United Kingdom

[GB] Reduction of Payments by UK Channel 4 to Independent Television Commission

IRIS 1998-4:1/26

Tony Prosser

University of Bristol Law School

An order is now in effect in the UK to reduce the payment made by the UK Channel 4 to the Independent Television Commission from its excess revenues from 50% to 33%. The payment is a remnant of the 'safety net' introduced to protect Channel 4 because of its special obligations to meet minority tastes by providing financial support if its advertising revenues fell below a specified figure. However, the Channel's commercial success has resulted in the reverse occurring with the Channel having to make payments rather than receiving support. The order is a partial step in remedying this.