Examination of Witnesses (Questions 900
- 904)
WEDNESDAY 14 NOVEMBER 2007
Mr Ed Richards and Mr Peter Phillips
Q900 Chairman:
Were you surprised by the Competition Commission's view in that
interim statement that it did not consider pluralism of news an
issue?
Mr Richards: We were a little surprised, yes.
We are pretty relaxed about it, though, because they found a concern
in relation to competition. As a result of finding a concern in
relation to competition, they have raised the question about the
appropriateness and the appropriate level and conditions of that
shareholding, and therefore the issue will be addressed through
that means. We are therefore pretty relaxed about where we are.
Q901 Chairman:
You are relaxed because it will be reviewed under a more general
heading?
Mr Richards: There were two routes into the
issue: one was plurality and one was competition. We expressed
concerns about both. They have chosen to agree on the competition
grounds. They both lead you to the same endpoint, which is whether
the shareholding, at that level and with those conditions, is
appropriate. They have said that they do not think that it is
and there needs to be a change to the conditions that are attached
to it or to the level, and we end up at the same point. We were
a little surprised at the finding on plurality, but I think that
we have reached the same endpoint.
Q902 Chairman:
You triggered the process in a sense, but now it is all down to
the Competition Commission and the secretary of state?
Mr Richards: That is right.
Q903 Chairman:
There is one last question as far as I am concerned. Does Ofcom
believe that quotas for news provision are enforceable, or indeed
desirable, after digital switchover?
Mr Richards: In some areas they are likely to
be enforceable, but potentially to a lesser degree than they have
been prior to it. Whether or not it is the right mechanism by
which to ensure a plurality and diversity of news provision is
precisely what we are looking at in the PSB review. In relation
to the desirability of the end which you are seeking to achieve
through those quotas, our answer is unequivocally yes. Do we want
to see a plural, diverse range of high-quality news in this country
pre-switchover and post-switchover? Unequivocally, yes. We would
regard this as one of the central purposes of public service
broadcasting, of whatever system, today and in the future. It
ranks most highly from our own perspective and our own judgement;
it ranks most highly from the general public, when we ask them
what they care about in public service broadcasting. It is an
issue on which we therefore feel very strongly. In relation to
meeting our duties which we were set by Parliament to further
the interests of citizens as well as consumers, I think that this
is very near the top of the tree.
Q904 Chairman:
I would like to thank both of you for coming today. You have given
your evidence with great clarity. There may be issues which we
would like to come back to on this. We have covered a vast area
and we would perhaps like to concentrate later on one or two issues.
Perhaps we could negotiate with you about a further appearance
at some stage in the New Year.
Mr Richards: I am sure that we would be delighted.
Chairman: Thank you very much.
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