AIRC Congress Lunch – Stephen Dorrell Speaker

The eleventh AIRC congress lunch took place yesterday at the Connaught Rooms in London. It was addressed by the Secretary of State for National Heritage, the Rt. Hon, Stephen Dorrell, MP.

Mr Dorrell began the speech commenting on how personalities had changed in such a short period of time within the radio industry and how it is entering a new era with new regulations. He said thirty years ago radio was monopolised by the BBC but the growing proliferation of local radio has changed that, and fragmentation of the industry is continuing.

Mr Dorrell quoted the Radio Authority when highlighting the expansion of radio stations. In 1991 there were 128 commercial radio stations; there were 180 last year – this is a 40% growth in commercial radio. Additional licences now mean that there is greater diversity in broadcasting.

Mr Dorrell said that local radio has seen a huge explosion in interest and now commands larger audiences than the BBC. He welcomes the growth in diversity and has ” A commitment to the cacophony of voices” within the industry.

He asked how commercial radio would expand and develop. More diversity and development of local radio, he said, was important in addressing smaller audiences. According to Mr Dorrell one third of new local radio licences issued by the Radio authority will be made available to small audience radio stations. The Radio Authority is due to issue 32 new licences over the coming year, increasing the growth of both conventional local radio and others.

On the subject of Digital Audio Broadcasting, Mr Dorrell could not reveal the governments policy on proposals for the coming Paper but promised to in the coming months. He outlined the proposals in his Media Ownership Paper which safeguards the plurality of ownership.” The Government is working with the grain of business which will allow media ownership to grow.”

Mr Dorrell brought up the issue of extensions to radio licences which was not covered in the Government Paper on Ownership. He believes that recompeting for licences is essential for delivering wide ranging and diverse licencing. Constraint on access ensures that there must be an open and competitive process.

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