Select Committee on Culture, Media and Sport Minutes of Evidence


Examination of Witnesses (Questions 380-385)

24 APRIL 2007

MS IONA JONES, MR BOBBY HAIN AND MR DAVE RUSHTON

  Q380  Chairman: So your enthusiasm is in the hope that actually STV might play a part in the PSP in Scotland?

  Mr Hain: Yes, and I think, as I said earlier, we are very well placed to do that. I think we are outside of the traditional loop of the BBC and Channel 4, we are a natural destination within Scotland, we play a lead role in the creative community already and a lot of the programmes that we make use production teams which will make other forms of content either for the BBC, for Channel 4 or for the film industry, so there is a real cluster of creativity which I think this would be a great benefit to, and that would be the case we would make.

  Q381  Chairman: It will not supply local TV, in your view? That is something that you believe should be left to the market, as long as the market is given a hand with spectrum?

  Mr Rushton: No, no, I think that an element of the public service publisher should be allocated to local TV, and £70 million out of the original £300 million was identified from lost regional television output and that possibly could contribute to the infrastructure if there is indeed a cost for spectrum and some of it might be going to pay for that or to offset it and possibly to support public service programming in those areas where a commercial service is not able to be provided because the community is too diffuse and there is no central commercial player, such as a newspaper or radio or any other commercial organisation, to supply that content to the quality that we would all like to see. I have to echo the point that I think, without at the moment having television as a way of bringing a sufficient audience together to create either advertising or public service programming to provide to a large audience, you are not going to get the content to a quality where original creation just for broadband would be there, but you do need the television audience. Particularly, I think, the innovation of local television which has not been discussed is that communities of interest across the country do not coincide with the national map of where everybody is. If we want to talk about Grimsby and fishing, we might also want to talk about Peterhead and it may be that a group in Peterhead and a group in Grimsby make a great programme about fishing on the east coast which otherwise would never be made and never be seen because the communities that are interested in that are located across just one part of the country, so local to local is probably as important as just the individual local programming in the way of creating a critical mass of production and developing funding for sponsorship and so on for those programmes across the country.

  Q382  Paul Farrelly: Bobby, Iona described her rather more collaborative arrangements these days with the BBC, but in Scotland it is out-and-out competitiveness and it is right in your face all the time. To what extent in Scotland is the BBC the elephant in the room and in which respects would you say it unfairly impedes the commercial sector in a way which is not to the benefit of the consumer?

  Mr Hain: I think that our experience is that you tend to see the word "plurality" in regulatory documents and actually in Scotland there is real plurality and actually that is where it exists; I think that we provide different services. Actually I do not think there is any animosity between us at all and I think that there is a very collaborative working arrangement. We are now neighbours at Pacific Quay and there is a use of each other's resources, they use our OBs and I hope that we will use their studios, so actually there is a great deal of collaboration. The services that we provide are very different and I think our sense of it is that, were we not such a strong counterpoint to the BBC in Scotland and if we did not deliver two regions worth of news, as we have done, and latterly four sub-regions of news centred on the biggest cities in Scotland across Glasgow, Edinburgh, Dundee and Aberdeen, then I think it is questionable to the degree that the BBC would continue to invest in Scotland. Scotland in BBC terms, for example, is without the kind of local radio network that the rest of the UK enjoys, particularly in England, so I think that there is a very different flavour to the kind of broadcasters that we are. I think in our terms, and this is where we are hoping that the regulatory framework will recognise where we exist and the kind of animal that we are, our most recent experience with the BBC is a disappointing one because in terms of the WoCC, (the window of creative competition), as a non-qualifying independent, our production company, because of its association with STV, has been applying for BBC commissions. Now, they got past the first post, the commissioner was interested and then the BBC turned round and said, "Actually this is a commission which is not going to be WoCC-able". Therefore, in that sense we are being disadvantaged not because of the quality of our idea or any suggestion that we would not be able to deliver on it, but we are being discounted as a producer to the BBC purely on the basis of our regulatory stance, if you like, and I think that that is an issue that the BBC has. I think we have said it in the submission, and I think we still believe, that the way to fix that is to look at our independent status because, as it comes directly from our involvement and our closeness to the ITV network, it is simply assumed that we are part of the ITV network when in fact we have got no power at the heart of the federal system to help make commissioning decisions and, therefore, we get to that rather odd situation with the BBC where we want to work with them and actually they want to work with us, but there is this rather artificial regulatory barrier which stops us from getting on. I think the other thing I would say with reference to what the BBC does in Scotland, and I think it is a general point about the degree to which they have invested behind the online space, I know that there was some disappointment that the licence fee settlement was not greater than it was, but, when you live in the commercial world and you are looking at RPI minus ten as a commercial reality from advertising, it becomes very difficult to think about how you can be such a counterpoint to the BBC and deliver online plurality in the way that you manage to do so within your regulated service.

  Q383  Paul Farrelly: So that is an example of what, you feel, the BBC might actually be doing less of so as not to crowd you out, but is there an example of what, more generously, the BBC should be doing more of in Scotland?

  Mr Hain: I think that the BBC really needs to look at its own news and current affairs in terms of its local delivery, and we heard Mark Thompson earlier on talk about the degree to which the broadband extension may or may not happen because of the current settlement. I think that is an area where the BBC has some catching up to do, if you like, and, although I would not necessarily blame the BBC for being in the position they are in, I think it just remains an example where commercially delivered PSB can match, and we are not alone in doing this, I know that there are other ITV examples around the country and particularly in Ulster and elsewhere, but actually from a nation's point of view what we can do commercially at this point outstrips and surpasses what the BBC can do and I think that commercially continuing to make that work is important. It is obviously up to the BBC whether they decide to go down that road either on broadband or within their own television service, but as much as they have a single BBC Scotland identity, I do not think they are the national broadcaster. I think that absolutely is a name and a position that we can claim and I think that is why we are passionate about continuing to deliver it.

  Paul Farrelly: Iona, you have described the dance that you have had over time with the BBC and some of your hopes for collaboration with them with things such as children's programming, but you must still feel a bit like Angelina the Ballerina, sort of the mouse traipsing out of Babar the Elephant really. I am in tune with youth culture, Chairman!

  Chairman: Very impressive!

  Q384  Paul Farrelly: Are there areas which you feel the BBC is doing too much of in Wales and it is crowding out people which is not to the benefit of the consumer or the viewer?

  Ms Jones: Firstly, I should say that Angelina is a very good dancer! BBC Wales's contribution particularly, and obviously we are not an English language broadcaster, is significant and very important. You alluded earlier on to the fact that there is a considerable monopoly in newspaper provision in your area, and the same goes for Wales as a nation, and a strong BBC and a successful BBC is very important for all of us, but particularly because of the lack of plurality which our audiences currently have.

  Q385  Paul Farrelly: Are there things which the BBC should be doing more of in Wales?

  Ms Jones: No, it is fine as it is.

  Chairman: I think we are going to have to call a halt. Can I thank the three of you very much.





 
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