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Ofcom Outlines Its Future Vision For Radio

Ofcom Outlines Its Future Vision For Radio

Digital Radio Set Radio groups will be granted greater freedom in what they broadcast and the number of stations they are permitted to own, according to communications watchdog Ofcom, which today published its consultation on the future of radio.

Other findings from the report indicate that AM radio could be switched off in two years, whilst the regulation of small radio stations will be relaxed.

Ed Richards, the regulator’s chief executive, said the changes would allow traditional analogue broadcasters to compete with digital radio and online listening.

By 2017, it is forecast that 90% of all radio listening will be via digital platforms. At the moment, there are no plans to switch off analogue radio, but Ofcom’s consultation seeks views on changes which could free-up spectrum, currently used by analogue radio services, at an appropriate time in the future.

Ofcom is proposing a review of the AM spectrum in 2009 and of FM in 2012 or when 50% of all listening is via digital, whichever is earlier.

“Radio remains important to many consumers, but the environment which it operates in is changing,” said Richards. “It is essential that regulation reflects this. The proposals we outline today seek to ensure a vibrant and innovative UK radio sector.”

To prepare for analogue switch-off, Ofcom is proposing that existing radio licences be extended for an indefinite period, subject to two years’ notice of termination.

Ofcom said the AM and FM spectrums could be “better used for other services such as mobile television, more digital radio, more community radio services or other new technologies”.

The RadioCentre, the industry body for UK commercial radio, has welcomed Ofcom’s publication, with chief executive Andrew Harrison paying tribute to the regulator’s foresight in undertaking the project.

He noted that it had identified and sought to tackle many of the key issues facing the commercial radio industry as it gears up for a digital future.

However, he also expressed disappointment that, on first inspection, many of the proposals “appear to be incremental small steps of deregulation rather than a giant leap forward for the industry.”

He said: “A vibrant and thriving commercial radio sector is what listeners deserve in the digital age, so we fundamentally believe it is essential to review the entire current approach to regulating commercial radio, which is a legacy from the analogue era.

“Our industry represents less than 5% of the overall media market in the UK yet, even with the welcome deregulatory moves proposed today by Ofcom, it will continue to be subject to far too detailed sector-specific rules on ownership, locally produced programming and technical broadcast standards. We’re just not convinced that’s appropriate in a modern, market-led, multi-platform world.

“We’ll be urging Ofcom to ensure that the result of this consultation is a breakthrough set of proposals which allow commercial radio to make the transition to digital whilst retaining a very special place in the hearts and minds of listeners.”

The closing date for responses to the consultation is June 29.

Ofcom: 020 7981 3040 www.ofcom.org.uk

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