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(1C) In relation to a person whose first complete accounting period falling | |
within the relevant period has not ended when the penalty is | |
imposed, subsection (1B)(b) is to be construed as referring to 5 per | |
cent. of the amount which OFCOM estimate to be the qualifying | |
revenue for that accounting period. | 5 |
(1D) Section 102(2) to (6) applies for determining or estimating qualifying | |
revenue for the purposes of subsection (1B) or (1C) above.” | |
(2) In subsection (3) of that section (maximum penalty for failure by holder of a | |
sound broadcasting licence that is not a national licence to comply with | |
licence conditions or directions), for “£50,000” there shall be substituted | 10 |
“£250,000”. | |
(3) This paragraph applies in relation to a failure to comply with a condition or | |
direction only if it is one occurring after the commencement of this | |
paragraph. | |
Additional radio services licences | 15 |
8 (1) For subsection (2) of section 120 (penalties for failure by holder of additional | |
radio services licence to comply with licence conditions or directions) there | |
shall be substituted— | |
“(1A) The amount of a financial penalty imposed on a person in pursuance | |
of subsection (1) shall not exceed 5 per cent. of the qualifying revenue | 20 |
for the licence holder’s last complete accounting period falling | |
within the period for which his licence has been in force (‘the | |
relevant period’). | |
(1B) In relation to a person whose first complete accounting period falling | |
within the relevant period has not ended when the penalty is | 25 |
imposed, subsection (1A) is to be construed as referring to 5 per cent. | |
of the amount which OFCOM estimate to be the qualifying revenue | |
for that accounting period. | |
(1C) Section 118(2) applies for determining or estimating qualifying | |
revenue for the purposes of subsection (1A) or (1B) above.” | 30 |
(2) This paragraph applies in relation to a failure to comply with a condition or | |
direction only if it is one occurring after the commencement of this | |
paragraph. | |
Power to amend penalties under the 1990 Act | |
9 (1) The Secretary of State may by order amend any of the provisions of the 1990 | 35 |
Act specified in sub-paragraph (2) by substituting a different sum for the | |
sum for the time being specified in that provision. | |
(2) Those provisions are— | |
(a) section 18(3B)(a) and (3C)(a); | |
(b) section 42B(3A)(a); | 40 |
(c) section 101(3B)(a) and (3C)(a); | |
(d) section 110(1B)(a) and (3). | |
(3) No order is to be made under this paragraph unless a draft of the order has | |
been laid before Parliament and approved by a resolution of each House. | |
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Part 2 | |
Broadcasting Act 1996 | |
Preliminary | |
10 The 1996 Act shall be amended as follows. | |
Revocation of television multiplex licences | 5 |
11 (1) In subsection (5) of section 11 (penalty on revocation of television multiplex | |
licence), the words from “not exceeding” onwards shall be omitted. | |
(2) For subsection (6) of that section (amount of penalty) there shall be | |
substituted— | |
“(5A) The maximum amount which a person may be required to pay by | 10 |
way of a penalty under subsection (5) is the maximum penalty given | |
by subsections (5B) and (5C). | |
(5B) In a case where the licence is revoked under this section or the | |
penalty is imposed before the end of the first complete accounting | |
period of the licence holder to fall within the period for which the | 15 |
licence is in force, the maximum penalty is whichever is the greater | |
of— | |
(a) £500,000; and | |
(b) 7 per cent. of the amount which OFCOM estimate would | |
have been the multiplex revenue for the first complete | 20 |
accounting period of the licence holder falling within the | |
period for which the licence would have been in force. | |
(5C) In any other case, the maximum penalty is whichever is the greater | |
of— | |
(a) £500,000; and | 25 |
(b) 7 per cent. of the multiplex revenue for the last complete | |
accounting period of the licence holder falling within the | |
period for which the licence is in force. | |
(5D) Section 14 applies for estimating or determining multiplex revenue | |
for the purposes of subsection (5B) or (5C) above.” | 30 |
(3) This paragraph applies only in a case of a revocation in relation to which— | |
(a) the notice required by section 11(2) of the 1996 Act, or | |
(b) the notice revoking the licence, | |
is served after the commencement of this paragraph. | |
Attribution of television multiplex revenue | 35 |
12 (1) In subsection (1) of section 15 (attribution of multiplex revenue for the | |
purposes of section 17(3)), for “17(3)” there shall be substituted “17(2A) and | |
(2B)”. | |
(2) In subsection (2) of that section (attribution for the purposes of sections 23(3) | |
and 27(3)), for “section 23(3) or section 27(3)” there shall be substituted | 40 |
“sections 23(2A) to (5) and 27(2A) to (5)”. | |
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(3) This paragraph has effect in relation only to cases in which section 17, 23 or | |
27 applies as amended by this Schedule. | |
Multiplex licences | |
13 (1) In subsection (2) of section 17 (penalty for failure by holder of television | |
multiplex licence to comply with licence conditions or directions), for the | 5 |
words from “whichever is the greater” onwards there shall be substituted | |
“the maximum penalty given by subsection (2A).” | |
(2) For subsection (3) of that section (maximum penalties) there shall be | |
substituted— | |
“(2A) The maximum penalty is whichever is the greater of— | 10 |
(a) £250,000; and | |
(b) 5 per cent. of the share of multiplex revenue attributable to | |
the licence holder for his last complete accounting period | |
falling within the period for which his licence has been in | |
force (‘the relevant period’). | 15 |
(2B) In relation to a person whose first complete accounting period falling | |
within the relevant period has not ended when the penalty is | |
imposed, subsection (2A)(b) is to be construed as referring to 5 per | |
cent. of the amount which OFCOM estimate to be the share of | |
multiplex revenue attributable to him for that accounting period. | 20 |
(2C) Section 15(1) and (3) applies for determining or estimating the share | |
of multiplex revenue attributable to a person for the purposes of | |
subsection (2A) or (2B) above.” | |
(3) This paragraph applies in relation to a failure to comply with a condition or | |
direction only if it is one occurring after the commencement of this | 25 |
paragraph. | |
Digital television programme licences | |
14 (1) In subsection (2) of section 23 (penalty for failure by holder of digital | |
television programme licence to comply with licence conditions or | |
directions), for the words from “whichever is the greater” onwards there | 30 |
shall be substituted “the maximum penalty given by subsection (2A).” | |
(2) For subsection (3) of that section (maximum penalties) there shall be | |
substituted— | |
“(2A) The maximum penalty is whichever is the greater of— | |
(a) £250,000; and | 35 |
(b) 5 per cent. of the aggregate amount of the shares of multiplex | |
revenue attributable to him in relation to multiplex services | |
in respect of relevant accounting periods.” | |
(3) In subsection (4) of that section (meaning of “relevant accounting period”), | |
for “subsection (3)(a)” there shall be substituted “subsection (2A)”. | 40 |
(4) In subsection (5) of that section, for “not yet ended, then for the purposes of | |
subsection (3)” there shall be substituted “not ended when the penalty is | |
imposed, then for the purposes of this section”. | |
(5) Before subsection (6) of that section there shall be inserted— | |
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| |
“(5B) Section 15(2) and (3) applies for determining or estimating the share | |
of multiplex revenue attributable to a person for the purposes of | |
subsection (2A) or (5) above.” | |
(6) This paragraph applies in relation to a failure to comply with a condition or | |
direction only if it is one occurring after the commencement of this | 5 |
paragraph. | |
Digital additional television services licences | |
15 (1) In subsection (2) of section 27 (penalty for failure by holder of digital | |
additional services licence to comply with licence conditions or directions), | |
for the words from “whichever is the greater” onwards there shall be | 10 |
substituted “the maximum penalty given by subsection (2A).” | |
(2) For subsection (3) of that section (maximum penalties) there shall be | |
substituted— | |
“(2A) The maximum penalty is whichever is the greater of— | |
(a) £250,000; and | 15 |
(b) 5 per cent. of the aggregate amount of the shares of multiplex | |
revenue attributable to him in relation to multiplex services | |
in respect of relevant accounting periods.” | |
(3) In subsection (4) of that section (meaning of “relevant accounting period”), | |
for “subsection (3)(a)” there shall be substituted “subsection (2A)”. | 20 |
(4) In subsection (5) of that section, for “not yet ended, then for the purposes of | |
subsection (3)” there shall be substituted “not ended when the penalty is | |
imposed, then for the purposes of this section”. | |
(5) Before subsection (6) of that section there shall be inserted— | |
“(5B) Section 15(2) and (3) applies for determining or estimating the share | 25 |
of multiplex revenue attributable to a person for the purposes of | |
subsection (2A) or (5) above.” | |
(6) This paragraph applies in relation to a failure to comply with a condition or | |
direction only if it is one occurring after the commencement of this | |
paragraph. | 30 |
Power to amend digital television penalties | |
16 For section 36(2) and (3) (provisions that may be amended and negative | |
resolution procedure) there shall be substituted— | |
“(2) The provisions referred to in subsection (1) are— | |
(a) section 11(5B)(a) and (5C)(a); | 35 |
(b) section 17(2A)(a); | |
(c) section 23(2A)(a); and | |
(d) section 27(2A)(a). | |
(3) No order is to be made under subsection (1) unless a draft of the | |
order has been laid before Parliament and approved by a resolution | 40 |
of each House.” | |
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Revocation of radio multiplex licences | |
17 (1) In section 53(5) (maximum penalty on revocation of radio multiplex licence), | |
for “£50,000”, in both places, there shall be substituted “£250,000”. | |
(2) This paragraph applies only in a case of a revocation in relation to which— | |
(a) the notice required by section 53(2) of the 1996 Act, or | 5 |
(b) the notice revoking the licence, | |
is served after the commencement of this paragraph. | |
Attribution of radio multiplex revenue | |
18 (1) In subsection (1) of section 57 (attribution of multiplex revenue for the | |
purposes of sections 59(3)), for “59(3)” there shall be substituted “59(2A) and | 10 |
(2B)”. | |
(2) In subsection (2) of that section, (attribution for the purposes of sections | |
62(3) and 66(3)), for “section 62(3) or section 66(3)” there shall be substituted | |
“sections 62(2A) to (5) and 66(2A) to (5)”. | |
(3) This paragraph has effect in relation only to cases in which section 59, 62 or | 15 |
66 applies as amended by this Schedule. | |
Contraventions of conditions of radio multiplex licences | |
19 (1) In subsection (2) of section 59 (penalty for failure by holder of radio | |
multiplex licence licence to comply with licence conditions or directions), for | |
the words from “whichever is the greater” onwards there shall be | 20 |
substituted “the maximum penalty given by subsection (2A).” | |
(2) For subsection (3) of that section (maximum penalties) there shall be | |
substituted— | |
“(2A) The maximum penalty is whichever is the greater of— | |
(a) £250,000; and | 25 |
(b) 5 per cent. of the aggregate amount of the share of multiplex | |
revenue attributable to him for his last complete accounting | |
period falling within a period for which his licence has been | |
in force (‘the relevant period’). | |
(2B) In relation to a person whose first complete accounting period falling | 30 |
within the relevant period has not ended when the penalty is | |
imposed, subsection (2A)(b) is to be construed as referring to 5 per | |
cent. of the amount which OFCOM estimate to be the share of | |
multiplex revenue attributable to him for that accounting period. | |
(2C) Section 57(1) and (3) applies for determining or estimating the share | 35 |
of multiplex revenue attributable to a person for the purposes of | |
subsection (2A) or (2B) above.” | |
(3) In subsection (4) of that section (maximum penalty to be imposed on holder | |
of local radio multiplex licences for failure to comply with conditions or | |
directions), for “£50,000” there shall be substituted “£250,000”. | 40 |
(4) This paragraph applies in relation to a failure to comply with a condition or | |
direction only if it is one occurring after the commencement of this | |
paragraph. | |
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Digital sound programme licences | |
20 (1) In subsection (2) of section 62 (penalty for failure by holder of digital sound | |
programme licence to comply with licence conditions or directions), for the | |
words from “whichever is the greater” onwards there shall be substituted | |
“the maximum penalty given by subsection (2A).” | 5 |
(2) For subsection (3) of that section (maximum penalties) there shall be | |
substituted— | |
“(2A) The maximum penalty is whichever is the greater of— | |
(a) £250,000; and | |
(b) 5 per cent. of the aggregate amount of the shares of multiplex | 10 |
revenue attributable to him in relation to national radio | |
multiplex revenue in respect of relevant accounting periods.” | |
(3) In subsection (4) of that section (meaning of “relevant accounting period”), | |
for “subsection (3)” there shall be substituted “subsection (2A)”. | |
(4) In subsection (5) of that section, for “not yet ended, then for the purposes of | 15 |
subsection (3)” there shall be substituted “not ended when the penalty is | |
imposed, then for the purposes of this section”. | |
(5) After that subsection there shall be inserted— | |
“(5A) A determination or estimate for the purposes of subsection (2A) or | |
(5) above of the share of multiplex revenue attributable to a person— | 20 |
(a) in the case of a contravention relating to a digital sound | |
programme service provided for inclusion in a radio | |
multiplex service, is to be in accordance with section 57(2) | |
and (3); and | |
(b) in any other case, is to be in accordance with section 15(2) and | 25 |
(3).” | |
(6) In subsection (6) of that section (maximum penalty where licence is a local | |
digital sound programme licence), for “£50,000” there shall be substituted | |
“£250,000”. | |
(7) This paragraph applies in relation to a failure to comply with a condition or | 30 |
direction only if it is one occurring after the commencement of this | |
paragraph. | |
Licences for digital additional sound services | |
21 (1) In subsection (2) of section 66 (penalty for failure by holder of digital | |
additional sound services licence to comply with licence conditions or | 35 |
directions), for the words from “whichever is the greater” onwards there | |
shall be substituted “the maximum penalty given by subsection (2A).” | |
(2) For subsection (3) of that section (maximum penalties) there shall be | |
substituted— | |
“(2A) The maximum penalty is whichever is the greater of— | 40 |
(a) £250,000; and | |
(b) 5 per cent. of the aggregate amount of the shares of multiplex | |
revenue attributable to him in relation to national radio | |
multiplex revenue in respect of relevant accounting periods.” | |
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(3) In subsection (4) of that section (maximum penalty where licence is a local | |
digital sound programme licence), for “£50,000” there shall be substituted | |
“£250,000”. | |
(4) In subsection (5) of that section (meaning of “relevant accounting period”) | |
for “subsection (3)” there shall be substituted “subsection (2A)”. | 5 |
(5) In subsection (6) of that section, for “not yet ended, then for the purposes of | |
subsection (3)” there shall be substituted “not ended when the penalty is | |
imposed, then for the purposes of this section”. | |
(6) After that subsection there shall be inserted— | |
“(6A) A determination or estimate for the purposes of subsection (2A) or | 10 |
(6) above of the share of multiplex revenue attributable to a person— | |
(a) in the case of a contravention relating to a digital additional | |
programme service provided for inclusion in a radio | |
multiplex service, is to be in accordance with section 57(2) | |
and (3); and | 15 |
(b) in any other case, is to be in accordance with section 15(2) and | |
(3).” | |
(7) This paragraph applies in relation to a failure to comply with a condition or | |
direction only if it is one occurring after the commencement of this | |
paragraph. | 20 |
Power to amend digital television penalties | |
22 For section 69(2) and (3) (provisions that may be amended and negative | |
resolution procedure) there shall be substituted— | |
“(2) The provisions referred to in subsection (1) are— | |
(a) section 53(5)(a) and (b)(i); | 25 |
(b) section 59(2A)(a) and (4); | |
(c) section 62(2A)(a) and (6); and | |
(d) section 66(2A)(a) and (4). | |
(3) No order is to be made under subsection (1) unless a draft of the | |
order has been laid before Parliament and approved by a resolution | 30 |
of each House.” | |
Schedule 14 | |
Section 339 | |
Media ownership rules | |
Part 1 | |
Channel 3 services | 35 |
Ban on newspaper proprietors holding Channel 3 licences | |
1 (1) A person is not to hold a licence to provide a Channel 3 service if— | |
(a) he runs a national newspaper which for the time being has a national | |
market share of 20 per cent. or more; or | |
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