Ofcom chief announces TV trading review

Ed Richards, chief executive of Ofcom, told the ISBA conference this morning that the TV industry was in a strong enough position for a review of the trading model to take place.

A review would see Ofcom consider if the trading mechanism has a detrimental effect on consumers by potentially restricting competition.

If this finds there is a cause for concern, the Competition Commission will be asked to do a wider review.

“But we go into this with no pre-supposition,” Richards said. “The onus is on us to complete this in good time. We do hope this investigation will gather more reliable information and more consistent views.”

Richards described this as a “perennial concern… the trading model is complex and pricing is opaque”.

ISBA director general Mike Hughes welcomed this – “It has been an issue around parliament for too long,” he said.