‘Future of broadcasting at stake’ as NUJ begins fight to save licence fee
THE UNION is warning against plans to carve up the BBC licence fee and give some of it to ITV and Channel 4 to fund their “public service” programming.
The regulator Ofcom published a consultation document in April that proposes “top-slicing” the licence fee as a possible approach for the funding of public service broadcasting.
General Secretary Jeremy Dear said: “The future of broadcasting that educates as well as titillates is at stake. The implications of such a move are much more complex and would seriously damage the long-term future of a well-resourced and sustainable BBC.
“It’s vital that channels like ITV and Channel 4 continue to deliver television in the public interest, but that can be funded in other ways that wouldn’t undermine the direct relationship between the licence fee and the BBC.
“Viewers and listeners understand the link between the licence fee and what they get for their money. If that clarity is lost then the long-term future of all public service broadcasting will be under threat.
In its review Ofcom said that PSB was at a “crossroads” and the underlying economics for advertiser-funded PSB channels such as ITV1 are now “unsustainable”. It said there had been a 17 per cent decline in the public service channels’ share of viewing since 2003.
The BBC is still seen as the “cornerstone” of public service broadcasting, but will be “willing to pay more for existing public service broadcasting to ensure plural provision is maintained”.
Ofcom made four suggestions as to how public service broadcasting might be funded:
1. direct public funding such as direct taxation or from the proceeds of spectrum auctions;
2. taking money from the BBC’s licence fee;
3. imposing an industry levy;
4. using regulatory levers such as giving out “spectrum” at below-market rates.
The NUJ favours the fourth, arguing that Ofcom should make free-to-air high definition TV spectrum available free to broadcasters in return for PSB obligations (see panel).
Ofcom concluded: “Our preliminary view is that new funds should be found to succeed the declining implicit subsidy for commercial public service broadcasting and to maintain plurality in the delivery of public service content.”
The regulator concluded, ominously: “It is clear that the regulatory and funding model which supports today’s public service broadcasting framework has had its day. It is too fixed in linear media and too inflexible. As a result, it is unsustainable.”
Ed Richards, Ofcom chief executive, said: “Public service broadcasting is at a crossroads. Viewers still want a mix of high quality UK-made content, but the traditional television model is not enough to meet all their needs … now is the time for a wide-ranging debate looking carefully and dispassionately at all the options.”
The NUJ is drawing up its response to the proposals.


