Move designed to thwart Tory threats to block legislation enabling long-term public funding in the digital economy bill
Consortiums bidding to run ITV regional news pilots have been told to develop plans to operate without funds from the BBC licence fee, a move designed to thwart Conservative threats to block legislation enabling long-term public funding in the digital economy bill.
Richard Hooper, the chair of the selection panel responsible for choosing the preferred bidders for the pilots in England, Wales and Scotland, said that 'political uncertainty' over the project meant consortiums should plan for life with no public funds.
If Labour wins the general election, which is expected to be called within days for 6 May, the pilots can be run until the end of 2012.
However, the Tories have pledged to block the necessary clause in the digital economy bill that would then enable Ofcom to fund an ongoing, national and regional ITV news services with public funds after 2012.
The Conservatives have also pledged to scrap the plan for regional news consortiums if the party wins the general election.
'We asked bidders also to think about longer term sustainability without public funds,' said Hooper. 'Given the political uncertainties surrounding IFNCs, my colleagues and I were particularly impressed by the sustained enthusiasm and resource commitment of the bidders and the momentum that has built up to deliver innovative multiplatform multilayered news in Wales, Scotland and the Borders/Tyne Tees region of England, competing with the BBC.'
ITV, which appears to be rethinking plans to dump its regional news service, greeted the news of the selection of the preferred bidders coolly.
The company, which is in the throes of a strategic review being led by new chairman Archie Norman, said that it would take no action until after the general election. The Department for Culture, Media and Sport is aiming to have final contracts signed with the bidders, which also require deals with ITV and Scottish ITV licencee STV, by May.
'We will review the proposals to see how they would fit with our schedule, brand and the need for vibrant innovative news,' said a spokesman for ITV.
'We will then decide how to proceed after the election and in the context of the company's ongoing strategic review. There will be no further steps taken until the election outcome is known and the position on future funding is clear. Whatever the outcome of the general election, ITV remains committed to great regional and national news and our approach to this will be part of our strategic review,' he added.
The Liberal Democrats came out in support of the government's initiative arguing that Tory plans are 'short sighted' and will not help the UK media industry.
'If regional news is to survive in the digital age, we need to think beyond business as usual,' said a spokesman for the Liberal Democrats. 'The IFNC pilots are an excellent opportunity to explore new ways of delivering regional and local news. Tory attempts to block the pilots are short sighted and will do nothing to help struggling media outlets.'
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