[cma-l] DCMS Consultation

[Richard Hilton]

Ah the 50% rule!  Below is part of what I posted back in February on the subject.  In essence; most of us aren’t getting close to the 50% limit and fighting for those stations that can’t take any on-air advertising is far more important.


Ofcom’s 2013 Communications Market Report has detailed information on our sector.  Overall in terms of income in 2012 29% came from On-air advertising and sponsorship.  Grants made up 29%, SLA’s 7%, donations 14% and other 20%.

So how is abolishing the 50% rule is going to help?  At 29% it’s not that the sector overall is close to hitting 50% limit.

Ofcom break these income categories by type of station. Their figures show the % for On-air advertising and sponsorship as follows:-

Geographic town / rural          32%
Geographic rural                     23%
Minority ethnic                       43%
Military                                   7%
Religious                                 31%
Youth                                      28%

So for minority ethnic stations at 43% the abolition of the rule might help but I can’t see it helping others. Personally speaking I think the rule was set up for all the right reasons; it encourages diversity in our funding models and makes us less dependent on one source of income.  Subtly it governs our sound and ethos. Maybe argue to push it to, say, 60% but I believe this fight is a red herring.

A far most justifiable fight to pick would be to campaign for those community stations that aren’t allowed any on-air advertising and sponsorship as they have a small commercial station broadcasting near them. Their case is far more important. That is where we should be concentrating our fire power.

Regards

Richard

From: cma-l-bounces at mailman.commedia.org.uk [mailto:cma-l-bounces at mailman.commedia.org.uk] On Behalf Of Geoff Rogers
Sent: 15 April 2014 14:26
To: Fantasy Radio Office; cma-l at commedia.org.uk
Subject: Re: [cma-l] DCMS Consultation

I have to be in full agreement here that the 50% rule must go and this should be supported by the CMA.

It is notoriously hard to get grant money in many circumstances and to be able to help very small local businesses with very cheap advertising is almost social gain in itself and no threat to even the smallest commercial station (if indeed any of these exist !)

Kind regards,

Geoff

On 15 April 2014 12:53, Fantasy Radio Office <office at fantasyradio.co.uk<mailto:office at fantasyradio.co.uk>> wrote:
On 15/04/2014 12:00, cma-l-request at mailman.commedia.org.uk<mailto:cma-l-request at mailman.commedia.org.uk> wrote:
> DCMS Consultation

The 50% rule might seem good to the stations able to pull in grant money
- some of us have not been able to do so.

By restricting advertising revenue, an important and enthusiastic
section of the COMMUNITY is partly excluded (i.e. the business sector)
from enjoying a relationship with the community station - and therefore
the community. This 50% rule must go.

Phil Dawson

FANTASY RADIO 97FM

Devizes and Mid Wiltshire

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--
Geoff Rogers
Programme Director
Susy Radio, Local Community Radio for Redhill and Reigate
On-air across Sussex and Surrey on 103.4FM NOW
Web: susyradio.com<http://www.susyradio.com>

Susy Radio Ltd. A company registered in England and Wales.
Registered Office: 54 Nutfield Road, Merstham, Redhill, Surrey, RH1 3EP.
Registered Number: 06748586

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