Ofcom removes airtime sales rules

Ofcom have decided to remove the airtime sales rules on 1st September 2010.

This follows Ofcom’s initial proposal to remove the rules, published last March.

Currently, there are two distinct rules relating to how broadcasters can sell their airtime. The first is that all airtime available on ITV1, Channel 4 and Five must be sold. The second is that all broadcasters are prohibited from forcing advertisers, who are buying airtime on one channel, to purchase airtime on additional channels.

“Since the rules were introduced, there have been significant developments in the TV sector and a substantial increase in the number of channels,” Ofcom said.

“This has led to increasingly fragmented TV audiences and enabled media buyers to purchase airtime across many more channels.”

Although there were objections made to the proposed lifting of airtime sales rules – mainly that broadcasters would partake in the behaviour that is currently prohibited, and that a competition-based market study needed to be undertaken – Ofcom’s view is: “no new evidence has been presented to change our conclusions that it is appropriate to remove the rules”.

Ofcom also said that it will continue monitoring TV advertising, and any effects of the removal. If broadcasters do engage in “anti-competitive conduct”, then Ofcom will take action under the Competition Act.