the latter body which is most relevant to broadcasting. The most relevant legislation for broadcasting is the Comms Act (UK), the Broadcasting Act 1990 (UK) (BA 1990 (UK)), and the Broadcasting Act 1996 (UK) (BA 1996 (UK)).22 Ofcom also has responsibility for some aspects of the British Broadcasting Corporation’s (BBC) activities.

Broadcasting in the UK offers a typical mix of radio and television services both with regard to type of delivery and nature of service. Compared with the other jurisdictions reported here, there are two distinguishing features.

First, is the long and well-established tradition of public service broadcasting which has shaped not only the public broadcaster, the BBC (and, later, Channel 4), but also the free-to-air private commercial services. The maintenance of public service principles has led to close regulatory supervision of broadcasting in the UK, especially television. Also relevant is the dominant role played by the BBC throughout UK broadcasting history. Commercial television services only began in 1955. Local commercial radio began in 1972 and national radio services in 1992. Despite the 2003 reforms the influence of public service broadcasting principles can still be detected. Although radio is no longer identified as public service broadcaster23, it retains format and, where relevant, local content obligations.

Secondly, the availability and adoption of digital broadcasting services in the UK are considerably more advanced. This is especially the case with television and the UK has already begun a process of switching off analogue transmission.24 It is less clear yet whether the analogue signal for radio will be switched off, although the Government has suggested that it will develop strategies to enable digital to become the primary distribution network for radio.25

Radio services in the UK are transmitted over the air on AM or FM, and by digital audio broadcasting (DAB). Radio services are also delivered via digital satellite and cable. As at July 2008, the number of radio stations broadcasting was as follows26:


  • Commercial

    • Local commercial:

      • 305 analogue services of which 245 were FM and 60 AM

      • 124 DAB services

    • UK-wide commercial:

      • 3 analogue services of which 1 is FM and 2 are AM

      • 4 DAB services

  • Public (BBC)27

    • Local and nations28:

    • UK-wide networks:

      • 5 analogue services

      • 11 DAB29

There are also approximately 80 stations broadcasting on digital satellite, and a further 27 on Freeview, and 34 on cable.30 Community radio only began to be licensed in 2005. As at July 2008, 179 licences had been issued.31 In terms of market share, at end first quarter 2008, the BBC dominated with 57% of share of total radio listening, while commercial radio’s share reached just over 41%.32

1.1.2Licensing of commercial radio


Within the radio sector, the main licensed services are commercial services. However, other services licensed are community radio and restricted service licences. Information about other radio services and digital service is provided in the Appendix.

1.1.2.1Local commercial services


Local commercial licences are awarded on a merit process for a term not longer than 12 years.33 Ofcom must have regard to the viability of the service; the potential of the service to cater for local interests; the extent to which it would broaden local diversity; and the demand for such a service.34 Under the Comms Act (UK), Ofcom is required to carry out its regulatory functions in relation to local radio services in a way which is best calculated to ensure that:

  • The service includes programs consisting of local material; and

  • A suitable proportion of such programs are locally-made.35

Formats proposed by licensees become conditions of a licence and can be changed only with the approval of Ofcom.36 Ofcom monitors – by content sampling – stations to assess whether the station is adhering to its format.

Local services are not restricted with regard to the amount, frequency, or distribution of advertising on their services.

1.1.2.2National commercial services


National commercial radio is also format-based to an extent. Under the BA 1990 (UK) one service is required to broadcast mainly spoken material.37 This service, which is broadcast on the AM spectrum, is known as talkSPORT. Another service is required to provide a music service in a genre other than ‘pop music’.38 Classic FM, broadcast on the FM spectrum, is the licence which fulfils this requirement. A third service, Virgin Radio, also broadcasting via AM, has no stipulations as to format. Licences were allocated by auction.

National services are not restricted with regard to the amount, frequency, or distribution of advertising on their services.




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