Select Committee on Communications Minutes of Evidence


Examination of Witnesses (Questions 1220 - 1239)

WEDNESDAY 5 DECEMBER 2007

Mr John Perkins, Mr Jon Godel and Mr Peter Murphy

  Q1220  Lord Maxton: May I come back to what we were talking about in terms of ownership of media. There has over the years, as in newspapers, been a concentration of ownership of radio stations. Of your 250, the 250 will be owned by much fewer than 250 companies. Do you negotiate with the holding company or do you negotiate with each individual station when you are undertaking your negotiations in terms of the new ... ?

  Mr Perkins: The negotiation of contracts we would do through groups. For instance, I will have one contract with GGAP Media Limited which covers all of what used to be Capital Radio group and I will have one contract with EMAP plc which covers all of their stations and then singly with all the groups, large and small. There are a number of independents in the sense of individual stations with whom we negotiate separately. So, it is groups and individual stations, whatever.

  Q1221  Lord Maxton: Does that in any way influence the news you are going to provide? How do you come down to more local ... ? Your Leicester fire, for example.

  Mr Godel: There are two levels in terms of the business commercial relationship—that would be at a group level, a parent company level if you like—and then, in terms of day-to-day news judgment and news discussions and story collaboration, that would be at a station-by-station level because it is dictated by geography. I would talk to my stations in Liverpool if I had a story about Liverpool and that is how it works. On an operational sense, it would be very local.

  Q1222  Baroness Thornton: I would like to ask you think a little about impartiality requirements because, like television news, radio news is subject to impartiality requirements, and ask you what your view is on the requirement that broadcast news is subject to. Also, as there has been some discussion about this in Ofcom, if those did not exist, how would your products change, and I would particularly be interested in Mr Murphy's views on this.

  Mr Murphy: When it comes to impartiality in a news bulletin, I think that should stay in the way that it already exists. Where there is talk of change, it is actually in programming rather than in news bulletins as such. I am personally not terribly happy about that but that is a personal view. From a news bulletin point of view, I think that it would be a very bad step if you actually ended impartiality and I suspect that, even if there were changes, it would not actually involve news bulletins.

  Mr Godel: My view would be looking to the future. I think that we have to see where everyone is moving in the media. We now have newspaper that are broadcasting effectively on broadband and will do so on IPTV and, at the moment, they are unregulated in all forms and certainly not part of that impartiality clause. We are going to be in a difficult position quite quickly if not already where we are required to abide by impartiality regulations but there are other people broadcasting audio and television who are not playing on that playing field, if you like. There seems to be a bit of a growth—and that is why Ofcom is doing this—and surely there needs to be a grown-up debate about that. I think that Peter's suggestion about news being impartial and programming not may be a kind of middle road, but I do think that it is something that will become quite an issue for us and I can see radio stations in the local market, for example, having that competition and feeling, certainly commercially, that it is difficult for them because they are not able to do what some of their competitors might be doing already. Once you get away from the argument as to what impartiality is, the commercial constraints it perhaps puts on someone with a competitor in the marketplace will eventually be quite huge.

  Mr Perkins: I would like to make a point about the Internet news because we do come under severe pressure with individual news stories because we clearly have to be legal and indeed not only truthful but impartial, we do not run with any story from any source but Jon's department can come under immense pressure. The case that I always quote is that of George Michael when he was misbehaving himself in America. That was on the Internet and there was a special website set up and our radio stations were reading these websites and looking at them and ringing us up and asking, "When is IRN going to run the story?" and Jon, quite rightly, said, "We will run the story when we have proof that it is a story and that the man involved is George Michael but not until then". I think it is terribly important that we retain that in the same way that we retain impartiality in the story because otherwise you are then open to the whims of any news source however unsubstantiated.

  Mr Godel: The other issue is that obviously stations are now beginning to put content on to their website, which I explained earlier, and we are doing the same but ITN has a policy that we will abide by the Ofcom regulations that we have for terrestrial broadcast and we will do the same online; we think that is the right and proper thing to do. Also, it would very difficult to say to our journalists, "When you are broadcasting on this channel, you have to abide by these rules and, when you are doing something for the Internet, you do not". That would be difficult. I do think that the local stations going forward—and they are not quite there yet—will be a situation where technically they would abide by impartiality rules on air but could do anything they like on their website, rightly and wrongly they could do that, and it really needs some attention.

  Q1223  Chairman: What are the things that they would want to do on their website?

  Mr Godel: Express more views and opinions would be the obvious one within news. So, you could be a little more selective on whom you spoke to, how you spoke to them and the kind of questions that you asked. You would not have to be necessarily required to speak to someone to balance the story.

  Q1224  Chairman: So, you would slant it?

  Mr Godel: No, no, no. You do not slant—

  Q1225  Chairman: Come on, that is slanting it, is it not? If you only speak to one side in the argument, that strikes me as slanting news.

  Mr Godel: It depends what they are saying. Equally, it could be very much on the grounds of opinion. For example, if you are a terribly right-wing newspaper, you can launch a website now and be as right wing as you want or as left wing as you want. There is no regulation. Radio stations are not able to do that at the moment. You cannot have broadcasting on digital radio or on terrestrial radio, you cannot have a left-wing radio station, but there may well be. If you go to America, obviously you see right-wing television and hear radio all the time. So, in radio, I think that it would certainly lead to the ability to have a right or left-wing outspoken radio host—

  Q1226  Baroness Howe of Idlicote: A shock jock.

  Mr Godel: Exactly that. That is correct. There is a strong argument that some of that would be quite a compelling listen and welcome distraction from what some of the radio stations already put out.

  Q1227  Chairman: Forgive me if I have the wrong interpretation, but you sound rather supportive of this change.

  Mr Godel: I will give my personal opinion rather than for my company. I think that there is scope for it to be looked at and to be carefully thought about. I think that we are constrained as an industry occasionally in not being able to do that. Up until this point, it has all been fine because we have all been playing on the same playing field but, as we go forward, as the newspaper sites become bigger and have more viewers and more listeners, then we will not be subject to the same rules and that will be unfair commercially. There will always be a place for impartial news.

  Q1228  Lord Maxton: On digital radio, which you can get of course both on television and on your digital radio, there are already stations which come very close to being not biased—biased, yes, because you have religious channels which are entirely religious and express a particular religious point of view. Do you supply them with material?

  Mr Perkins: There are analogue stations also. Premier Christian Radio is one that we can think of. They are still regulated. Whether they are digital or analogue is academic in a way because they are still regulated by Ofcom, as I understand it.

  Mr Godel: We know lots of examples of religious belief radio stations, certainly community radio stations, the third tier taking off now. You get radio stations promoting Christian values and Islamic values but they are all required by law to show unbiased views and opinions and, if someone wants to give their view and opinion, then they should be able to and they are required to do that, even if it goes against the ...

  Lord Maxton: I will try it!

  Q1229  Lord Inglewood: I would like to come back to the general point about the contrast between what I call the newspaper generated/originating material and the broadcasting material. You have slightly overlooked, which I think is important, that actually the newspaper generated material and all material is subject to things such as the law of defamation and incitement to racial hatred and so on, so it is not as if it is a free-for-all.

  Mr Godel: It is not a free-for-all of course and, with my newspaper background, obviously I know that very well. What newspapers are able to do that we are not able to do is express a political opinion, for example.

  Mr Perkins: I think that most newspapers given the George Michael story would have checked it very carefully on the grounds of defamation protection.

  Q1230  Baroness Bonham-Carter of Yarnbury: Do your journalists have blogs?

  Mr Godel: No.

  Baroness Bonham-Carter of Yarnbury: How do you distinguish on a blog between personal opinion and ... ?

  Q1231  Chairman: Would you like to be in a position to be able to express political opinion?

  Mr Godel: Not within a news bulletin.

  Q1232  Chairman: But outside that?

  Mr Godel: I think that there is some scope for it to be looked it outside of that. Thinking out loud and I have not really done much thinking about this—

  Q1233  Chairman: Go on, you have been thinking about it.

  Mr Godel: No, no, no. If we were in a world where a programme was able to express a view—at the moment, you have to do that within the format, you have to balance that out within the format of the programme—it might be that you could do it within a schedule, rather than being wholly on Tuesday nights you could be left wing and on Friday nights you could be right wing, as blatant as that. That is just thinking aloud. I do think that going forward, my concern is that I know and I am aware of new ventures that scoot under the regulation and, sooner or later, that is going to be an issue commercially because obviously people relying on advertising will not be able to go to a advertiser that is keen to advertise around a right-wing programme, for example.

  Q1234  Bishop of Manchester: I listened carefully to the earlier responses to Lord Inglewood, Lady Eccles and Lord Maxton about the potential influence over news broadcasting that might come from advertisers or shareholders or owners. I do think that this is an important area and I would like to explore a little further the ownership issue, which of course might become even more interesting in the light of what you have just described about introducing political opinion. In order to really push this point, unusually I am going to quote from our brief. I am going to give the full quote from the study on IRN in the journal Journalism from Niblock and Machin, "For the IRN subscribers, news is thought of as something which must be coherent with the rest of the schedule. An interview with Gordon MacNamee, previous owner/controller of Kiss FM, carried out by one of the authors, revealed that when he was taken over by EMAP, all programmes had to be changed in order to fit more closely with audience segments for advertisers. This included all kinds of content" and that last sentence I do emphasise because I infer from that that news coverage is therefore within the meaning of this statement. I wonder if you could comment on that and talk about the influence of owners in that kind of role.

  Mr Godel: I cannot comment on that particular incident because that would be an internal matter for EMAP. We do not work for EMAP. EMAP are a partner, obviously a shareholder, but that is going back some years ago. Actually, I am sure that the Committee would be interested to know that, going back to the days before EMAP, there was no news on Kiss at all. They did not provide a news service; there were selected bulletins but there was no continual news service. EMAP came along and then news was introduced into Kiss and we now provide news to Kiss. I reiterate that I have never had a shareholder come to me and say, "We have just bought six new radio stations and, as a result, we would like you to change your news". We are too umbrella, if you like; we are too agency based to be able to do that. What they do with the content that we send to them, once they have taken over the six stations, is entirely a matter for them, but I have never had a conversation with any radio owner talking about the kind of news that I produce and how it should change as a result of their ownership of certain stations.

  Q1235  Bishop of Manchester: You can understand why, in spite of those protests—and Mr Perkins earlier was saying, "I can honestly say that this is not the case"—reading that report, there appears to be the slightest chink in the armour.

  Mr Godel: I was not at Kiss when that was going on but, when Kiss was taken over, it was a very street-cred station. It had won a licence. Its history was that it had been a pirate radio station and it then won a licence and it continued its pirate kick-offs on air, if you like, but broadcasting quite legally and, when EMAP came along, it was a more organised and more established radio company and felt that it knew what more listeners wanted and, as a result of the changes that they made several years ago, listenership has gone through the roof compared to what it was back then. I would say that those were improvements but I was not involved in changing any programme inaccuracy.

  Mr Perkins: What it invariably is, if a new owner or a new programmer comes in, it is often the sense of how the bulletin sounds and the style of the bulletin as much as the content. As Jon said, Kiss is a very, very street-cred young persons' station. We also produce the news for Magic which is a very different station and for Classic FM. Essentially, what we do is produce a very big basket of goods from which individual stations ... These are the people dictating how the station sounds and what the content of the news is, not us. They are selective. If they want to lead on Paris Hilton, we may cringe secretly but we cannot intervene. That is what happens. It is partially a dilemma. Lord Hanson famously used to run Melody Radio many years ago and he decreed that there would be no unpleasant stories about the Royal Family, for instance. That was a matter for him but that did not mean to say that we therefore only sent nice stories about the Queen to the station. That happened to be his selection process at the end of it. I do not think that we are influenced by it in any way. When they talk about change of ownership and change of programming, it is often to do with style.

  Q1236  Chairman: That is a proprietor literally intervening to prevent particular stories going on.

  Mr Perkins: I believed that he banned Doris Day at one stage but that is another story!

  Chairman: I will not bother to go down that route.

  Lord Maxton: A girl I loved!

  Q1237  Baroness Howe of Idlicote: Following up on what you were saying about targeting news to consumers and again quoting from Niblock and Machin, "Commercial radio news, our data suggest, should now be thought of as part of the targeting of the media flow for a particular kind of reception" and then a little later on the comment about how the Editor of IRN, "showed that he had a strong sense of his target audience, whom he referred to as `Craig from Birmingham'" and I have a wonderful picture of Craig from Birmingham in my mind.

  Mr Godel: Oh, him!

  Q1238  Baroness Howe of Idlicote: I do find it a little confusing because, thinking about your 250 or 260, whatever it is, clients and, I do not know but perhaps some of them are in groups and so on, I quite take the point about the 16-year old in Brixton because that is a particular segment and might be several of your clients' areas, but can you say a little more about how your conception of your target audience actually does filter and change the news you produce.

  Mr Godel: I think that probably a good example would be to read out the stories that are our agenda today to give you an example of how we target and I think you will be surprised that this targeting sounds frightening, but actually it sort of targets almost everyone. These are our stories today on our agenda: the canoeist who suddenly reappeared.

  Q1239  Baroness Howe of Idlicote: Who is now in jail.

  Mr Godel: He is now in jail, least said about that. Abortions, which is the Government considering making abortions available in GP surgeries. Prostitution: young girls being lured into prostitution by teenage boys. Ghana: two girls sentenced for smuggling. PMQs: whatever will come from that. Prisons: a report by Lord Carter who is expected to recommend that some criminals should be spared prison depending on cells. Mortgages: a story about the ongoing mortgages. Cricket, which is very important. Dolly Parton speaking about kids learning how to read more—I have no idea where that has come from—in Rotherham. A story about The Golden Compass, a very popular family film for this Christmas. Hearing that selection of stories, I think you would agree that there is something there for everyone. Although, as I have already said, they may not be done in any great depth or analysis, each one will have a package of about 90 seconds made around them. I think that from that it gives a fair understanding of how we are targeting stories. That is pretty much a national agenda there, but we are making sure that we pick out elements from those stories that are relevant to young people. So, the girls going into GPs surgeries is an example and the girls being prosecuted for smuggling in Ghana. They are all relevant and, from that, we can speak to a drugs counsellor and we can speak to a health official. I think that that is an example of how we are targeting effectively.


 
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