Puttnam Threatens To Quash Communications Bill
Influential Labour peer, Lord Puttnam, has strengthened his opposition to the Government’s Communications Bill, with a warning that it will face defeat in the House Of Lords unless plans to relax the UK media ownership regulations are abandoned.
In his toughest ever criticism of the proposed legislation, Puttnam is believed to have ordered the Government to abandon plans to allow foreign ownership of ITV and Channel Five, or face defeat at the hands of rebel peers that could quash almost three years of policy making.
According to a report today’s Times, Puttnam said: “If there is no movement by the Government, I can absolutely promise there will be a vote and they could lose that vote.”
He added: “If they want their Bill they are going to have to have it without foreign ownership.”
Puttnam, who led the Joint Scrutiny Committee on the Communications Bill (see Government To Face Opposition Over Media Ownership), has been highly critical of plans to allow non-European investors to buy UK media assets or large newspaper groups to own Channel Five (see Puttnam Warns Of Defeat Over Channel Five Ownership). His campaign has gained the backing of Lord Bragg and Lord Hussey of North Bradley and now threatens to delay the passage of the entire Bill.
To be certain of becoming law by the end of this year, the Bill must make its way through Parliament before the summer recess in the third week of July. Failing this, the Government will have a final chance to pass the legislation in the early autumn. However, reports suggest that if this proves unsuccessful, the Bill will effectively be dead.
The Government has previously been unwilling to compromise on the issue of foreign ownership and Culture Secretary, Tessa Jowell, recently issued a strong defence of the proposed legislation, claiming that the current regulations inhibit “growth, investment and innovation” (see Jowell Moves To Defend Foreign Ownership Deregulation).
However, it is understood that the Government is now so concerned about the possibility of losing the Bill, that it has begun discussions to see how much of the media legislation could be implemented by other means.
The Communications Bill is being hailed as the most significant piece of media legislation for over a decade. Its failure would scupper the proposed merger of Carlton and Granada (see Carlton And Granada Enter Advanced Merger Talks) and would prevent the consolidation of the commercial radio industry (see Government Confirms Relaxation Of Radio Ownership Rules).
Recent research from Taylor Nelson Sofres suggests that 52% of the British public is opposed to the liberalisation of the rules surrounding the ownership of UK media assets, with just 23% of people supporting the plans (see Public Opposed To Foreign Ownership Of UK Media).
DCMS: 020 7211 6200 www.dcms.gov.uk
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