Broadcasting Act 1996 (c. 55)

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Limits in relation to licences to provide radio services

8 (1) No one person may, at any time before such day as the Secretary of State may by order appoint for the purposes of this paragraph (in this paragraph referred to as “the appointed day”) hold two or more licences to provide services falling within one or more of the categories specified in paragraph 1(3)(a) or (b) such that the total number of points attributable to those services, calculated in accordance with paragraph 9, exceeds 15 per cent. of the total number of points so calculated attributable to all such services in respect of which licences are in force or have been awarded.

(2) No one person may, at any time on or after the appointed day—

(a) hold two or more licences to provide services falling within one or more of the categories specified in paragraph 1(3)(a), (b) or (g) such that the total number of points attributable to those services, calculated in accordance with paragraph 9, exceeds 15 per cent. of the total number of points so calculated attributable to—

(i) all national or local radio services in respect of which licences are in force or have been awarded, and

(ii) all national or local digital sound programme services which are being provided, or

(b) hold a licence to provide services falling within the category specified in paragraph 1(3)(g) and provide two or more services falling within that category such that the total number of points attributable to those services, calculated in accordance with paragraph 9, exceeds 15 per cent. of the total number of points so calculated attributable to all the services referred to in paragraph (a)(i) or (ii).

(3) Before making an order appointing a day for the purposes of this paragraph, the Secretary of State shall consult the Authority.

Calculation of points for purposes of paragraph 8

9 (1) For the purposes of paragraph 8, to the categories of national or local radio services and national or local digital sound programme services set out in the Table below there shall be attributed points according to that Table.

TABLE

Category of service	Points
National radio service or national digital sound programme service	25
Category A local radio service or Category A local digital sound programme service	15
Category B local radio service or Category B local digital sound programme service	8
Category C local radio service or Category C local digital sound programme service	3
Category D local radio service or Category D local digital sound programme service	1

(2) For the purposes of the Table a local radio service or local digital sound programme service falls—

(a) into category A if the number of persons over the age of 15 resident in the coverage area of that service exceeds 4.5 million;

(b) into category B if the number of such persons exceeds 1 million but does not exceed 4.5 million;

(d) into category D if the number of such persons does not exceed 400,000.

(3) No points shall be attributed to a national or local digital sound programme service unless the service is being provided.

(4) In the case of a national or local radio service provided on an amplitude modulated (AM) frequency the relevant number of points attributable to the service by virtue of the Table shall be reduced by one third.

(5) A service which, on the day on which the licence to provide it is granted, falls into a particular category for the purposes of the Table shall continue to be regarded as falling into that category so long as any increase or decrease in the relevant number of persons over the age of 15 (which would otherwise take the service outside that category) does not exceed 10 per cent.

(6) A person who is a participant with more than a 20 per cent. interest in a body corporate which is the holder of a licence to provide a national or local radio service, but who does not control that body, shall for the purposes of paragraph 8 be treated as the holder of a licence to provide a national or local service to which one half of the points which would otherwise be attributable to such a service are attributed.

(7) A person who is a participant with more than a 20 per cent. interest in a body corporate which provides a national or local digital sound programme service, but who does not control that body, shall for the purposes of paragraph 8 be treated as providing a national or local digital sound programme service to which one half of the points which would otherwise be attributable to such a service are attributed.

Power to amend paragraphs 8 and 9

10 (1) The Secretary of State may by order make such amendments of paragraphs 8 and 9 as he thinks fit for the purposes of including restricted radio services among the services referred to in any provision of paragraph 8 and of providing for the calculation of the points to be attributed to any such service, or any category of such service.

(2) The Secretary of State may by order amend paragraph 9—

(a) by substituting different categories for the categories for the time being set out in the Table in sub-paragraph (1) and in sub-paragraph (2) or adding further categories,

(b) by substituting a different number of points for the number of points for the time being attributed to each category,

(d) by substituting a different age for the age for the time being specified in sub-paragraph (2)(a) and (5),

(e) by substituting a different fraction for the fraction for the time being specified in sub-paragraph (4) or repealing that sub-paragraph, or

(f) by substituting a different percentage for the percentage for the time being specified in sub-paragraphs (6) and (7) in relation to an interest in a body corporate or a different fraction for the fraction for the time being specified in those sub-paragraphs in relation to the points to be attributed to a person falling within either of those sub-paragraphs.

Limits in relation to licences to provide national radio services, radio multiplex services or digital sound programme services

11 (1) No one person may at any time hold more than one licence to provide a national radio service.

(2) No one person may at any time—

(a) hold more than one licence to provide a national radio multiplex service, or

(b) hold a licence to provide national digital sound programme services and provide more than one national digital sound programme service.

(3) For the purposes of sub-paragraph (2)(a) a person who is a participant with more than a 20 per cent. interest in a body corporate which holds a licence to provide a radio multiplex service but does not control that body shall be treated as holding the licence held by that body.

(4) No one person may at any time—

(a) hold a licence to provide a radio multiplex service and be a participant with more than a 10 per cent. interest in more than one body corporate which holds any other such licence, or

(b) be a participant with more than a 10 per cent. interest in each of three or more bodies corporate which hold such licences.

(5) The Secretary of State may by order—

(a) amend sub-paragraph (1), (2) or (4) by substituting a different numerical limit for any numerical limit for the time being specified there, and

(b) amend sub-paragraph (3) or (4) by substituting a different percentage for any percentage for the time being specified there.

Limits in relation to licences to provide local radio services in overlapping areas

12 (1) No one person may at any time hold any two licences to provide local radio services which share a potential audience unless either—

(a) one of the licences is an AM licence and the other is an FM licence, or

(b) the Authority have determined that in all the circumstances, having regard to the matters specified in sub-paragraph (4), the holding by that person of the licences in question could not be expected to operate against the public interest within the area concerned.

(2) No one person may at any time hold any three licences to provide local radio services any of which shares a potential audience with each of the other two services unless—

(a) the licences include both an AM licence and an FM licence, and

(3) No one person may at any time hold any four or more licences to provide local radio services any of which shares a potential audience with each of the other services.

(4) The matters referred to in sub-paragraphs (1) and (2) are—

(a) any reduction in plurality of ownership of local radio services within the area concerned that would result from a decision to allow the licences to be held together, and

(b) the likely effect of such a decision on—

(i) the range of programmes available by way of independent radio services to persons living in the area concerned, and

(ii) diversity in the sources of information available to the public in the area concerned and in the opinions expressed on local radio services received in that area.

(5) For the purposes of this paragraph two local radio services share a potential audience if, but only if, the potential audience of one service includes more than half of the potential audience of the other service.

(6) This paragraph has effect subject to paragraph 13.

(7) In this paragraph—

“AM licence” means a licence to provide a local radio service on an amplitude modulated frequency,
“FM licence” means a licence to provide such a service on a frequency modulated frequency, and
“potential audience”, in relation to a local radio service, means the persons over the age referred to in paragraph 9(2)(a) who reside in the coverage area of that service.

Power by order to impose different restrictions in place of paragraph 12

13 The Secretary of State may by order provide that, where a digital sound programme service is provided in any area, the holding by any one person of two or more licences to provide in that area local radio services which for the purposes of paragraph 12 share a potential audience with each other or with each of the others shall, instead of being subject to the restrictions specified in paragraph 12, be subject to other restrictions specified in the order.

Limits in relation to provision of local digital sound programme services

14 (1) Subject to sub-paragraph (2), no one person holding a licence to provide local digital sound programme services may at any time provide more than one non-simulcast service by means of a particular local radio multiplex service.

(2) Where—

(a) the coverage area of the local radio multiplex service is to a significant extent the same as that of another local radio multiplex service, and

(b) the person concerned is not providing any non-simulcast service by means of that other local radio multiplex service,

sub-paragraph (1) shall have effect as if the reference to one non-simulcast service were a reference to two such services.

(3) In this paragraph “non-simulcast service” means any local digital sound programme service other than one which—

(a) is provided by a person who holds a licence to provide a local radio service, and

(b) corresponds to that local radio service.

(4) For the purposes of sub-paragraph (3)(b) a local digital sound programme service corresponds to a local radio service if, and only if, in every calendar month—

(a) at least 80 per cent. of so much of the local radio service as consists of programmes, consists of programmes which are also included in the local digital sound programme service in that month, and

(b) at least 50 per cent. of so much of the local radio service as consists of such programmes is broadcast at the same time on both services.

(5) The Secretary of State may by order—

(a) amend sub-paragraphs (1) and (2) by substituting a different numerical limit for any numerical limit for the time being specified there, and

(b) amend sub-paragraph (4)(a) or (b) by substituting a different percentage for any percentage for the time being specified there.

(6) In subsection (4) “programme” does not include an advertisement.

Further restrictions on holding of licences of different descriptions

15 (1) No one person may at any time hold—

(a) a licence to provide a national Channel 3 service or Channel 5, and

(b) a licence to provide a national radio service.

(2) No one person may at any time hold—

(a) a licence to provide a local radio service or local digital sound programme services, and

(b) a licence to provide a regional Channel 3 service whose coverage area is to a significant extent the same as that of the local radio service or of any local digital sound programme service provided by him.

Power to impose additional limits in relation to licences to provide television or radio services

16 (1) The Secretary of State may, in the case of—

(a) any category of relevant services specified in paragraph 1(2)(b), (c), (d) or (f), or

(b) any category of relevant services specified in paragraph 1(3)(c) or (e),

by order prescribe the maximum number of licences which may at any time be held by any one person to provide relevant services falling within that category.

(2) The Secretary of State may by order impose, in relation to any category of relevant services specified in paragraph 1(2)(a) or (b) or paragraph 1(3)(a), (b) or (f) or under sub-paragraph (1), limits on the holding of licences to provide relevant services falling within that category which are additional to the limits specified in paragraphs 2 to 15 or under that sub-paragraph and are framed—

(a) by reference to any specified circumstances relating to the holders of the licences in question or to the services to be provided under them, or

(b) (in the case of licences granted by the Commission) by reference to matters determined by them under the order.

(3) Without prejudice to the generality of sub-paragraph (2), an order made under that sub-paragraph may impose on the holder of a licence to provide any specified category of relevant services specified in paragraph 1(3) limits framed (directly or indirectly) by reference to either or both of the following matters, namely—

(a) the number of licences of any one or more specified descriptions which are held by him or by any body controlled by him; and

(b) his participation, to any specified extent, in any body corporate which is the holder of any licence or licences of any one or more such descriptions.

(4) Where a person holds—

(a) a licence to provide a domestic satellite service,

(b) a licence to provide a non-domestic satellite service, or

which, in accordance with section 44(2), 45(3) or 86(2), authorises the provision of a multichannel service, he shall be treated for the purposes of any order under sub-paragraph (1) as holding such number of licences to provide domestic satellite services, non-domestic satellite services or (as the case may be) satellite radio services as corresponds to the number of channels on which the service may be provided.

(5) In sub-paragraph (4)—

(a) “multichannel service” means a service which to any extent consists in the simultaneous transmission of different programmes on different frequencies; and

(b) any reference to the number of channels on which such a service may be provided is a reference to the number of different frequencies involved.

(6) Where a person who holds a licence to provide any of the services specified in sub-paragraph (4)(a), (b) or (c) provides that service by broadcasting two or more programmes simultaneously in digital form on a single frequency, he shall be treated for the purposes of any order under sub-paragraph (1) as holding such number of licences as corresponds to the number of programmes that are simultaneously transmitted.

Connected persons

17 (1) Subject to sub-paragraph (2), for the purposes of—

(a) paragraphs 2 to 15, and

(b) any order under paragraph 13 or 16(1) or (2),

a person shall be treated as holding a licence if the licence is held by a person connected with him and shall be treated as providing a service if the service is provided by a person connected with him.

(2) For the purposes of paragraph 12 and any order under paragraph 13, a person shall not be treated as holding a licence to provide a local radio service merely because he is a director of a body corporate which holds the licence.

(3) Any provision of paragraphs 2 to 14 which refers to a person’s participation in a body corporate shall have effect as if he and every person connected with him were one person.”

Part IV Provisions substituted for Part IV of Schedule 2

11 For Part IV of Schedule 2 there is substituted—

“Part IV Restrictions on controlling interests in both newspapers and licensed services

Meaning of “relevant authority”

1 In this Part of this Schedule “the relevant authority”—

(a) in relation to any restriction having effect in relation to any licence which has been or may be granted by the Commission, means the Commission, and

(b) in relation to any restriction having effect in relation to any licence which has been or may be granted by the Authority, means the Authority.

National and local newspapers and their respective national and local market shares

2 (1) In this Part of this Schedule references to a national or local newspaper are (subject to sub-paragraph (3)) references to a national or local newspaper circulating wholly or mainly in the United Kingdom or in a part of the United Kingdom.

(2) Where a newspaper is published in different regional editions on the same day, the relevant authority may determine, having regard to all the circumstances, whether those regional editions are to be treated for the purposes of this Part of this Schedule as constituting one national newspaper, two or more local newspapers or one national newspaper and one or more local newspapers.

(3) The relevant authority may determine that a newspaper which would otherwise be neither a national nor a local newspaper for the purposes of this Part of this Schedule shall be treated as a national or (as the case may be) a local newspaper for the purposes of any particular restriction imposed by or under this Part of this Schedule if it appears to them to be appropriate for the newspaper to be so treated having regard to its circulation or influence in the United Kingdom or (as the case may be) in a part of the United Kingdom.

(4) For the purposes of this Part of this Schedule, the “national market share” of any national newspaper at any time in a calendar month is the total number of copies of that newspaper sold in the United Kingdom in the six months ending with the last day of the previous month, expressed as a percentage of the total number of copies of all national newspapers sold in the United Kingdom in those six months.

(5) For the purposes of this Part of this Schedule, the “local market share” of any local newspaper in any area at any time in a calendar month is the total number of copies of that newspaper sold in that area in the six months ending with the last day of the previous month, expressed as a percentage of the total number of copies of all local newspapers sold in that area in those six months.

(6) For the purposes of sub-paragraphs (4) and (5), the relevant authority may estimate the numbers of copies of any newspaper sold in the United Kingdom, or in any area, during any period in such manner, or by reference to such statistics prepared by any other person, as they think fit.

(7) In relation to any newspaper which is distributed free of charge rather than being sold, references in sub-paragraphs (4) to (6) to the number of copies sold shall have effect as references to the number of copies distributed.

Other interpretative provisions

3 (1) For the purposes of this Part of this Schedule a person runs a national or local newspaper if—

(a) he is the proprietor of the newspaper, or

(b) he controls a body which is the proprietor of the newspaper.

(2) Paragraph 1(4) in Part III of this Schedule shall have effect for the purposes of this Part of this Schedule as it has effect for the purposes of Part III.

Restrictions on common control etc.

4 (1) No person who runs a national newspaper which for the time being has, or national newspapers which for the time being together have, a national market share of 20 per cent. or more may hold a licence to provide—

(a) a regional or national Channel 3 service or Channel 5, or

(b) a national or local radio service.

(2) A licence to provide a regional Channel 3 service may not be held by a person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in the coverage area of the service.

(3) A licence to provide digital programme services may not be held by a person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in the coverage area of any digital programme service provided under the licence.

(4) For the purposes of this paragraph a person shall be treated as holding a licence if the licence is held by a person connected with him.

Restrictions on participation

5 (1) No proprietor of a national newspaper which for the time being has, or of national newspapers which for the time being together have, a national market share of 20 per cent. or more shall be a participant with more than a 20 per cent. interest in a body corporate which is the holder of a licence to provide any of the services specified in sub-paragraph (4).

(2) No person who is the holder of a licence to provide any of the services specified in sub-paragraph (4) shall be a participant with more than a 20 per cent. interest in a body corporate which runs a national newspaper which has, or two or more national newspapers which together have, a national market share of 20 per cent. or more.

(3) No body corporate in which a person who runs a national newspaper which has, or national newspapers which together have, a national market share of 20 per cent. or more is a participant with more than a 20 per cent. interest, shall be a participant with more than a 20 per cent. interest in a body corporate which holds a licence to provide any of the services specified in sub-paragraph (4).

(4) The services referred to in sub-paragraphs (1), (2) and (3) are—

(a) a regional or national Channel 3 service or Channel 5, and

(b) national or local radio services.

(5) The Secretary of State may by order amend sub-paragraph (1), (2) or (3) by substituting a different percentage interest in a body corporate for the percentage for the time being specified there.

(6) Any restriction imposed by this paragraph on participation in a body corporate which is the holder of a particular kind of licence shall apply equally to participation in a body corporate which controls the holder of such a licence.

(7) Any restriction on participation imposed by this paragraph—

(a) on the proprietor of any newspaper, or

(b) on the holder of any licence,

shall apply as if he and every person connected with him were one person.

Holding of local radio licence by person running local newspapers with at least 50 per cent local market share

6 (1) A licence to provide a local radio service may not be held by a person who runs a local newspaper which has, or local newspapers which for the time being together have, a local market share of 50 per cent. or more in the coverage area of the service unless—

(a) the service in question shares a potential audience with another local radio service, but

(b) he does not hold any other licence to provide a local radio service whose coverage area is to any extent the same as the coverage area of the service in question.

(2) The reference in sub-paragraph (1) to sharing a potential audience shall be construed in accordance with paragraph 12(5) in Part III of this Schedule.

(3) For the purposes of this paragraph a person shall be treated as holding a licence if the licence is held by a person connected with him.

Further restrictions on holding of local radio licences by a person who runs a local newspaper

7 (1) No person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in each of the relevant areas may hold any three licences to provide local radio services any of which shares a potential audience with each of the other services.

(2) No person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in both the relevant areas may hold any two licences to provide local radio services which share a potential audience, unless one of the licences is an AM licence and the other is an FM licence.

(3) In sub-paragraphs (1) and (2)—

(a) “the relevant areas” means the coverage areas of the local radio services in question,

(b) references to sharing a potential audience shall be construed in accordance with sub-paragraph (5) of paragraph 12 in Part III of this Schedule, and

(4) For the purposes of this paragraph a person shall be treated as holding a licence if the licence is held by a person connected with him.

(5) This paragraph has effect subject to paragraph 8.

Power by order to impose different restrictions in place of paragraph 7

8 (1) The Secretary of State may by order provide that, where a digital sound programme service is provided in any area, the holding, by a person who runs a local newspaper or local newspapers as mentioned in paragraph 7(1), of two or more licences to provide in that area local radio services which for the purposes of paragraph 7 share a potential audience with each other or with each of the others shall, instead of being subject to the restrictions specified in paragraph 7, be subject to other restrictions specified in the order.

(2) For the purposes of any order under sub-paragraph (1), a person shall be treated as holding a licence if the licence is held by a person connected with him.

Additional restrictions applying where control of or by newspaper proprietor may operate against public interest

9 (1) A licence to provide any of the services specified in sub-paragraph (4) may not be granted to a body corporate which is, or is connected with, the proprietor of a national or local newspaper if the relevant authority determine that in all the circumstances the holding of the licence by that body corporate could be expected to operate against the public interest.

(2) Subject to sub-paragraph (3), a body corporate which holds a licence to provide any of the services specified in sub-paragraph (4) shall not become, or become connected with, the proprietor of a national or local newspaper and continue to hold the licence if the relevant authority determine within the permitted period that in all the circumstances the continued holding of the licence by that body corporate operates, or could be expected to operate, against the public interest.

(3) Sub-paragraph (2) does not apply in any case where the body corporate holding the licence—

(a) is already the proprietor of some other national or local newspaper, or is already connected with such a proprietor, and

(b) does not become connected with any other person who holds a licence to provide any of the services specified in sub-paragraph (4).

(4) The services referred to in sub-paragraphs (1) to (3) are—

(a) a national Channel 3 service or Channel 5,

(b) a national radio service, and

(5) Subject to sub-paragraph (6), in this paragraph “the permitted period” means a period beginning with the day on which the licence holder becomes, or becomes connected with, the proprietor of the national or local newspaper (“the relevant day”) and ending—

(a) in a case where the licence holder has, before the relevant day, notified the relevant authority that he will become, or become connected with, the proprietor of that national or local newspaper on that day, at the end of the period of three months beginning with the relevant day, or

(b) in any other case, at the end of the period of three months beginning with the day on which the licence holder notifies the relevant authority that he has become, or has become connected with, the proprietor of that national or local newspaper.

(6) The relevant authority may in a particular case, after consultation with the licence holder, notify him, before the time when the permitted period would (apart from this sub-paragraph) have ended, that the permitted period in that case is to be calculated as if the references in sub-paragraph (5) to three months were references to such longer period specified in the notification as the relevant authority reasonably consider necessary in the circumstances.

(7) Nothing in any of the preceding provisions of this Schedule shall be construed as affecting the operation of this paragraph or paragraph 10 or 11.

10 (1) A licence to provide a regional Channel 3 service or a local radio service may not be granted to a body corporate which is, or is connected with, the proprietor of a national newspaper or a relevant local newspaper if the relevant authority determine that in all the circumstances the holding of the licence by that body corporate could be expected to operate against the public interest.

(2) Subject to sub-paragraph (3), a body corporate which holds a licence to provide a regional Channel 3 service or a local radio service shall not become, or become connected with, the proprietor of a national newspaper and continue to hold the licence if the relevant authority determine within the permitted period that in all the circumstances the continued holding of the licence by that body corporate operates, or could be expected to operate, against the public interest.