Select Committee on Communications Minutes of Evidence


Examination of Witnesses (Questions 1200 - 1219)

WEDNESDAY 5 DECEMBER 2007

Mr John Perkins, Mr Jon Godel and Mr Peter Murphy

  Q1200  Baroness Eccles of Moulton: Trickled down out of your catchment area, as it were?

  Mr Perkins: Yes.

  Q1201  Lord Maxton: Are both you and commercial radio suffering the same as newspapers are from the movement of advertising away from your area into online service and online advertising? Are you losing out or is commercial radio losing out?

  Mr Godel: Commercially you can speak but, in terms of what we are doing as a strategy, we are looking at how we can provide news to radio stations online. More and more radio stations are coming to us and asking whether we can provide parts of the content we send. So, gone are the days when we could send 10 seconds of Gordon Brown speaking at PMQs. We also would like to see Gordon Brown or we would like to see that policeman make that statement. We are able to do that with our ITN content and we are now working on a proposition for our radio stations where they are also able to take video content which then means that we will be able to have an advertising proposition around that sold in a similar way to the audio music advert that we have been discussing.

  Q1202  Baroness McIntosh of Hudnall: May I roll up two or three questions that I would put broadly under the heading of what counts as news for you. Can you tell us whether there are types of story which are more likely to be commercially successful than others and how do you make those judgments? For instance, you have said that you are not influenced by your advertisers in terms of how you present news but who are you influenced by and how do you find out what kind of news your listeners want to hear? Also, of all the news that you supply, what proportion of it would you categorise broadly as hard news, for instance PMQ? When you do package it, it has been suggested to us that there is a danger that in, as it were, digesting it into a form that makes it appropriate for the listeners that you are addressing, you might actually be significantly altering or flexing the meaning of that content. Do you have a response to that?

  Mr Godel: I do, very much. Let us take the altering first of all. It is harder to write the kind of bulletins that we produce than it is to write the BBC bulletin because they have a lot more time. Therefore, your explanation can be more detailed and you do not have to be as smart with the language you are using. We have to think about the kind of audience that is receiving the information and generally, not always because we provide bulletins for Classic FM right through to Kiss FM, that would be a good example of the kind of scope of where we are trying to hit, in the middle, our bulletins are aimed at 30 to 32 year olds and 18 to 30 year olds and we have to think about the language that we are using. Just by changing the language that you would not necessarily hear on the BBC does not mean to say that you are changing the content of the story or indeed the meaning of the story. You can take Newsround and the BBC is a good example of this. Newsround does a great job but they are using language that people feel is more accessible to them and I believe firmly that we do that. Just because we have a shorter amount of time to present our news does not mean to say that we are not getting the facts in that are important and IRN has done that since the year dot, for 30 years. IRN has only really worked around three-minute bulletins, five including the bulletins. Now it is more three-minute bulletins. That is why I believe that my radio journalists probably look more savvy in being able to achieve that in a short amount of time. What was your other question?

  Q1203  Baroness McIntosh of Hudnall: It was about what sort of stories are viable commercially and the difference between hard and soft.

  Mr Godel: We do a great deal of research. We do an annual research with our clients, our radio stations, to understand how they receive our service, what they are using as part of our service and what they would like us to do to enhance the service. What always comes through there is the type of music people are fond of or want to use. Although entertainment news and showbiz news is very important for a commercial radio station as well as sport, hugely important, there is no desire within our client base of 250 stations for us not to be doing what you term as hard news. What we provide is a social passport in the morning. If you listen to one of our radio station clients and you hear an eight o'clock bulletin, our job is to provide all the information and all the news that you would hear pretty much anywhere else, probably with less analysis. When you go to work and you discuss the news and you happen to mention it, you do not want your listener to be in a position where they have missed a story. So, even if a story that you would perceive as hard news needs to be covered, we would still cover it. We do a shorter bulletin overnight, a 90-second bulletin, and all the research into that reveals that they want exactly the same agenda that we would do with the longer bulletin, although it is aimed at young people, but they just want it done in a shorter way and that is what we do. The last point to make on packaging news and what stations want is, we speak to stations all the time. Every morning, we have an editorial conference with our key stations and they tell us the type of stories that work for them, that are working for them and that are relevant to their listeners. It would be ridiculous for us to not speak to our own regular stations and ask them what they want from us. We are a service ultimately; we provide a service to them and it is really up to them as to the kind of news that they think will work on their stations and we try and meet those demands. The last point is about hard news. Your hard news might be another person's soft news and another person's soft news might by your hard news. For example, Kanye West, who, for the benefit of those who do not know, is quite a popular R&B singer at the moment, lost his mother and there was a story about losing his mother and crying. On Kiss, that story would be a lead story because that is important to that station's audience. On Classic, it would not be there at all. We cater for both.

  Q1204  Baroness Bonham-Carter of Yarnbury: You said at the beginning of this session that you have a small core of journalists who are employed by IRN.

  Mr Godel: Yes.

  Q1205  Baroness Bonham-Carter of Yarnbury: They obviously have a great deal to do. Do they have the time to actually generate their own stories?

  Mr Godel: Yes, absolutely. IRN, by sheer culture, is a 24-hour news service and, like any journalist, my team take great pride in being able to get scoops and also to get exclusive stories. We do have a team of journalists who are able to chase stories. For example, if a story were to break, either we may have sourced it ourselves or it is has come from an external source like PA or ITN or someone else, they would be straight on the phone, they would be straight on to the local station, they would be endeavouring to get the latest information. There is a whole list of exclusives that I could share with the Committee which shows that IRN does very much do original journalism. Other examples are that we may not be doing an original piece of journalism on, I do not know, a social story in Leicestershire but we would probably do a piece of original journalism on the Cannes Film Festival, for example, which again is very target for us. We would spend money sending someone to the Cannes Film Festival and they will investigate what is happening in the film industry and what are the trends within the film industry and that content is much more relevant to radio stations we are catering for than other content. So, we do pursue original journalism.

  Q1206  Chairman: What are these exclusive stories?

  Mr Godel: I do not have them with me but I can certainly provide them in written form to you. Yes, we do a lot of exclusive stories. For example, what I term an exclusive is if there has been a house fire in Leicestershire and our journalist is able to speak to the family about that house fire, a doorstep if you like, before anyone else. That is exclusive for us because no one else has it. It is that kind of thing. There are endless examples of where we have been able to gain information and speak to people at the heart of the story as a result of our own network of local radio stations because our 250 clients are also people who are providing us with tips and helping us with our own pursuit of original journalism.

  Q1207  Chairman: Peter Murphy, do you get lots of exclusive stories?

  Mr Murphy: In politics, it is very rare that you actually find exclusives. They occasionally break overnight and we end up running after them, to be perfectly honest. We spend a great deal of our time listening to your Lordships' House, the House of Commons and talking to various people such as ministers as they drop in of a morning. The way in which we work at Westminster is that we are totally bi-media because I work with television as well. So, most of the morning interviews which are done at Westminster before 10 o'clock in the morning are done by me because television of course does not wake up until about 10 o'clock in the morning! They wait until the streets are aired!

  Q1208  Baroness Bonham-Carter of Yarnbury: To what degree is newsworthiness to do with process? There is a quote from some of your journalists that we should not underestimate the way that process drives content. In other words, what they are up against in producing—

  Mr Godel: Of course, we all work within the processes at all times. If the story breaks, then there is a process around the breaking story and that is that we need to get someone to speak about the story, we need to write a script and all that is built into the process. I do not think that that dictates the newsworthiness. Newsworthiness is dictated by the value of a story and what it means to the audience.

  Q1209  Baroness Bonham-Carter of Yarnbury: But there is not much opportunity for lengthy investigation.

  Mr Godel: No and I have to say that there is no appetite for that, sadly. I will cite an example. We did a documentary to mark the resignation of the former Prime Minister; that was a lengthy document because it was an hour long presented by Peter and not used by one commercial radio station.

  Q1210  Lord Maxton: That sort of programme ought to be therefore directly online. Do you have a direct online presence yourself?

  Mr Godel: Not for programming, no.

  Mr Perkins: We do for the news but not for programming.

  Q1211  Lord Inglewood: You said that newsworthiness was defined by its value to the audience. Do you look at that objectively or subjectively?

  Mr Godel: Probably a bit of both if the truth be known. We base newsworthiness on the value of how important it is. This is where it is difficult for a journalist, is it not, because our job is to communicate news that is dictated by others. The value of news for us is the value that it has on the audience as in a need to know, what you need to know and what you should know. On that basis, we do determine that when we are selecting stories. We do a lot of stories especially at IRN on government policies, health stories and education stories because, although that may not set the world on fire some mornings, it is important for people to know. Often, that story will then develop by the stations themselves or ourselves into a story that is quite listener friendly because we will go and talk to parents and talk to students et cetera. I do not know whether that is an answer to your question.

  Q1212  Lord Inglewood: When you referred to the R&B singer story, I can see that a lot of the audience might want to know it. I am not sure that in any material sense it will affect their lives beyond that 24-hour period.

  Mr Godel: Well, you have to put yourself in the shoes of a 16-year old in Brixton, I am afraid.

  Q1213  Lord Inglewood: I was trying to but I have failed, obviously!

  Mr Godel: You have and I fail often too. The point there is that we employ people who absolutely can do that because I often fail too, to reassure you. My point about that is that, to a 16-year old in Brixton, Kanye West's mother dying is actually an important story. What we would do is explore that story in a longer programme package—not only do we do bulletins but we also do longer packages for stations to use in their longer news formats—and we would probably talk to a bereavement counsellor and we would talk about the issues around a close parent dying. I think that that is relevant and I think that is what we should be doing as a news organisation targeting younger people.

  Q1214  Baroness Scott of Needham Market: Until a few years ago, if one wanted to keep up with the news during the day, you turned on the radio and listened to the bulletins. We are in a different world now. What do you think is the role of a bulletin like yours when actually you could just turn on Sky News or BBC News 24 or you can look at the Internet and how do you as an organisation respond to the sort of challenge that that kind of competition has brought in?

  Mr Godel: IRN, although not broadcasting 24 hours, has always been a 24-hour news gathering organisation. Before Sky existed, we were there and indeed we were turning stuff around much faster than ITN and the BBC in some respects because there was a demand for it back in those years. However, as you say, life has changed. I think that the place for IRN now is all about catch up news. Often as news beats, if you like, we consume news and obviously you are involved in news and current affairs. We put a lot of emphasis on 24-hour news channels but most people, my 16-year old in Brixton, is not watching SKY and would very, very rarely watch Sky News and would very rarely watch BBC News 24. Our remit is on catch-up news—has the world ended this hour or is the world about to end this hour? In our three minutes at the top of the hour we tell people that and it works. There is still a place for someone who just wants three minutes—had the world ended? What do I need to know? Thank you very much, I am going back to my normal life now! That still works and that is why that format is still successful on most radio stations, not just in terms of commercial radio stations but within the BBC as well.

  Q1215  Baroness Scott of Needham Market: Given that sort of pressure, how do you ensure that, on an hour-by-hour basis, you are maintaining the integrity of the news in terms of its quality, accuracy and so on?

  Mr Godel: That is at the heart of what we do at IRN. That is absolutely our culture. What do we do? We have news editors who are running the news desk and ensuring that that integrity is there at all times. There are some news organisations that will go unnamed that are much gung-ho in saying breaking news and telling us about, I do not know, perhaps an example would be a plane crash in Nairobi. I cite that because I remember it quite well. That plane crash never happened. That news organisation was seeing a wire feed from someone who was having a practice for an emergency in a foreign country. That story never existed but lots of people saw it flash. We would never do that. Everything that we do is checked twice for sources, reliable sources that we agree are reliable. We may not always be the first but we are often right.

  Chairman: Andrew Marr used exactly the same expression and got into terrible trouble about it.

  Q1216  Baroness Eccles of Moulton: I want to get on to the editorial relationship with your major shareholders and I suppose probably particularly ITN although it is not the major shareholder. Have any of them ever exerted commercial or editorial pressure on you to alter or pull stories?

  Mr Perkins: I can honestly say that that has never actually happened. Our shareholding now over the years through acquisition and merges is GCAP, which is Capital Radio, owning over 50% and the other major shareholders are EMAP—or what is currently EMAP, it may not be EMAP tomorrow—and ITN, and then there is a small shareholding of about 3% with Ulster Television that has a small stake. None of those has ever at any time exerted any influence. Some people do make the observation that, as Capital has over 50%, therefore effectively we are a creature of Capital Radio, but I sit there at board meetings and, if you ever see Capital Radio and EMAP on either sides of the table, there is no way that EMAP are going to roll over like pussy cats to do what GCAP wants them to do. It does not work like that and it never has worked like that. As Jon alluded to earlier, we have very, very close relations with all the stations, with all the various companies that we deal with, and the only thing at the end of the day that we produce is material that we think their listeners will want to listen to because we are commercial.

  Q1217  Baroness Eccles of Moulton: I think you have already partly answered this question and I do not know if there is anything more that you would like to add to it and that is the access to ITN facilities, technology and correspondents that IRN has.

  Mr Godel: I do have one other point to add to that. Obviously, by IRN having a relationship with ITN, the figures that we discussed at the top in the session today, commercial radio in the UK is able to bat in a bigger way in news terms because they are buying into the existing resource that is at ITN, so commercial radio gets quite a fair chunk of prime news, if you like, good, honest news for a reduced cost. Going forward, it is going to be a challenge for IRN and for others because, as all of these broads broaden to multi platforms, people are becoming much more aware and much more protective over their own reporters and correspondents. So, whereas IRN has in the past been able to always use the ITN correspondent who had worked for ITV news, going forward, I think that is going to be a difficulty that we need to look at. At the moment, I think that the relationship with ITN is a good one and it continues to be and it is for the good of commercial radio that they are part of a larger news organisation.

  Mr Perkins: On that point, the contract that we negotiated and we have with ITN has in it a clause which insists that there is an editorial committee which is made up of the representatives from the network, from the stations, and that editorial committee meets regularly and is able to comment and make recommendations back to IRN about the standard of the service and the level of the service if they feel that something is wrong. That is built contractually into our relationship with ITN, so there is a sort of quality threshold.

  Q1218  Baroness Bonham-Carter of Yarnbury: Who is on that committee?

  Mr Perkins: It is representatives from all of the groups, both large groups like EMAP and GCAP, or smaller groups, individual stations, a cross-section.

  Mr Godel: It would be programme controllers.

  Mr Perkins: And it is a geographical section, so we always have somebody from Northern Ireland and Scotland.

  Mr Godel: One of the points on that is that, although I am employed by ITN, I am actually appointed as Editor of IRN by the IRN Board itself. So, my position is unique within the ITN organisation. I am there as the guardian, if you like, for IRN.

  Q1219  Baroness Eccles of Moulton: It is all particularly clear to you exactly what the relationships are?

  Mr Godel: Absolutely.

  Mr Perkins: It is very transparent.


 
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