Select Committee on Culture, Media and Sport Minutes of Evidence


Examination of Witnesses (Questions 200-203)

MR ANDY DUNCAN AND MS ANNE BULFORD

13 MARCH 2007

  Q200  Paul Farrelly: In a nutshell, would it be fair to say that the ownership structure which confers stability is important in allowing you to fulfil that role?

  Mr Duncan: I think the Channel 4 model has been highly successful for the last 25 years and the fact that we are publicly owned with a public purpose has been absolutely at the core of that and this very inspiring remit to innovate has been at the core of that. Essentially, we have had a business model that was an analogue business model, which is Channel 4 can do all of that through analogue spectrum subsidy. It is a fairly simple issue in a way. It is saying as we now move to a fully digital world what the policymakers and Government need to now find is a suitable adjusted business model which can continue that going forward so Channel 4 can carry on over hopefully the next 25 years playing an equally valuable and powerful role.

  Q201  Chairman: The BBC has to go through Charter renewal, licence fee negotiations and ITV has to have its own licence renewal process, it has shareholders to answer to. What would you say to the criticism which has been made by some of your competitors that basically Channel 4 has a pretty loose remit which allows them to do what they like and are answerable to nobody?

  Mr Duncan: I simply do not agree with that. First of all, the remit is a very clear and inspiring remit which has been shown to work very effectively over our recent past and, indeed, over our whole history. Tessa Jowell herself made the remark in London last autumn that she thought the remit was essentially very sound. I think in terms of governance we have very clear structures which have been shown to work well. We have an independent board of non-executives outnumbering executives and the board itself takes its responsibilities very seriously in terms of the Statements of Programme Policy and reviewing the delivery against the remit. We also have a number of quotas, so we have specific numbers of hours that we are required to do in terms of news, current affairs, religion and, of course, we have a separate independent regulator who is heavily involved in our business and we are a very heavily regulated business. I think the combination of an independent board and a regulator—and bear in mind this is not like the old BBC structure, the board itself has nothing to do in terms of regulation, so it is more of a mixed role in the way the BBC governors were before—means we are very rigorously regulated and we are very rigorously overseen by the board. As I said, the track record speaks for itself. Going forward, the governance system in place is very strong and continues to work well. At the same time, very importantly, it allows us to be independent of government and I think that is very, very important as a broadcaster, not least with some of the topics we cover.

  Q202  Philip Davies: Can I come back to The Great Climate Change Swindle because, unlike Adam, I think you should be congratulated wholeheartedly for that programme because in a free country we are in danger of having a subject where you are only allowed one particular view and any other view is not even allowed to be aired, so I think you should be congratulated wholeheartedly for that. Is it your contention that only Channel 4 would have shown that programme, that perhaps the BBC would not have had the guts to show a programme like that?

  Mr Duncan: If you look at the evidence of the last 25 years, the evidence of the last couple of years, I would say that Channel 4 has this particular remit and it is deep in the culture of the organisation in terms of the commissioning capability. It is certainly something which we work very closely with independent production companies on and the sorts of ideas that they bring to Channel 4 and it is something that the brand stands for with our audience. We do tend to be very innovative in the programmes we do. We have many more new one-off programmes than any other broadcaster and we do tend to push the boundaries, yes. I think it is probably easier for us. The BBC does a great number of very good programmes but I would say that more often Channel 4 will push a controversial view or push a contrary view or push an alternative view, that is part of what we are there to do.

  Philip Davies: Just to clarify, I understand all that, but do you think that the BBC specifically would not have had the guts to show The Great Climate Change Swindle or any other broadcaster would not have had the guts to show that particular programme?

  Q203  Adam Price: Fox News, maybe!

  Mr Duncan: I cannot comment on whether they would or they would not, but I would say it is very typical of what Channel 4 does and has done very well over a number of years. If you take our audience tracking research, we tend to come off the scale compared with other broadcasters, including the BBC, on issues like risk-taking, innovation and pushing the boundaries.

  Philip Davies: I will take that then as they would not have had the guts.

  Chairman: I will merely observe that Channel 4 did have the guts to show The Deal which was turned down by the BBC and I just hope you do not suffer for it in the next few months. Thank you very much.





 
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