Select Committee on Broadcasting Minutes of Evidence


Examination of Witnesses (Questions 160 - 176)

WEDNESDAY 14 JULY 1999

MR MARK DAMAZER AND MR NIGEL CHARTERS

Mr Gardiner

  160. Have either of you two gentlemen ever had anything to do with that wonderful programme Come Dancing?
  (Mr Damazer) This is one of the questions I can answer definitively: no.

  161. What has intrigued me in the proceedings of the Committee so far this afternoon is the gentle choreographic movement which has gone on round the positions which certainly our Chairman has put forward and the way in which you have been manoeuvring round them. It does seem to me that what our Chairman has, and it is commendable that he does, is a very clear vision of what he wants. I am not sure that it is a vision which other members of the Committee necessarily share; I know that I would depart from him in certain respects quite markedly. He has a very clear vision of what he thinks needs to be done and that is the second channel, C-SPAN style operation, and repeatedly he quite rightly bludgeons you and asks what the cost is. For your part, because, I think and I hope because I do not agree with it either, you disagree with that vision of what should be broadcast as BBC Parliament, you are trying ever so politely to avoid answering the question. What I want to get out of you gentlemen is quite simply this. What would your alternative vision be? It may be that you want to come back to the Committee and say actually you do not have an alternative vision and you do not feel it is your role to have that. The difficulty which many members of this Committee face who do not share our Chairman's background in broadcasting is quite simply that we do not have the technical expertise. Therefore often, because we do not have that technical expertise, we cannot actually dream the visions because we do not know what is available. That is why we need your help. That is why we need to know what you, as people with that technical expertise, who deal day to day with BBC Parliament and with the whole of political broadcasting for the BBC, actually think the presentation of parliamentary coverage in this country could become within the public service remit which you have and to the benefit of the viewers out there. Can you give us a bit more of the vision thing please?
  (Mr Damazer) I shall try. There is clearly one issue of principle which divides the Chairman and myself and I would expect that most people in the BBC would concur with my position which is that there is something fundamental and valuable about the licence fee and its connection to the output in the United Kingdom which buttresses the BBC's independence to such a degree that to dilute that practice is fraught with danger, though I wholly understand that from the view of the House of Commons and indeed the whole of the Palace of Westminster it could be argued that there is a special case here which transcends that. It would not be my view. I understand that is the Chairman's view and I respect his point of view in saying that. Therefore the vision is to some extent differentiated by that disagreement about possible sources of funding. All of the extra parliamentary activity which might be broadcast in a public service network on the C-SPAN model, are perfectly envisageable if the funding proposition is solved. Were the BBC to have particularly buoyant revenue—and I do not wish to turn this into a pitch for the licence fee;—that is the work of Gavin Davis and his committee and finally the Government and then the House—then clearly some of these propositions would become easier to envisage than others and certainly easier to envisage than they are at the moment where the funding formula of the BBC is such that it is impossible to see wholesale expansion. Therefore the strategy which we are adopting is to say, here is in the internet a mechanism which is growing exponentially in the United Kingdom, where the costs of startup are hugely lower—as my colleague Mr Charters was outlining—than is the case in this other universe we are talking about, where particularly interesting groups, schools, universities, companies with an interest in what goes on inside the House of Commons, civic minded groups, would be able to have relatively easy access to a much larger range of activity going on inside this Palace than is currently the case. Our view is that this could be developed. It could be developed in several different ways. The BBC, at much lower cost than developing elsewhere, could choose to boost its already well-regarded and trusted BBC News Online site, to develop links to activities going on inside this Palace which would become available to a much wider audience much more quickly and it is a flexible medium which can always be developed. Alternatively—and it is an alternative which you may wish to consider—the House of Commons or the Palace of Westminster itself could decide to invest resources in setting up its own website with its own links, with its own technology, to ensure that the range of activities which take place within this Palace are available to a wider world. As far as BBC Parliament channel itself in its existing guise goes, during the course of time which has passed since we took up the channel, we have obviously spent time consolidating its position and building it in several different ways outlined here, which you may wish to choose to discuss. That has been where we have got to so far. It is absolutely conceivable that we can develop it further in the way that my colleague suggests by using some of that time which is currently not filled, though we would again have to be very careful to measure the cost, its use and how it fits with the total BBC proposition. It is something we would undoubtedly wish to look at in the next few months and we take it very seriously. What I am holding out for you is some development possibly of the existing channel but using the web as the main source of distributing further the activities of the Palace.

  162. Thank you very much; that is clear. May I press you further in two respects? I believe my colleague Mrs Gordon may have been asking this question as well, though I am not sure it was answered at that stage. In the existing space of downtime on BBC Parliament which you believe it would be possible to expand into and to provide a fuller service on BBC Parliament, would your intention be to provide there coverage which is currently not available of other committees or other aspects of the House for which no feed is being generated at the moment? If so, what are the costs of generating that feed going to be. Again I plead ignorance on the technical side and that is why I feel that very often we need you to guide us through.
  (Mr Damazer) May I begin by reasserting the philosophical desirable position and then pass to my colleague Mr Charters to answer your cost and resourcing question? Clearly it would be desirable if that spare downtime were used for material and activities which are not currently transmitted within the existing 17 or 18 hours a day. People could choose to record it and it would give them a greater range of things to see and sample of activities which go on within the Palace. That is obviously the desirable position.
  (Mr Charters) The easiest way to answer is to say that the kit with which we are surrounded now, cameras, control system, cabling, is portable and moves up and down. Our technical people's best estimate, because it can never be accurate until you take up the floors and have to lay cable, is about £500,000 a year for each additional unit like this. We currently have four available to broadcasters. We often, but not always, are using all four portable units in select committees. I would make the point that initially at least, when the new Westminster Hall operation begins, that will reduce to three because one of those will have to be used. If we need three of them to cover the extra standing committees, select committees, there is an argument which says that is £1.5 million. They are not cheap. This is the hardware and cabling and operator costs.

  163. May I continue this line before switching over to the website. Given that under the new dispensation one of those units will be tied up for a good part of the time in the main committee, the Westminster Hall Committee, and given that much of the kit we know has to be changed anyway because it needs upgrading to digital, what are the chances and what are the requirements to be able to provide enough kit to be generating the feed which will supply a 24-hour programming on BBC Parliament and what are the chances of that being done as originally outlined by the House at no cost to Parliament?
  (Mr Damazer) The competence is PARBUL's and it is clearly a question which PARBUL will consider, I would have thought in the relatively near future. It would be a mistake if I were to try to bind them into a decision. As I am sure the Committee are aware, the economics of the whole activity of broadcasting committees is somewhat dependent on the number of takers for any individual committee. BBC Parliament is clearly a very significant voice in that but resourcing and financial resourcing is a significant factor. I have expressed the aspiration to try to ensure that as much as possible of any extra commitment we make to expanding the channel to 24 hours a day is taken up with new and fresh material, but in all honestly I cannot make that an iron clad commitment, if we find that there are few other takers and if PARBUL is not willing to support the activity. That may be a regrettable answer but it is a truthful one. By the same token, we are in the early stages of considering—is the best way of expressing it—the feasibility both editorially and financially of expanding the channel beyond its existing hourage. When we have more to say on that we might well be able to come back and tell this Committee more. We are not at that stage yet and it would be a mistake if I were to hold that out as an immediate prospect.

  Mr Gardiner: I understand that is not necessarily your question.

Mr Hopkins

  164. May I go back to some fairly basic points? The problem is that with the development of the Scottish Parliament, the Welsh Assembly, the more elaborate committee work, more interesting committee work here, ideally you would like two channels, an extra channel as you say in paragraph 6. But there are problems with providing that. The problems are first of all that on digital terrestrial there is not enough spectrum and if you really wanted an extra channel you would have to look at either cable or satellite. They are not universally available and it would be unfair to charge the licence fee for something people cannot get. So you have come up with this very much second best solution or temporary solution of online services. However, online costs money in computers and being online itself. There is an ongoing charge and there is also the question of skill in using computers and obtaining access to the internet which is not given to everyone, certainly not at this stage in our development. Ideally we should like a second channel, another channel, provided we could overcome those problems. One suggestion I put last week was that we could suggest—Treasury may not like it—that the Government itself finances the provision of cable or satellite to every household—or almost every household—in the country, within reason. That would overcome that problem. In return for that, the cable companies and the satellite companies would no doubt be delighted to find that all the homes in the country were either cable or satellite and therefore they would have more access to their market. In return they could allocate to public service broadcasting some of their spectrum which would be available for public service broadcasting. It strikes me that if that arrangement could be set up, it could work and it would possibly be appropriate also for a ring-fenced grant, lump sum payment, by Treasury, which would not actually undermine BBC's independence. I do take your arguments very strongly; I agree very strongly about the licence fee and BBC independence. You could however have a ring-fenced grant for that one-off capital investment to cable the whole country or to provide satellite where cable was not possible. I put this at our previous meeting to your colleagues and I wondered whether you think this is feasible, provided we could persuade Treasury.
  (Mr Damazer) The answer to that is not an absolute, but may I begin by making one extremely important point. We have skirted online at the moment in the context of the broadest of definitions of what might be achieved. I really think that we should consider carefully the current performance of online and its potential as against the various other digital technologies and the existing analogue technologies for broadcasting. Online is growing at almost a frightening speed. Mr Charters may be able to give better figures and will correct me, but we are talking here about the growth of a medium, the like of which we probably have never seen. It may very well be true that in ten years' time Online will have reached the position that colour television did ten years after it was introduced, that is to say it will be, if not universally available—that would not be true—certainly very, very widely available and that the performance of online in terms of what it can deliver to the user both in terms of speed, in terms of volume of material, in terms of the presentation of that material, and the combination of different kinds of material, text, video, audio, archive facilities, search engines to get you to exactly what you wish. The performance is so electrifyingly good when you see the best of the kit rolled out and the improvements in telephony, that it would be wrong to accept your axiom, forgive me, that it is a second best solution. Clearly, and it would be dishonest if I were to pretend otherwise, it has massive cost advantages, that is true, but simply in terms of what it can deliver, the flexibility with which you can grow it and change it, the way it can keep up with events in several different places at once, it is a remarkable medium. It may very well be that if the correct formula is found to establish more and more of the proceedings of the Palace on online sites that is the best answer. I am not saying specifically BBC Online sites; there are many others who would wish to do it and it may be that the House itself would wish to go down this road. If I turn to your other proposition, which is that the Government of the day regulates in such a way as to make a second channel, multiple channels, if not compulsory then something which looks quite close to it, that obviously must be a matter for the Government of the day to decide. If somebody were to come to the BBC and to present as a fait accompli that every cable or digital cable or digital satellite operating company had to take a certain bouquet of public service channels which were going to be funded in some way which did not breach fundamental BBC principles, it is something we would clearly be foolish not to examine. The obstacles to that, in terms of the way the industry is currently set up, in terms of its current regulatory structure, are very great and I would have thought one would find multiple resistances to that. Though I think it is a very engaging and interesting notion, in the end it is not one which I think the BBC would be right to take a lead in campaigning for.

  165. You are suggesting that online services would be so universally available that everyone had computers, we would all be computer literate, we would all be able to use online and it would cost no more than having a free cable channel providing BBC broadcasts. I am concerned about universal availability, particularly to the less affluent. Seventy-five or eighty per cent is not universal.
  (Mr Damazer) No; I agree.

  166. I should like to see universal availability and clearly people have to buy the television sets as well. Are you saying they would be comparable in effect after a period?
  (Mr Damazer) I willingly concede that the capital cost of buying the computer as well as the obvious limitations on people being able to use a computer successfully enough to navigate the web, are very real considerations. By the same token, this may well be a generational change which the penetration of this technology in schools, in schools of all sorts, and the ability of the technology to cheapen itself remarkably—online technology does not only grow more sophisticated, the individual components which make up the online world also cheapen, if not by the day, very, very rapidly—mean that though we will not be in a position where there will be universal access in the way that one would say the terrestrial analogue world resembles now, it nevertheless will perform very rapidly. Mr Charters will correct me if my estimates are wrong, but it may very likely outperform very easily the penetration of digital cable, digital satellite and digital terrestrial. It therefore may be a more easily available platform for distribution.
  (Mr Charters) May I back up what Mr Damazer has said and perhaps offer the Committee a small piece of research which I came across in a conference on a different topic but which made me stop and think? It was simply this, that it took 38 years for radio, after its invention, to penetrate or gain a worldwide audience of 50 million. It took 13 years for television, from its invention, to gain a worldwide audience of 50 million. It took the web four years to gain a worldwide audience of 50 million. While I think that we—it is a generational thing—have grown up with the television environment, the young, the youth of our country, are not growing up in an exclusively television environment. They are much more accepting of using interactive technology to get information, to be entertained, to learn and to play. This is one of the things which we really firmly believe as we from our side of the fence look at the development of internet technology Yes, it is not available now and yes, there are certain barriers, but I would suggest it is due to the initiatives which this Government and previous governments push to get schools online, to get libraries online, to get all sorts of places online. The other thing I should like to suggest is that that barrier between IT or computer technology and television technology will actually disappear before too long. One can already buy television sets which have the computing power of what you had on your desktop one or two years ago. We must think in those terms. Mr Price showed you that demonstration on the big screen at the last sitting of the Committee and said it was a few years down the line, but the truth is that those developments are coming on. One point I should like to add is that currently television is a lean back medium: PCs are a lean forward medium. If you think about it, that is a good way of distinguishing the two. What I would suggest will happen, is in fact both will become both, so that it will not be very long before you can lean back and play your PC on a big screen in front of you at some distance or read information in the normal way or put a picture in the corner which comes from a closed circuit, a phone line, a picture of this Committee and you could be dialling up other information on the web, you could be using a Ceefax interactive digital text. Your television set will become a different machine to those which we understand at the moment. This is what we are trying to point to. It may be that a traditional single channel environment with a single subject on it is sort of dying. The multi channel world and the multi format world is actually the future.

  Mr Gale: It is certainly the purpose of this Committee to try to find the way forward into the next century rather than to deal with the back end of the last one. Quite clearly if we are going to come up with any solutions which are of any value at all for the House for the future we are going to have to think in these terms. I shall come back in a minute once more to the funding.

Mr Gardiner

  167. I suppose I am the opposite of a Luddite in many ways. What is that? A technophile or something. I did want to pursue one of the points which my colleague Mr Hopkins made because it seemed to me that what he was talking about and what is very important for this Committee is that the maximum number of people and particularly those who have least resources should be able to have access to what it is that we are offering when we try to broadcast all that goes on here. That is why I wanted just to be absolutely clear from you about the distribution that is currently available through BBC Parliament, which I understand is 17 per cent of homes in the country.
  (Mr Charters) Yes.

  168. Your estimate of the likely web online uptake, if we were to supply it, was in the region of 70 to 80 per cent of the homes in the country. Is that correct?
  (Mr Charters) I have probably in that case overstated it. Our official BBC projections say that it will be below 50 per cent by the year 2000, but just below, sort of mid forties.

  169. So it would be two and a half times as much as currently BBC Parliament is reaching.
  (Mr Charters) Yes. May I just say that by then of course we would anticipate that because it is a digital platform that would have increased at a similar rate.

  170. May I just pursue what would be required to get a comprehensive online service? Again my concern here is with the generation of the feed. Obviously in an ideal world, fulfilling the remit of this Committee to take the activities of Parliament and make them accessible and available to the general public, ideally, were there no cost attached, what we would want to see would be that every committee, every debate on the floor, every debate on the floor in the House of Lords and so on were covered. Clearly we are not going to get to that stage because of the cost of generating the feed. In an online format, presumably the management of access to all that archive material would be possible. Is that right?
  (Mr Damazer) Yes; clearly, and one should note again here the way in which technology changes. My colleagues last week, who know much more about physics than I do, explained the way in which the pictures were likely to develop over a period of time.At the moment, in order to get the best available pictures, you have to spend sums of money which my colleague Mr Charters was talking about earlier in terms of re-equipping rooms. If web camera technology develops as rapidly as we hope, it may very well be that to equip a very large number of rooms in this Palace with cameras which then do not need uplinks to transponders in order to be distributed across the cable digital satellite, never mind the complex digital terrestrial universe, you bypass all of that by using telephony as we know it and suddenly the startup costs become relatively cheap. I am not saying free. Web camera technology will always cost something. Web camera technology at the moment gives you rather fuzzy and not altogether satisfactory pictures, whereas we know the audio has gone in the net from two years ago being quite primitive, certainly not much above, if at all, rusty AM sound, to something which when I click on now and listen to programmes like Question Time for instance, if I missed it the night before, are very close to some standard of FM and that will only ever continue to improve. If web camera technology improves at the rate which we hope, there is no reason to believe that equipping lots and lots of rooms in the Palace with web camera technology would be anything other than a reasonable cost for somebody to have to pay. The mechanism of payment is something that we have discussed a little bit and clearly concerns lots of different institutions not just BBC.

  171. Absolutely. I do not want to be sidetracked down the road of filthy lucre just at the moment. It seems to me that what I want to get is a vision of what ideally we could be aiming for here. It seems to me that what you have just provided us with for technical background—and I apologise I was not here last week when your colleagues were here so I did not get the benefit of their advice to the Committee—what you have just presented to us from a technical point of view is the prize of being not only able to have coverage of virtually all the proceedings which we may wish to be covered, but also the added advantage of eliminating the services of your goodselves as editors, deciding for us what we will watch as any given point in time so that at eleven o'clock on a Thursday evening you can watch the Committee of Public Accounts, at seven o'clock on a Tuesday morning you are going to be saddled with the poor old Broadcasting Committee. Here we actually have the potential to be choosing for ourselves what we wish to see of Parliament's proceedings at a time we wish to see them and really extending back as far as the archive will let us.
  (Mr Damazer) That is right. The speed at which all of that becomes available and the extent to which it becomes, if not universally available, very widely available, contains a very large number of different factors behind it. In the way that this universe is developing, your analysis is entirely correct. There are archive facilities and search facilities and search engines on the net which will enable you, once you start doing it—clearly you have to have the material in the first instance—to search back from the time you started it on the Standing Committee on Asylum and Immigration as well as streaming live onto the web the current activities of that committee.

  Mr Gardiner: Chair, thank you, you have been extremely generous in allowing me to pursue this line. I hope I have established what I believe our vision for the Committee should be.

  Mr Gale: I am not sure you have.

Mrs Gordon

  172. I find the online developments very exciting. I think it is the way forward. I just wanted to say something quite flippant about the A-Z guide to Parliament. It is very good. I just hope you do not have zoo for Z or something like that.
  (Mr Damazer) We have been struggling and to be perfectly honest we may give a prize for the person who gets the Z.

  173. That is really interesting and I am interested in the education side. We do not really have time to go into it now. Just a point of information. Can you tell me what is actually broadcast during recess, the summer recess especially? I have to admit not watching it. It would be a busman's holiday quite honestly. There are acres of time there. What actually does fill up that time during the summer recess?
  (Mr Charters) Currently I have to say a 20-minute loop of highlights which is a barker tape in the sense of a fairground barker. Our plans, although they are not fixed but have been discussed, are to attempt in the Easter recess of next year—and I have not done a schedule—to see whether we could start filling the recesses with either highlights or perhaps related public affairs material on the C-SPAN model. As we know, when Congress is not sitting that goes out and does public meetings, unions, etcetera. One of the plans we have for example is to cover the teaching union conferences, the idea being that we would keep the unmediated, long form, basically captions to help you through it but no commentary or cutting. I must stress that is not set in stone. We have not done any detailed costings but this is one of the plans which we have discussed internally.
  (Mr Damazer) We shall be increasing our coverage of party conferences in the autumn and I believe we shall be covering the TUC for the first time. We were not able to do it last year. For that rather busy political month, if not parliamentary month, the channel will be up and running.

Mr Hopkins

  174. A very brief question on finance. I do take your argument about the importance of the licence fee. I am just wondering whether there might be areas where grants in aid might be appropriate and might not cut across BBC independence. For example, a one-off capital grant for startup costs, for kitting out the House for broadcasting. If it were a one-off grant, unconditional, capital spending, I would think that would not be such a problem and might ease some of the expenditure questions of the BBC and be fair to those who use the BBC mainly for entertainment.
  (Mr Damazer) One crucial point, if I may, is that it breaks the model which has been established over the last decade for the broadcasting of activities in the Palace, to wit PARBUL, which currently is the constitutionally responsible body for the licensing and distribution of the pictures. Of course, as you well know, PARBUL is constituted in such a way that members of this House have a very powerful say in all of that, but to break that model up, and I know there are some who are not entirely satisfied with it, in this kind of way would mean reorganising not merely the re-equipment of other rooms, but would call into question all the arrangements elsewhere and would clearly need discussion first of all between the House and broadcasters as a collective entity and then clearly within the broadcasting world itself there are bound to be quite significant points which develop, not all of which I could adumbrate here. That is not an absolute no. It would be foolish of me to say that. What I would say is that it clearly raises massive questions which PARBUL would have to look at.

Mr Gale

  175. I have listened with considerable attention to the oral waltz which you and Mr Gardiner have been performing and I should like to put some concluding questions to you. The potential of the net is very beguiling indeed. Mr Gardiner seemed to indicate that was the solution which was going to solve all the questions which have been posed. It may prove to be, one day, but you are particularly aware and Mr Charters is very particularly aware that simply putting cameras on committees is not palatable to most people and the skill of the BBC parliamentary channel is in packaging material, taking complex and sometimes arcane procedures, dare I say it even such as this one, and making it palatable to people who are not conversant with all the ways of the Palace of Westminster. It seems to me that unless that packaging is done, unless captioning is done, particularly sub-titling for the deaf as well, then the product is not going to be acceptable to most people in everyday life and therefore we shall defeat the objective, which is to bring Parliament to people and to enhance democracy which was the grand theory behind the original broadcasting exercise. A lot of what is already being done very well by the parliamentary channel, dare I say it, is going to have to go on being done, even if at the fringes there is scope for less sophisticated coverage. That is going to have to be paid for. That does bring us back to where we started this afternoon, which is money. I should now like to chuck back at you the final, really the bottom line, the last sentence in your written evidence, where you say of the net, "A far more economical—and flexible—route would be to provide streamed and archived video coverage via an online website. Whether the BBC could become involved would again have to be weighed against other objectives in the light of the licence fee review". What the BBC is prepared to pay for, what the BBC can pay for and what the BBC wants to pay for in the light of all the other demands made upon the licence fee. It seems to me it would be unreasonable to suggest that drama, music, children's television, radio, local radio, should suffer necessarily as a result of voracious demands of one particular area of broadcasting, parliamentary broadcasting. Mr Damazer, you said maybe Parliament would like to do that itself, maybe we would like to take on and create a website. There was the prospect at one stage of creating a parliamentary broadcasting unit which was exactly that, not PARBUL, the Parliamentary Broadcasting Unit Limited, but The Parliamentary Channel, run, paid for, by the Houses of Parliament. However, the BBC has to some extent taken unto itself that role and in so far as it is allowed to and is funded to do so and in so far as it can reach people, given the outlets it has got, it does it very well. It is probably some of the most interesting people that nobody is able to see which is currently available. We could re-invent the wheel. We could go back to recommend we will take re-possession of all of this and do it ourselves. My objective, which I think Mr Gardiner has misconstrued, in seeking to suggest a ring fence is not to re-invent the wheel. It is to say that here is a unit which is already up and running, which is doing as much of the job as it is enabled and financed to do and which could do more. Does it not make sense to enable it to do it? If it does, then it is surely not up to PARBUL, the Parliamentary Broadcasting Unit Limited, to say they will pay for all of this, nor is it up to the licence fee payer to say yes, they want even more of their BBC licence fee to go into that. There has to be another way of financing it. What we have not got to grips with and what I now want you to come back to if you would, relatively briefly, but take as much time as it takes to answer the question, is how we are going to do that if we are going to protect the BBC's stake in this as the broadcasting of Parliament.
  (Mr Damazer) Might I very briefly reiterate, not at great length, three or four points about financing direct from subvention from the Palace of Westminster? First of all, the Royal Charter and agreement specifically excludes that possibility. Of course that can be changed. As you will know, that is a monumental and at times titanic process. Second of all, there is the question of the universal availability in the digital world because of the digital terrestrial problem. Thirdly, and if I put this in a demotic way I beg forgiveness, the BBC cannot be open to suggestion that we broadcast something simply because someone has paid us to do so, even a body such as this. This body may be the closest one could get to to understanding the logic for broadcasting what someone has paid us to broadcast, but nevertheless in my view it would be a step too far and one which we would not wish to take. Fourthly, and rather more practically, just to expand on that point, if we are doing it for the Houses of Parliament, given that political power is dispersed widely in the United Kingdom, although this body is as important as you could conceive, it does not take a stretch of the imagination to envisage the Government saying there is a particular set of speeches or a political party saying there is a particular event which they feel might also be financed in this way. Of course there is a power to say no, but it nevertheless is opening up that prospect. If I might, and thank you for allowing me the time to say that, that encapsulates the reasons why I am particularly anxious and suspicious about funding in the direct way that at the beginning of this session the Chairman was suggesting was possible. May I come now to the question of costs and alternatives and Parliament itself doing things and BBC doing more? Where the BBC can add value in the way that I think we do through BBC Parliament, there is clearly an editorial reason to investigate expanding our activities and looking at the cost effectiveness of that expansion. That is where we currently stand in the online universe which I have described. It is not merely a question of the financing of the cabling and the re-equipping which is perhaps more arcane and difficult than I made out before, because I understand that in some respects Parliament has decided for itself to create a subvention for PARBUL for some of the equipment which is in the Palace, although not, as I understand it, in the main chambers. However, one can envisage a world where the costs come tumbling down enough, where the BBC as part of its public service perspective is genuinely proud to spend licence payers' money on creating the site which marries up the streamed picture of proceedings inside the House with value added material which the BBC is well placed to do. It is not impossible in some respects for the House to envisage setting up in the online world a unit for itself to do that. I say again, the advantage of the online world is that it is not merely a question of the re-equipment but the costs of the uplink, the transponder costs, which have to be met if we are not talking about online, which are a severe disincentive. Not a disincentive which is so extreme that we say never under any circumstances, no matter how buoyant our revenue, because it is a case we would constantly wish to examine. As my colleagues pointed out last week, it is not a no, it is impossible now and for ever, we could never envisage doing it. We merely have to take a judgement about the cost effectiveness of doing it against what we think other technologies will offer. If at the moment we are at a point—and I sense your anxiety about this—where we are not entirely certain that we can say at what point the technology will take off in such a way both in terms of its distribution and production that the total panoply of the Palace of Westminster will be available to a very large audience, it is only because things are changing very rapidly. I would not be pessimistic about it. I think that the kind of world Mr Gardiner was envisaging is one that is not difficult to see being provided in the course of the next few years. I would not wish to be more specific than that. The BBC will seriously engage with what it can provide in that universe from within the licence fee on the online universe. Whether there is a combination of the streamed picture and the added text and the archive and search engines which will make it a branded BBC service or whether it is better provided by yourselves, in which case the BBC would clearly wish to have a link established to that site such that anybody who enters through the BBC news online world will get rapidly, should they so wish, to that site, all of that is work which needs to be done in the course of the next year or so in order to establish what the best way forward is. I apologise for not being able at this stage to give you a definitive answer. The world is changing rapidly and it is the kind of enterprise which will need serious business planning and editorial planning to achieve and we spent most of the time in the last year concentrating on consolidating and improving the existing BBC Parliament channel. Were we to come back at some time in the not too distant future, I am sure we would have more to say on this.
  (Mr Charters) I would not want to add anything more but to say that within our current remit we are constantly striving to develop new strands of programming and indeed to offer as much bang for our buck as we can. What I do not see in terms of our cable and satellite operation is a sudden influx of money so that we could say all is possible. My job is to maximise the resources I have, which show no signs of diminishing but on the other hand I have not been promised large amounts of extra money to expand or to fill up my five hours a night.

  176. It is not a question of resources diminishing it is a question of the demands being placed upon those resources expanding to meet the needs of a Parliament in Scotland, a National Assembly in Wales, Parliament in Northern Ireland, regional assemblies in the United Kingdom, a main committee here and everything which already is not being covered here satisfactorily. How are you going to do it?
  (Mr Damazer) In terms of the Parliaments in Scotland and Wales, a considerable degree of financial editorial resource is already going in to making certain that in Scotland and Wales—and there are different solutions for each because the nature of the digital technology varies between Wales and Scotland—audiences feel that a genuine public service proposition is being offered for the coverage of Holyrood and Cardiff. In terms of the BBC Parliament channel, yes, it is true that the arrival of devolution has meant a change in the editorial configuration of the channel, but completely understood that the Westminster Parliament of the United Kingdom is the dominant proposition. I put it to you that although there will be demand for people outside Scotland and Wales to see coverage of Holyrood and Cardiff, it is bound to be limited. Therefore significant extra resources being put in that direction for the channel as a whole would probably be a mistake in view of what should happen next. Although I recognise that there are these pressing other constitutional developments which need looking after, in the case of Scotland and Wales it was so immediate and urgent that that was solved for Scotland and Wales. The work has already, clearly, both been considered and to a considerable degree done and doubtless will develop further. There are different orders of magnitude here and different editorial priorities which need to be addressed with different solutions across the United Kingdom.

  Mr Gale: Thank you for your time. You have been very generous. I apologise for the fact that you were delayed by the division on the floor of the House. If we have any further questions we shall put them in writing to you and I am sure you will endeavour to answer them.





 
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