Hunt lifts local trans-media ownership restrictions
Culture Secretary Jeremy Hunt has today announced that curbs on media ownership are to be lifted.
At a speech to be delivered to the Royal Television Society in London Hunt will announce that present trans-media ownership restrictions will be lifted, paving the way for local papers to purchase radio stations and TV companies (and vice versa) for the first time.
It comes as part of a localism drive by the new government which wants to reshape the industry by encouraging public sector broadcasters such as ITV, Channel 4 and Channel 5 to host or oversee local transmissions.
Failure to do so could see these channels lose their coveted low numbered channel slots with Hunt saying “I intend to bring forward new legislation to clarify which PSB channels should get guaranteed positioning on page 1 of the Electronic Programme Guide and its future online equivalents.”
Industry regulator Ofcom has also been asked to redefine public sector broadcasting to provide greater emphasis on localised content.
Analysts that without government subsidy advertising revenues alone will not be sufficient to cover the new stations costs, but Hunt is optimistic that alternative revenue streams such as sponsorship, subscription fees, carriage fees and product placement will plug the gap.