Memorandum submitted by Music Business
Forum[23]
ABOUT THE
MUSIC BUSINESS
FORUM
The Music Business Forum (MBF) is an informal
group of music business and related organisations that, since
its inception in the spring of 2002, has gained a reputation as
an effective representation of music business interests in its
widest sense to Government and beyond.
The members of the MBF represent interests from
all aspects of the UK music-making community, ranging from composition,
adaptation, performance, use, licensing, publishing, recording,
investment, distribution, marketing, training, education and business
development in all the ways that reflect the vibrant diversity
of the industry.
Membership details for the Music Business
Forum:
— AIM (Association of Independent Music)
— APRS (Association of Professional
Recording Services)
— AURA (Association of United Recording
Artists)
— British Academy of Composers &
Songwriters
— BARD (British Association of Record
Dealers)
— BPI (British Phonographic Industry)
— Music Education Council
— Music Industries Association (MIA)
— Music Managers Forum (MMF)
— MPA—(Music Publishers Association)
— PPL (Phonographic Performance Ltd)
— VPL (Video Performance Ltd)
BBC AND MUSIC
The Music Business Forum (MBF) welcomes the
Committee's inquiry into the BBC Charter Review. We believe that
music is at the heart of the BBC as a public service broadcaster
and the services it provides. The importance of the relationship
between music and the BBC can be demonstrated by pointing to the
facts that:
— Almost 60% of BBC radio network content
is made up of music;
— The BBC is the biggest commissioner
of music in the world;
— The BBC is a major employer of musicians,
running 5 symphony orchestras in England, Scotland and Wales,
and the BBC Singers;
Without the BBC it's doubtful whether the huge
range of music that is made and listened to across the UK would
have a broadcasting platform. In addition, the BBC acts as an
important showcase for musicians and music within the United Kingdom
and to wider audiences around the world.
We concur with the Secretary of State for Culture,
Rt. Hon Tessa Jowell MP, that the BBC should be venture capitalist
for creativity.
We very much welcome the BBC's own response
to the DCMS Review of BBC Royal Charter and its "Building
Public Value" document.
RESPONSES TO
SPECIFIC INQUIRY
QUESTIONS
Given expected growth in digital TV and likely
developments in the internet and other new media, what scope and
remit should the BBC have?
The various components of the BBC are all of
vital importance to UK music-making as distribution channels in
terms of commissioning, audiences, live music and almost every
other aspect of the industry by simply providing quality and diversity
of music for the listener or viewer.
BBC Radio Services:
We are keen that radio is given the support
and prominence it deserves within the BBC, especially as digital
radio stations become more prevalent. We particularly welcome
the BBC's commitment to new music and live music. We recognise
that the BBC has an important role to play as the "plus one"
at the local level and appreciate the extension of local radio
to underserved areas to facilitate the expression of local cultural
and community identity.
BBC Television Channels:
It is felt that BBC television channels, taken
as a whole are very much "light" with respect to music
programming. There needs to be an increase of creativity in music
programming put on BBC's mainstream channels and made accessible
through more sensible scheduling.
BBC Online:
The breadth of content and services offered
by the BBC online, whilst commendable in its range in many ways,
should not be allowed to extend beyond its core competency and
risk negative commercial impact on others. Core public (service)
values are important here, and we look forward to the BBC's own
response to the Graf review. Whilst we acknowledge the profiling
of British broadcasting and content is important, rights should
be considered at every stage of development, particularly when
extending to any services which allow the downloading of content
by users of a particular service.
Archive:
If new archiving technologies allow past programming
to be accessed by viewers in new ways then the BBC must ensure
that within the implementation of such initiatives there is respect
for the copyrights and performers' rights of those who contribute
to BBC programmes. This includes the provision for rights holders
to be appropriately paid for the additional use of their work
through access to archives. This should be the case whether in
the form of repeat broadcasting fees, extensions of the collective
bargaining agreements in place for the payments of revenue for
secondary uses, or through the negotiation of clearance for the
right to exercise new rights on individually negotiated commercial
terms.
Education / Media Literacy:
The BBC has an important duty to promote media
literacy and we are pleased that the BBC recognises that this
is a priority area. This should not be just about helping to present
and use the diversity of work that is available, but also in educating
audiences and potential creators and creative entrepreneurs of
the future about the importance of creative people being able
to earn a living from the use of their work. The BBC's role in
the promotion and delivery of creativity is paramount and we would
therefore like to see the BBC play a central role as a copyright
education facilitator because of its unparalleled access to audiences
on a variety of levels and in a multiplicity of ways. This is
particularly vital given the BBC's archive initiative and resulting
public perception of this material as "free".
Commercial Services:
The MBF believes that, to the extent that the
BBC undertakes commercial services, these should be complimentary
to the public services operated by the BBC, and not detract from
them. Where the BBC does undertake commercial activities, it should
get a good and fair return for licence fee payers and content
owners, especially overseas. It is important to recognise that
creators must be rewarded properly. Rights owners and contributors
to the BBC programmes and ancillary works commissioned by the
BBC must be able to negotiate fair terms for the use of
their work on a free market commercial basis. The BBC in its role
as public service broadcaster should be a standard bearer for
best business practice in this area. We welcome the BBC's current
internal inquiry in this area.
Regional Dimension:
The BBC has an important and unique role to
play in providing distinctive services at the local level. In
terms of music provision, the MBF supports the production of the
regionally-based programming by the BBC and applauds further efforts
in this area. Regional production of music-based programming plays
a vital role in enabling new talent to be heard, local creative
economies to be sustained and regional culture to be supported.
With the steady withdrawal of broadcasters from the regions, the
need for a strong BBC regional base becomes imperative. Moreover,
we note that this is a potential growth area for the BBC and vital
to music as it underpins diversity and access, which are key.
We want to see community level programming having an opportunity
to be picked up and introduced to the mainstream, so that the
mainstream itself can evolve to embrace more diverse influences.
IN THE
CONTEXT OF
SCOPE AND
REMIT, HOW
SHOULD THE
BBC BE FUNDED?
BBC editorial independence and integrity can
best be preserved for the term of any new Charter by funding secured
through a licence fee. This enables financial accountability to
the public at large and a direct connection between the BBC and
British public.
A secure funding base allows the BBC to invest
in creativity, innovation and risk taking. Funding fragmentation
of the BBC would result in a reduction in programming quality
and range.
We acknowledge the results of the DCMS consultation
"what you said about the BBC" which documented that
the licence fee is widely considered to be the best or least worst"
way to pay for the BBC for the next Charter, with nearly two thirds
(63%) supporting the licence fee in its current form.
We recognise that the BBC is willing to modernise
aspects of the licence fee, making it easier to pay and cheaper
to collect and these proposals are welcomed.
HOW SHOULD
THE BBC BE
GOVERNED AND/OR
REGULATED AND
WHAT ROLE
SHOULD BE
PLAYED BY
THE OFFICE
OF COMMUNICATIONS?
Whilst we recognise that the self-regulatory
culture of the Board of Governors has worked well to a certain
extent, it has also often been influenced by the management of
the BBC. We believe a Board of Governors should be equally free
of influence from government and management in order for it to
be successful. We welcome the steps proposed by the BBC in this
area, such as the Governance Unit, and application of the public
value test.
The role of the BBC Governors needs careful
review taking into account the different skills that are needed
to carry out the aspects of "corporate governance" relevant
to the governors current role and the regulatory aspects of their
role.
We believe that there should be a Governor on
the Board to represent the role of music in the BBC's broadcasting.
We see Ofcom's role as that of economic regulator
and, as such, separate from the Board of Governors.
We believe that the role of music in radio and
television must not be allowed to slip down the agenda of priorities
for regulation both for Governance of the BBC and through Ofcom
generally.
IN A
CHANGING COMMUNICATIONS
ENVIRONMENT, DOES
A 10-YEAR
ROYAL CHARTER
AND AGREEMENT
WITH THE
SECRETARY OF
STATE, TOGETHER,
PROVIDE THE
MOST APPROPRIATE
REGIME FOR
THE BBC?
A Royal Charter continues to be the most appropriate
basis for the establishment of the BBC and a new Charter should
be granted to apply from 2006. We agree with the BBC in that any
other model chosen would have to be at least as effective as the
current model in underpinning the BBC's independence and public
role.
It is important that music should be expressly
referred to as a key part of the cultural activity both for public
service radio services and public service television services
provided by the BBC. Furthermore, given that music is such a vital
part of the BBC's work, we think that it is necessary to preserve
and build upon the express references to music within the current
Charter in the new Charter.
September 2004
23 See also Ev 64-72 Back
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