It’s been a long time coming, but many in the commercial
radio sector, but not all, will be delighted to see today’s announcement from
DCMS on the future regulation of commercial radio.
The pass was sold some time ago. Those who seek detailed regulation of what is
broadcast by commercial companies were disappointed many years ago. We are where we are; and the remaining rules
seemed to achieve little, apart from costing companies money and giving the regulator
a muscle to flex when politically needed.
The consultation document today is significant and, for the
first time, breaks the link between the present and the inherited regulations
dating back to the industry’s earliest years.
The past is over.
No longer will Ofcom have an over-arching duty ‘to secure a range and choice of radio
services’. It will simply have to secure
the provision of news and other core information such as traffic and travel
information and weather. This would apply to all national and local FM or AM
stations, whether simulcast or not, and also to DAB stations upon FM
switchover. Stations will still need to continue
to source local news from within the existing editorial areas.
The signals for this move have been around some time. There is a worry that with declining local press,
there is a threat to the scrutiny of local democracy. This change will mean that solid journalism
from commercial radio is preserved. And don’t
tell me commercial radio news is generally poor. I have heard true, true excellence, sometimes
outdoing the BBC in some markets.
Be
warned, however. If regulation goes the
way it usually does, one can expect Ofcom rightly to monitor this remaining news strand with huge, huge enthusiasm. Ofcom
will have more focused powers to set news/core information for digital stations
too.
All other format requirements which apply to local or
regional FM AM licensees other than news/key information will also disappear.
So, stations can at last play the music they want to.
In practice, we are not too far from that now. The industry is in very few hands; and, as we
have seen with the panorama of Global services, they are more than happy to
cover the waterfront. They don’t need regulatory
intervention. They have little interest
in cannibalising their own audiences – and are already playing everything that
mainstream 15-55 audiences require and is commercially sustainable.
National and local multiplex operators will no longer need
to ensure there is a range and choice of services carried on their networks.
Few could argue that the existing DAB services fail to offer variety; and if
services (provided as they are sometimes by third party contractors) are not
sustainable economically, then what was the multiplex operator supposed to do if
they failed anyway?
There is a hint that the small-scale DAB experiments will be
rolled out – and let’s congratulate Ofcom on doing the running, in a very
unregulatory sort of way, on that development.
Local commercial stations won’t be told where their studios
can be. What will matter is whether their news and info is relevant. Companies hitherto have been obliged to build separate
studio complexes just to keep the regulator happy. It was madness, particularly in a case I was
familiar with where the matter boiled down to a matter of yards. The only reason the rule was retained was
because it could be enforced with ease. A political and convenient face-saver
which suited a time and place in regulatory history.
DCMS don’t seek to make any changes to change the format
requirements placed on the three national analogue licences (Classic FM,
Absolute Radio and talkSport). All three have the option of renewing these
licenses until 2023 and they have indicated willingness to do that. DCMS is even asking if the licences should be
extended further.
Content regulation will not change; the 'fit and properness' of licence holders will be examined in the same old way; but the current
restriction on overseas-based radio services on UK DAB multiplexes might be removed. That was a nonsense, prohibiting, for
example, the Irish service RTE from being broadcast here should a provider wish
to propose it.
DCMS notes that if all the above is accepted, there will be little to distinguish between potential operators in any future analogue licence
award processes, so views are sought on whether Ofcom should continue to offer
up any new or renewed licences at all. Just like in most right minded communities,
the beauty parade is dead.
Overall, DCMS are satisfying themselves that these proposals
strengthen the protection of the core public service purposes, ensuring that the
sector remains dynamic and relevant, characterised by strong brands, offering increased
choice of national and local services which are enjoyed and valued by listeners.
It notes that not all operators will wish to take advantage
of all the freedoms. As now, I can point
to areas where just about all radio groups do things that they are not obliged
to, because they think it’s better for listeners and for the business.
The consultation concludes with the final philosophical
question about whether radio should continue to be regulated in the old-fashioned
way when the World has changed beyond recognition.
They are right. It is time for those of my generation and
older who grew up loving the old approach to realise that it can never be the
same again.
As I sit here at 8.00 at night, I can access more radio entertainment
than I have ever been able to. I can
tweet a presenter if I feel like it, even when they are not on the air, and
probably get a response. I can go online
for efficient accurate school closure information. And if I want to swap an old
telly for something, I go on ebay and swap it for cash. I can also go and set up a community radio
station if I really want.
Most of all, I can find a radio station here or somewhere
else which is playing exactly the sort of music I love, all the time. But I
can still turn on the radio and hear news bulletins. They may be shorter than
they used to be, but they are certainly more tailored to the needs of the audience.
Years ago, at this time of night, we’d be into the Country
show by now, and there’d be nothing else on FM to choose from instead apart
from Radio 2,3 and 4.
Life has moved on. A sensible regulator has moved with it. In
the 50s, as TV grew, the BBC was not obliged to carry on broadcasting all its
drama, quiz shows and light entertainment.
We need to ascertain where radio fits into a new world and do it
brilliantly.
And then we can rest in the knowledge that radio can survive. Make no mistake, some familiar radio stations
need to make more profit, or indeed some profit if they are to remain on air. We should congratulate the investment into
the sector from all the major radio groups, and many others, and admire the enviable
glitz Global have brought. Without that
passion and investment across the Board, this industry would be in a sorry state.
One final note. Market forces can sort out most things where
there is enough supply and demand. Audiences
over 55 will not be well-served by commercial music radio; nor are they. The BBC must address that huge gap proudly.
In my experience of these processes, flags are flown and a point or two is edged back by concession as proposals are tuned and implemented. But, by the scale and nature of these proposals, what is almost certain is the future will be a very different place. Well done, DCMS, for producing, at least, some sweet treats which are
not fudge. Let’s see how the consultation is responded to.
On World Radio Day, let’s celebrate another chapter for this
great thing called radio – as it enters its third age.