Legalize / United Kingdom / Public General Act

Broadcasting Act 1996

Type Public General Act

Publication 1996-07-24

Last updated 2026-01-01

State In force

Department Statute Law Database

Source legislation.gov.uk

articles Not indexed

Reform history JSON API

(a) has not granted such rights to include live coverage of the whole or, as the case may be, that part of the event in one or more other relevant services as are sufficient to authorise, in accordance with section 101 (2) or (3) or, as the case may be, section 101 (4), the inclusion in the first service of the live coverage in question, and

(b) is precluded by the terms of the contract from doing so.

(4) In subsection (3)—

“CTT broadcaster” means a person who for the purposes of the European Convention on Transfrontier Television is within the jurisdiction of a State, other than the United Kingdom, which is for the time being a party to the Convention”;

“exempt Irish service” means a service specified in section 211B(1)(b) of the Communications Act 2003.

Contract for televising listed event must specify category of service

100

(1) Any contract entered into after the commencement of this section shall be void so far as it purports to grant to a television programme provider rights to televise the whole or any part of a listed event live for reception in the United Kingdom, or any area of the United Kingdom, unless the contract complies with subsection (2).

Any contract entered into on or after the day on which section 21 of the Media Act 2024 comes into force is void so far as it purports to grant rights to include live coverage of the whole or any part of a listed event in a relevant service for reception in, or in order to be accessed by members of the public in, the United Kingdom, or any area of the United Kingdom, unless the contract complies with subsection (2).

(2) A contract complies with this subsection if the terms of the contract allow the television programme provider the provider of the relevant service to include the live coverage of the listed event—

(a) only in a television programme service relevant service falling within paragraph (a) of subsection (1) of section 98, or

(b) only in a television programme service relevant service falling within paragraph (b) of that subsection.

Restriction on televising of listed event

101

(1) A television programme provider providing a service falling within either of the categories set out in subsection (1) of section 98 (“the first service”) for reception in the United Kingdom or in any area of the United Kingdom shall not, without the previous consent of OFCOM, include in that service live coverage of the whole or any part of a listed event unless—

(a) another person, who is providing a service falling within the other category set out in that subsection (“the second service”), has acquired the right to include in the second service live coverage of the whole of the event or of that part of the event, and

(b) the area for which the second service is provided consists of or includes the whole, or substantially the whole, of the area for which the first service is provided.

(2) OFCOM may revoke any consent given by them under subsection (1).

(3) Failure to comply with subsection (1) shall not affect the validity of any contract.

(4) Subsection (1) shall not have effect where the television programme provider providing the first service is exercising rights acquired before the commencement of this section.

Power of Commission to impose penalty

102

(A1) If OFCOM—

(a) are satisfied that a person other than the BBC or S4C who is the provider of a relevant service has failed to comply with section 101 (1), and

(b) are not satisfied that in all the circumstances it would be unreasonable to have expected the person to have complied with that provision,

they may require the person to pay, within a specified period, a specified financial penalty to OFCOM.

(B1) If OFCOM are satisfied that, in connection with an application for consent for the purposes of section 101 (5), a person other than the BBC or S4C who is the provider of a relevant service has—

(a) provided them with information which was false in a material particular, or

(b) withheld any material information with the intention of causing OFCOM to be misled,

they may require the person to pay, within a specified period, a specified financial penalty to OFCOM.

(1) If OFCOM—

(a) are satisfied that the holder of a licence under Part I of the 1990 Act or a digital programme licence under Part I of this Act has failed to comply with subsection (1) of section 101 or subsection (1) or (1A) of section 101B, and

(b) are not satisfied that in all the circumstances it would be unreasonable to expect him to have complied with that subsection,

they may require him to pay, within a specified period, a specified financial penalty to OFCOM.

(2) If OFCOM are satisfied that, in connection with an application for consent under subsection (1) of section 101 or for the purposes of subsection (1) or (1A) of section 101B, the holder of a licence under Part I of the 1990 Act or a digital programme licence under Part I of this Act has—

(a) provided them with information which was false in a material particular, or

(b) withheld any material information with the intention of causing OFCOM to be misled,

they may require him to pay, within a specified period, a specified financial penalty to OFCOM.

(2A) Before requiring any person to pay a financial penalty under subsection (1) on the ground that he has failed to comply with subsection (1) or (1A) of section 101B, OFCOM shall consult such persons (who may include competent authorities in EEA States or qualifying CTT States) as appear to OFCOM to be appropriate.

(3) The amount of any financial penalty imposed on any person under subsection (A1), (B1), (1) or (2) shall not exceed the amount produced by multiplying the relevant consideration by the prescribed multiplier.

(4) In subsection (3)—

(a) “the relevant consideration” means —

(i) in relation to a financial penalty imposed under subsection (A1) or (B1), an amount determined by OFCOM to be the value of the rights to include coverage of the event in question in the relevant service at the time when the rights are acquired, and

(ii) in relation to a financial penalty imposed under subsection (1) or (2),

an amount determined by OFCOM as representing so much of any consideration paid by the person on whom the penalty is being imposed as is attributable to the acquisition of the rights to televise the event in question, and

(b) “the prescribed multiplier” means such number as the Secretary of State may from time to time by order prescribe.

(5) An order under subsection (4)(b) shall be subject to annulment in pursuance of a resolution of either House of Parliament.

(6) Where OFCOM receive any amount payable to them by virtue of subsection (A1), (B1), (1) or (2), that amount shall not form part of the revenues of OFCOM but shall be paid into the Consolidated Fund.

(7) Any amount payable by any person to OFCOM by virtue of subsection (A1), (B1), (1) or (2) shall be recoverable by them as a debt due to them from that person.

Report to Secretary of State

103

(1) If OFCOM —

(a) are satisfied that a broadcasting body has failed to comply with subsection (1) of section 101 or subsection (1) or (1A) of section 101B, and

(b) are not satisfied that in all the circumstances it would be unreasonable to expect the body to have complied with that subsection,

they shall make a report on the matter to the Secretary of State.

(2) If OFCOM are satisfied that, in connection with an application for consent under subsection (1) of section 101 or subsection (1) or (1A) of section 101B, a broadcasting body has—

(a) provided them with information which was false in a material particular, or

(b) withheld any material information with the intention of causing OFCOM to be misled,

(2A) Before reporting to the Secretary of State that a broadcasting body has failed to comply with subsection (1) or (1A) of section 101B, OFCOM shall consult such persons (who may include competent authorities in EEA States or qualifying CTT States) as appear to OFCOM to be appropriate.

(3) In this section “broadcasting body” means the BBC or S4C.

Code of guidance

104

(1) OFCOM shall draw up, and may from time to time revise, a code giving guidance—

(a) as to the matters which they will take into account in determining whether to give or to revoke their consent for the purposes of section 101 (5) or section 101B(1) or (1A); and

(b) as to the matters which they will take into account in determining for the purposes of section 102(A1) or (1) or 103(1), whether in all the circumstances it is unreasonable to expect a person to comply with section 101(1) or section 101B(1) or (1A).

(2) In exercising their powers under this Part, OFCOM shall have regard to the provisions of the code.

(3) Before drawing up or revising the code OFCOM shall consult such persons as appear to OFCOM to be appropriate.

(4) As soon as OFCOM have drawn up or revised such a code, OFCOM shall publish the code in such manner as they consider appropriate for bringing it to the attention of—

(a) the BBC,

(b) S4C,

(d) such other persons as OFCOM consider appropriate.

Interpretation of Part IV and supplementary provisions

105

(1) In this Part (unless the context otherwise requires)—

“adequate alternative coverage” and “live”” are to be construed in accordance with any regulations under section 104ZA;

“adequate alternative coverage”, “adequate live coverage” and “live coverage” are to be construed in accordance with regulations under section 104ZA (subject to section 104ZA(2));

“the Audiovisual Media Services Directive” means Directive 2010/13/EU of the European Parliament and of the Council of 10 March 2010 on the coordination of certain provisions laid down by law, regulation or administrative action in Member States concerning the provision of audiovisual media services as it has effect in EU law from time to time;

“Channel 3 service” means a regional or national Channel 3 service;

“Channel 4” has and “Channel 5” have the same meaning as in Part I of the 1990 Act;

...

“designated event”—

(a) in relation to an EEA State, has the meaning given by section 101A(1), and

(b) in relation to a qualifying CTT State, has the meaning given by section 101A(2);

“designated internet programme service” has the same meaning as in Part 3A of the Communications Act 2003 (see section 362AA (1) of that Act);

“EEA State” has the meaning given by Schedule 1 to the Interpretation Act 1978;

“the European Convention on Transfrontier Television” means the Council of Europe Convention on Transfrontier Television which was opened for signature at Strasbourg on 5th May 1989, as amended by the Protocol which was opened for signature at Strasbourg on 1st October 1998;

“internet programme service” has the same meaning as in Part 3A of the Communications Act 2003 (see section 362AA (10) of that Act);

“listed event” has the meaning given by section 97(1);

...

“national Channel 3 service” and “regional Channel 3 service” have the same meaning as in Part I of the 1990 Act;

“on-demand programme service” and “non-UK on-demand programme service” have the same meaning as in the Communications Act 2003 (see sections 368A and 368AA (1) of that Act);

“qualifying CTT State” has the meaning given by section 101A(3);

“relevant service” has the meaning given by section 98(7);

...

“S4C Digital” has the same meaning as in Part 1 of the 1990 Act (see section 71(1) of that Act);

“television broadcasting service” has the same meaning as in Part I of the 1990 Act;

“television programme provider” has the meaning given by section 99(2) means the BBC, S4C or any person who is the holder of any licence under Part 1 of the 1990 Act or a digital programme licence under Part 1 of this Act;

“television programme service” has the same meaning as in Part I of the 1990 Act.

(1A) The services that are to be taken for the purposes of this Part to be available to members of the public include any service which—

(a) is available for reception by members of the public (within the meaning of section 361 of the Communications Act 2003), or

(b) is available for use by members of the public (within the meaning of section 368R(4) of the Communications Act 2003).

(1B) In this Part—

(a) a reference to the provision of a television programme service is to be read in accordance with section 362(2) and (3) of the Communications Act 2003;

(b) a reference to the provision of an on-demand programme service or a non-UK on-demand programme service is to be read in accordance with section 368R(5) and (6) of the Communications Act 2003.

(1C) In this Part, the person, and the only person, who is to be treated for the purposes of this Part as providing a relevant service of the kind described in section 98(7)(d) is the person who has such control of the service as is described in section 98(7)(d)(iii).

(1D) For the purposes of this Part as it relates to relevant services of the kind described in section 98(7)(d)—

(a) the provision of a service by the BBC does not include its provision by a BBC company;

(b) the provision of a service by S4C does not include its provision by an S4C company;

and, accordingly, control that is capable of being exercised by the BBC or S4C over decisions by a BBC company or an S4C company about what is to be included in a service is to be disregarded for the purposes of determining who has such control of the service as is described in section 98(7)(d)(iii).

(2) Section 182 of the 1990 Act (certain events not to be shown on pay-per-view terms) shall cease to have effect.

Part V — The Broadcasting Standards Commission

Establishment of Broadcasting Standards Commission

The Broadcasting Standards Commission

106

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Unjust or unfair treatment or unwarranted infringement of privacy

Preparation by BSC of code relating to avoidance of unjust or unfair treatment or interference with privacy

107

(1) It shall be the duty of OFCOM to draw up, and from time to time review, a code giving guidance as to principles to be observed, and practices to be followed, in connection with the avoidance of—

(a) unjust or unfair treatment in programmes to which subsection (5) applies, or

(b) unwarranted infringement of privacy in, or in connection with the obtaining of material included in, such programmes.

(1A) OFCOM must also draw up, and from time to time review, a code giving guidance as to the principles to be observed, and practices to be followed, in connection with the avoidance of—

(a) unjust or unfair treatment in any programme that is included in a Tier 1 service (within the meaning given by section 368HA of the Communications Act 2003), or

(b) unwarranted infringement of privacy in, or in connection with the obtaining of material included in, such programmes.

(1B) Subsection (1A) applies in relation to a Tier 1 service only so far as the service is made available for use by members of the public in the United Kingdom.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) OFCOM shall from time to time publish a code under this section (as for the time being in force).

(4) Before drawing up or revising a code under this section, OFCOM shall consult—

(a) each broadcasting ... body, and

(b) such other persons as appear to OFCOM to be appropriate.

(5) This subsection applies to—

(a) any programme broadcast by the BBC,

(b) any programme broadcast by S4C or included in any public service of S4C (within the meaning of Part 2 of Schedule 12 to the Communications Act 2003), and

Portrayal of violence or sexual conduct etc.

Preparation by BSC of code relating to broadcasting standards generally

108

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Monitoring by BSC of broadcasting standards

109

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Complaints

General functions of BSC in relation to complaints

110

(1) Subject to the provisions of this Part, it shall be the duty of OFCOM to consider and adjudicate on complaints which are made to them in accordance with sections 111 and 114 and relate—

(a) to unjust or unfair treatment in programmes to which section 107 applies, or

(b) to unwarranted infringement of privacy in, or in connection with the obtaining of material included in, such programmes.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) In exercising their functions under subsection (1), OFCOM shall take into account any relevant provisions of the codes maintained by them under section 107...

(4) In this Part—

“a fairness complaint” means a complaint to OFCOM in respect of any of the matters referred to in subsection (1)(a) and (b), ...

Complaints of unfair treatment etc

111

(1) A fairness complaint may be made by an individual or by a body of persons, whether incorporated or not, but, subject to subsection (2), shall not be entertained by OFCOM unless made by the person affected or by a person authorised by him to make the complaint for him.

(2) Where the person affected is an individual who has died, a fairness complaint may be made by his personal representative or by a member of the family of the person affected, or by some other person or body closely connected with him (whether as his employer, or as a body of which he was at his death a member, or in any other way).

(3) Where the person affected is an individual who is for any reason both unable to make a complaint himself and unable to authorise another person to do so for him, a fairness complaint may be made by a member of the family of the person affected, or by some other person or body closely connected with him (whether as his employer, or as a body of which he is a member, or in any other way).

(4) OFCOM shall not entertain, or proceed with the consideration of, a fairness complaint if it appears to them that the complaint relates to the broadcasting of the relevant programme, or to its inclusion in a licensed service or a Tier 1 service, on an occasion more than five years after the death of the person affected, unless it appears to them that in the particular circumstances it is appropriate to do so.

(4A) OFCOM must not entertain, or proceed with the consideration of, a fairness complaint relating to the inclusion of a programme in a Tier 1 service unless it appears to them that the programme—

(a) was first included in the service after the end of the grace period, or

(b) if first included before then, either remained included or was again included after the end of that period.

(4B) In subsection (4A), “the grace period”, in relation to a Tier 1 service, means the period of 12 months beginning with whichever is the later of the following—

(a) the day on which the on-demand programme service, or non-UK on-demand programme service, became a Tier 1 service;

(b) the day when the first code under section 107(1A) was published.

(4C) Where regulations under section 368HB (1) of the Communications Act 2003 provide that an on-demand programme service, or a non-UK on-demand programme service, specified in the regulations is a Tier 1 service, the regulations may also provide—

(a) that subsections (4A) and (4B) do not apply in relation to the service, or

(b) that those subsections apply in relation to the service as if the reference in subsection (4B) to 12 months were a reference to such lesser period as may be specified in the regulations.

(5) OFCOM may refuse to entertain a fairness complaint if it appears to them not to have been made within a reasonable time after the last occasion on which the relevant programme was broadcast or, as the case may be, included in a licensed service or a Tier 1 service.

(6) Where, in the case of a fairness complaint, the relevant programme was broadcast or included in a licensed service or a Tier 1 service after the death of the person affected, subsection (5) shall apply as if at the end there were added “within five years (or such longer period as may be allowed by OFCOM in the particular case under subsection (4)) after the death of the person affected”.

(7) OFCOM may refuse to entertain—

(a) a fairness complaint which is a complaint of unjust or unfair treatment if the person named as the person affected was not himself the subject of the treatment complained of and it appears to OFCOM that he did not have a sufficiently direct interest in the subject-matter of that treatment to justify the making of a complaint with him as the person affected, or

(b) a complaint made under subsection (2) or (3) by a person other than the person affected or a person authorised by him, if it appears to OFCOM that the complainant’s connection with the person affected is not sufficiently close to justify the making of the complaint by him.

Committee to consider fairness complaints

112

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Complaints relating to taste and decency, etc

113

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Supplementary provisions as to making of complaints of either kind

114

(1) A fairness complaint ... must be in writing, or in such other form as OFCOM may allow, and must give particulars of the matters complained of.

(2) The OFCOM shall not entertain, or proceed with the consideration of, a fairness complaint ... if it appears to them—

(a) that the matter complained of is the subject of proceedings in a court of law in the United Kingdom, or

(b) that the matter complained of is a matter in respect of which the complainant or... the person affected has a remedy by way of proceedings in a court of law in the United Kingdom, and that in the particular circumstances it is not appropriate for OFCOM to consider a complaint about it, or

(d) that for any other reason it is inappropriate for them to entertain, or proceed with the consideration of, the complaint.

Consideration of fairness complaints

115

(1) Subject to the provisions of sections 111 and 114, every fairness complaint made to OFCOM shall be considered by them either at a hearing or, if they think fit, without a hearing.

(2) Hearings under this section shall be held in private; and where such a hearing is held in respect of a fairness complaint, each of the following persons shall be given an opportunity to attend and be heard, namely—

(a) the complainant,

(b) the relevant person,

(d) any person not falling within any of paragraphs (a) or (b) who appears to OFCOM to have been responsible for the making or provision of that programme, and

(e) any other person who OFCOM consider might be able to assist at the hearing.

(3) Before OFCOM proceed to consider a fairness complaint they shall send a copy of it—

(a) to the relevant person, and

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) Where the relevant person receives from OFCOM a copy of the complaint, it shall be the duty of that person, if so required by OFCOM—

(a) to provide OFCOM with a visual or sound recording of the relevant programme or of any specified part of it, if and so far as the relevant person has such a recording in his possession;

(b) to make suitable arrangements for enabling the complainant to view or hear the relevant programme, or any specified part of it, if and so far as the relevant person has in his possession a visual or sound recording of it;

(c) to provide OFCOM and the complainant with a transcript of so much of the relevant programme, or of any specified part of it, as consisted of speech, if and so far as the relevant person is able to do so;

(d) to provide OFCOM and the complainant with copies of any documents in the possession of the relevant person, being the originals or copies of any correspondence between that person and the person affected or the complainant in connection with the complaint;

(da) to provide OFCOM with such other things appearing to OFCOM to be relevant to their consideration of the complaint, and to be in the possession of the relevant person, as may be specified or described by OFCOM;

(e) to furnish to OFCOM and the complainant a written statement in answer to the complaint.

(5) Where the relevant person receives from OFCOM a copy of a fairness complaint, it shall also be the duty of that person, if so required by OFCOM—

(a) where the relevant person is a broadcasting body, to arrange for one or more of the governors, members or employees of the body to attend OFCOM and assist them in their consideration of the complaint, or

(b) where the relevant person is a body other than a broadcasting body, to arrange for one or more of the following, namely—

(i) the persons who take part in the management or control of the body, or

(ii) the employees of the body,

to attend OFCOM and assist them in their consideration of the complaint, or

(c) where the relevant person is an individual, to attend, or to arrange for one or more of his employees to attend, OFCOM and assist them in their consideration of the complaint.

(6) Where the relevant person receives from OFCOM a copy of a fairness complaint and, in connection with the complaint, OFCOM make to any other person a request to which this subsection applies, it shall be the duty of the relevant person to take such steps as he reasonably can to ensure that the request is complied with.

(7) Subsection (6) applies to the following requests by OFCOM to any such other person as is there mentioned, namely—

(a) a request to make suitable arrangements for enabling the complainant and any member or employee of OFCOM to view or hear the relevant programme, or any specified part of it, if and so far as the person requested has in his possession a visual or sound recording of it;

(b) a request to provide OFCOM and the complainant with a transcript of so much of the relevant programme, or of any specified part of it, as consisted of speech, if and so far as the person requested is able to do so;

(c) a request to provide OFCOM and the complainant with copies of any documents in the possession of the person requested, being the originals or copies of any correspondence between that person and the person affected or the complainant in connection with the complaint;

(ca) a request to provide OFCOM with such other things appearing to OFCOM to be relevant to their consideration of the complaint, and to be in the possession of the person requested, as may be specified or described by OFCOM;

(d) a request to furnish to OFCOM and the complainant a written statement in answer to the complaint;

(e) a request to attend, or (where the person requested is not an individual) to arrange for a representative to attend, OFCOM and assist them in their consideration of the complaint.

(8) Where OFCOM have adjudicated on a fairness complaint, OFCOM shall send a copy of their findings to the complainant.

(9) In this section “the relevant person” means—

(a) in a case where the relevant programme was broadcast by a broadcasting body, that body, ...

(b) in a case where the relevant programme was included in a licensed service, the licence holder providing the service , and

Consideration of standards complaints

116

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Duty to retain recordings

117

For the purposes of section 115 of this Act and of section 167 of the 1990 Act (power to make copies of recordings in connection with certain offences) it shall be the duty of each broadcasting body to retain a recording of every television or sound programme which is broadcast by that body—

(a) where it is of a television programme, during the period of 90 days beginning with the day of the broadcast, and

(b) where it is of a sound programme, during the period of 42 days beginning with the day of the broadcast.

Power to pay allowances to persons attending hearings

118

OFCOM may, if they think fit, make to any person who attends them in connection with a fairness complaint ... such payments as they think fit by way of travelling allowance or subsistence allowance where expenditure on travelling or, as the case may be, on subsistence is necessarily incurred by him for the purpose of enabling him so to attend.

Publication of BSC’s findings

119

(1) Where OFCOM have considered and adjudicated upon a fairness complaint, they may direct the relevant person to publish the matters mentioned in subsection (3) in such manner, and within such period, as may be specified in the directions.

(3) Those matters are—

(a) a summary of the complaint;

(b) OFCOM's findings on the complaint or a summary of them;

(4) References in subsection (1) to the publication of any matter are references to the publication of that matter without its being accompanied by any observations made by a person other than OFCOM and relating to the complaint.

(5) The form and content of any such summary as is mentioned in subsection (3)(a) or (b) shall be such as may be approved by OFCOM.

(6) A relevant person shall comply with any directions given to him under this section.

(7) The regulatory regime for every licensed service includes the conditions that OFCOM consider appropriate for securing that the licence holder complies with every direction given to him under this section.

(7A) Section 263 of the Communications Act 2003 applies in relation to conditions included by virtue of subsection (7) in the regulatory regime for a licensed service as it applies in relation to conditions which are so included by virtue of a provision of Chapter 4 of Part 3 of that Act.

(7B) It is hereby declared that, where—

(a) OFCOM exercise their powers under this Part to adjudicate upon a fairness complaint or to give a direction under subsection (1), and

(b) it appears to them that the matters to which the complaint in question relates consist in or include a contravention of the conditions of the licence for a licensed service,

the exercise by OFCOM of their powers under this Part is not to preclude the exercise by them of their powers under any other enactment in respect of the contravention.

(7C) Where OFCOM are proposing to exercise any of their powers in respect of a contravention of a licence condition in a case in which the contravention relates to matters that have been the subject-matter of a fairness complaint—

(a) OFCOM may have regard, in the exercise of those powers, to any matters considered or steps taken by them for the purpose of adjudicating upon that complaint and to any direction given by them under this section; but

(b) steps taken for the purposes of this Part do not satisfy a requirement to give the licence holder in relation to whom those powers are to be exercised a reasonable opportunity, before they are exercised, of making representations to OFCOM.

(7D) Where the relevant person is a provider of a Tier 1 service, the following provisions of the Communications Act 2003 apply in relation to a contravention of the duty under subsection (6) as they apply in relation to a contravention of the duty under section 368HJ (1) of that Act—

(a) section 368I(1A)(b) (power to impose a financial penalty in accordance with section 368J) and section 368J;

(b) section 368K (suspension or restriction of services).

(8) OFCOM shall publish, monthly or at such other intervals as they think fit and in such manner as they think fit, reports each containing, as regards every fairness complaint ... which falls within this subsection and has been dealt with by them in the period covered by the report—

(a) a summary of the complaint and the action taken by them on it,

(b) where they have adjudicated on it, a summary of—

(i) their findings,

(ii) any direction given under subsection (1), or other action taken by them, in relation to the complaint, and

(c) where a direction has been given under subsection (1) in relation to the complaint, a summary of any action taken by a relevant person in pursuance of the direction.

(9) A fairness complaint ... made to OFCOM falls within subsection (8) unless it is one which under section 111(1), (4) or (5) ... or 114(2) they have refused to entertain.

(10) OFCOM may, if they think fit, omit from any summary which is included in a report under subsection (8) and relates to a fairness complaint any information which could lead to the disclosure of the identity of any person connected with the complaint in question other than a relevant person

(11) The references in subsections (3)(b) and (8)(b) to OFCOM’s findings on a complaint shall be construed, in relation to a fairness complaint which has been considered by them in two or more parts, as references to their findings on each part of the complaint.

(11A) In this section “relevant person” means—

(a) in a case where the relevant programme was broadcast by a broadcasting body, that body; ...

(b) in a case where the relevant programme was included in a licensed service, the licence holder providing that service ; and

(12) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Reports on action taken voluntarily in response to findings on complaints

120

(1) This section applies where OFCOM have given a direction under section 119(1) in relation to a fairness complaint ....

(2) Where the relevant programme was included in a licensed service, the licence holder shall send to OFCOM a report of any supplementary action taken by him or by any other person responsible for the making or provision of the relevant programme.

(3) Where the relevant programme was broadcast by a broadcasting body, that body shall send to OFCOM a report of any supplementary action taken by—

(a) the broadcasting body, or

(b) any other person appearing to that body to be responsible for the making or provision of the relevant programme.

(3A) Where the relevant programme was included in a Tier 1 service, the provider of that service shall send to OFCOM a report of any supplementary action taken by—

(a) the provider, or

(b) any other person appearing to the provider to be responsible for the making or provision of the relevant programme.

(4) OFCOM may include, in any report under section 119(8), a summary of any report received by them under subsection (2) , (3) or (3A) in relation to the complaint.

(5) In this section “supplementary action”, in relation to a complaint, means action which, although not taken in pursuance of a direction under section 119(1), is taken in consequence of the findings of OFCOM on the complaint.

Certain statements etc. protected by qualified privilege for purposes of defamation

121

(1) For the purposes of the law relating to defamation—

(a) publication of any statement in the course of the consideration by OFCOM of, and their adjudication on, a fairness complaint,

(b) publication by OFCOM of directions under section 119(1) relating to a fairness complaint, or

is privileged unless the publication is shown to be made with malice.

(2) Nothing in subsection (1) shall be construed as limiting any privilege subsisting apart from that subsection.

Miscellaneous and general

Power of BSC to commission research

122

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

International representation by BSC of Government interests

123

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Duty to publicise BSC

124

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Annual reports

125

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Reports to Secretary of State

126

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Contributions towards cost of BSC

127

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Transfer of assets of Broadcasting Complaints Commission and Broadcasting Standards Council to BSC and dissolution of those bodies

128

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Transitional provisions relating to complaints

129

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interpretation of Part V

130

(1) In this Part (unless the context otherwise requires)—

“broadcasting body” means the BBC or S4C;

“fairness complaint” has the meaning given by section 110(4);

“licensed service” means ...—any television programme service (within the meaning of Part I of the 1990 Act) which is licensed under that Part,...any relevant independent radio service (within the meaning of section 85 of the 1990 Act),any additional service (within the meaning of Part 1 of the 1990 Act) which is licensed under that Part,any digital programme service (within the meaning of Part I of this Act) which is licensed under that Part,any qualifying service (within the meaning of Part I of this Act) provided by a person other than S4C,any digital sound programme service (within the meaning of Part II of this Act) which is licensed under that Part,any simulcast radio service (within the meaning of Part II of this Act), andany digital additional service (within the meaning of Part I or II of this Act) which is licensed under that Part;

“participant”, in relation to a programme, means a person who appeared, or whose voice was heard, in the programme;

“the person affected”—in relation to any such unjust or unfair treatment as is mentioned in section 110(1), means a participant in the programme in question who was the subject of that treatment or a person who, whether such a participant or not, had a direct interest in the subject-matter of that treatment, andin relation to any such unwarranted infringement of privacy as is so mentioned, means a person whose privacy was infringed;

“programme” includes an advertisement and a teletext transmission and, in relation to a service, includes any item included in that service;

“the relevant programme”, in relation to a complaint, means the programme to which the complaint relates;

“Tier 1 service” has the same meaning as in the Communications Act 2003 (see section 368HA of that Act);

“unjust or unfair treatment” includes treatment which is unjust or unfair because of the way in which material included in a programme has been selected or arranged.

(2) In this Part—

(a) any reference to programmes to which section 107 applies shall be construed in accordance with section 107(5), ...

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part VI — The British Broadcasting Corporation

Transfer of property, rights and liabilities relating to BBC transmission network

Power of BBC to make transfer schemes relating to its transmission network

131

(1) The BBC may make a scheme or schemes providing for the transfer to any person or persons of such property, rights and liabilities of the BBC as are specified in, or determined in accordance with the scheme, being property, rights and liabilities which, immediately before the day on which the scheme comes into force, subsist for the purposes of or in connection with or are otherwise attributable to the BBC transmission network.

(2) In subsection (1) “the BBC transmission network” means so much of the undertaking of the BBC as is concerned with the provision of broadcasting transmission services or services related to those services.

(3) In this Part “transfer scheme” means a scheme made under subsection (1).

(4) Schedule 5 shall have effect with respect to transfer schemes.

Powers of Secretary of State in relation to transfer schemes

132

(1) A transfer scheme shall not take effect unless it is approved by the Secretary of State; and where such a scheme is submitted to the Secretary of State for his approval, he may modify the scheme before approving it.

(2) Subject to subsection (3), the Secretary of State shall not approve a transfer scheme containing any provision in accordance with which any person other than a wholly-owned subsidiary of the BBC becomes entitled or subject to any property, rights and liabilities unless it appears to the Secretary of State that the person has consented to the provisions of the scheme so far as they relate to him.

(3) Subsection (2) shall not require the consent of any person to so much of a transfer scheme as—

(a) relates to property, rights or liabilities to which that person is already entitled or subject, and

(b) appears to the Secretary of State to be made for purposes that are no more than supplemental or incidental to the other provisions of the scheme.

(4) Before—

(a) declining to approve a transfer scheme, or

(b) modifying such a scheme,

the Secretary of State shall consult the BBC and every person who is a transferee under the scheme.

(5) It shall be the duty of the BBC and every person who is a transferee under a transfer scheme to provide the Secretary of State with all such information and other assistance as he may reasonably require for the purposes of, or in connection with, the exercise of any power conferred on him by this paragraph.

(6) In this section “wholly-owned subsidiary” has the meaning given by section 1159 of the Companies Act 2006 .

Agreements with respect to transfer schemes

133

(1) The BBC may enter into any such agreement with another person as they think fit for the purpose of accepting or imposing contractual obligations with respect to, or to anything connected with, the manner in which their powers by virtue of section 131 are to be exercised.

(2) Any agreement may, in particular, provide for the making of payments, or the issue of shares or securities, to the BBC (by way of consideration or otherwise) in respect of anything created or transferred in accordance with a transfer scheme.

(3) The consent of the Secretary of State shall be required for the making by the BBC of an agreement under this section.

Transfer schemes: successor companies

134

Schedule 6 (which makes provision about the accounts etc. of wholly-owned subsidiaries of the BBC to which any property, rights or liabilities are transferred in accordance with a transfer scheme) shall have effect.

Taxation provisions with respect to transfer schemes

135

Schedule 7 (which makes provision about tax in connection with transfer schemes) shall have effect.

Services provided by BBC companies

136

Schedule 8 (which makes amendments of the 1990 Act relating to the regulation by the Independent Television Commission and the Radio Authority of services provided by bodies corporate in which the BBC have an interest) shall have effect.

Avoidance of certain terms relating to use for purpose of news reporting of visual images from broadcast or cable programme

137

(1) Any provision in an agreement is void in so far as it purports to prohibit or restrict relevant dealing with a broadcast ... in any circumstances where by virtue of section 30(2) of the Copyright, Designs and Patents Act 1988 (fair dealing for the purpose of reporting current events) copyright in the broadcast ... is not infringed.

(2) In subsection (1)—

(a) “relevant dealing”, in relation to a broadcast, means dealing by communicating to the public any visual images taken from that broadcast, and

(b) “broadcast” and “communicating to the public” have the same meaning as in Part I of the Copyright, Designs and Patents Act 1988.

Amendments of Copyright, Designs and Patents Act 1988 relating to cable programme services

138

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Copyright licensing

139

(1) After section 135G of the Copyright, Designs and Patents Act 1988 there is inserted—

(135H) (1) The Secretary of State may by order, subject to such transitional provision as appears to him to be appropriate, amend sections 135A to 135G so as— (a) to include in any reference to sound recordings any works of a description specified in the order; or (b) to exclude from any reference to a broadcast or cable programme service any broadcast or cable programme service of a description so specified. (2) An order shall be made by statutory instrument; and no order shall be made unless a draft of it has been laid before and approved by resolution of each House of Parliament.

(2) After section 151 of that Act there is inserted—

(151A) (1) Any of the following, namely— (a) a direction under section 123(3) so far as relating to a licence for broadcasting a work or including a work in a cable programme service; (b) a direction under section 128(3) so far as so relating; (c) an order under section 135D(1); and (d) an order under section 135F confirming or varying an order under section 135D(1), may award simple interest at such rate and for such period, beginning not earlier than the relevant date and ending not later than the date of the order, as the Copyright Tribunal thinks reasonable in the circumstances. (2) In this section “the relevant date” means— (a) in relation to a direction under section 123(3), the date on which the reference was made; (b) in relation to a direction under section 128(3), the date on which the reference or application was made; (c) in relation to an order section 135D(1), the date on which the first payment under section 135C(2) became due; and (d) in relation to an order under section 135F, the date on which the application was made.

(3) Subsection (2) does not apply in any case where the reference or application to the Copyright Tribunal was or is made before the commencement of this section.

Unauthorised decoders

140

Apparatus, etc. for unauthorised reception of transmissions

141

Part VIII — Miscellaneous and general

Standards for transmission systems

142

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disqualification on grounds relating to political objects

143

(1) If it appears to the OFCOM that there are grounds for suspecting that any person who is an applicant for a licence under Part 1 or 3 of the 1990 Act or Part 1 or 2 of this Act, is by virtue of any of the provisions specified in subsection (5) a disqualified person in relation to that licence, OFCOM shall be regarded as failing to discharge their duty under section 5(1) or 88(1) of the 1990 Act or section 5(1) or 44(1) of this Act , if they grant the licence to that person without being provided with information which satisfies them that he is not on those grounds a disqualified person by virtue of that provision.

(2) If it appears to OFCOM that there are grounds for suspecting that any person who is the holder of a licence under Part 1 or 3 of the 1990 Act or Part 1 or 2 of this Act, is by virtue of any of the provisions specified in subsection (5) a disqualified person in relation to that licence, OFCOM shall be regarded as failing to discharge their duty under section 5(1) or 88(1) of the 1990 Act or section 5(1) or 44(1) of this Act , unless—

(a) they require him to provide them with information for the purpose of determining whether he is on those grounds a disqualified person by virtue of that provision, and

(b) if they are satisfied that he is a disqualified person, they revoke the licence.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) The provisions referred to in subsections (1) and (2) are the following provisions of paragraph 1(1) of Part II of Schedule 2 to the 1990 Act—

(a) paragraphs (d) to (g),

(b) paragraph (h) so far as relating to participation by bodies falling within paragraph (d), (e) or (g),

(c) paragraph (hh) so far as relating to a body corporate controlled by a body corporate in which a body falling within paragraph (d), (e) or (g) is a participant with more than a 5 per cent. interest,

(d) paragraph (i) so far as relating to control by a person falling within any of paragraphs (d) to (g) or by two or more such persons, and

(e) paragraph (j) so far as relating to participation by a body corporate which is controlled by a person falling within any of paragraphs (d) to (g) or by two or more such persons.

(6) Nothing in subsections (1) to (5) shall be taken to limit the generality of the duties imposed on OFCOM by sections 5(1) and 88(1) of the 1990 Act and sections 5(1) and 44(1) of this Act.

Provision of false information, etc.

Offence of providing false information in certain circumstances

144

(1) A person who, in connection with an application by him for, or his continued holding of, a licence under the 1990 Act or this Act—

(a) makes a statement to OFCOM which he knows to be false in a material particular, or

(b) recklessly makes a statement to OFCOM which is false in a material particular,

is guilty of an offence if the statement relates to a matter which would be relevant in determining whether he is by virtue of any of the provisions specified in subsection (3) a disqualified person, and he is by virtue of any of those provisions a disqualified person in relation to that licence.

(2) A person who, in connection with an application by him for, or his continued holding of, a licence under the 1990 Act or this Act, withholds any information with the intention of causing OFCOM to be misled is guilty of an offence if—

(a) the information would be relevant in determining whether he is by virtue of any of the provisions specified in subsection (3) a disqualified person, and

(b) he is by virtue of any of those provisions a disqualified person in relation to that licence.

(3) The provisions referred to in subsections (1) and (2) are the following provisions of paragraph 1(1) of Part II of Schedule 2 to the 1990 Act—

(a) paragraphs (d) to (g),

(b) paragraph (h) so far as relating to participation by bodies falling within paragraph (d), (e) or (g),

(c) paragraph (hh) so far as relating to a body corporate controlled by a body corporate in which a body falling within paragraph (d), (e) or (g) is a participant with more than a 5 per cent. interest,

(d) paragraph (i) so far as relating to control by a person falling within any of paragraphs (d) to (g) or by two or more such persons, and

(e) paragraph (j) so far as relating to participation by a body corporate which is controlled by a person falling within any of paragraphs (d) to (g) or by two or more such persons.

(4) A person guilty of an offence under this section is liable on summary conviction to imprisonment for a term not exceeding three months or to a fine not exceeding level 5 on the standard scale or to both.

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disqualification for offence of supplying false information, etc

145

(1) Where a person is convicted of an offence under section 144 the court by which he is convicted may make an order (in this section referred to as a “disqualification order”) disqualifying him from holding a licence during a period specified in the order.

(2) The period specified in a disqualification order shall not exceed five years beginning with the date on which the order takes effect.

(3) Where an individual is disqualified from holding a licence by virtue of a disqualification order, any body corporate—

(a) of which he is a director, or

(b) in the management of which he is directly or indirectly concerned,

is also disqualified from holding a licence.

(4) Where the holder of a licence is disqualified by virtue of a disqualification order, the licence shall be treated as being revoked with effect from the time when the order takes effect.

(5) For the purposes of any of the provisions specified in subsection (6) (which relate to the imposition of a financial penalty on the revocation of a licence), a licence which is revoked by virtue of subsection (4) shall be taken to have been revoked by OFCOM as mentioned in that provision.

(6) The provisions referred to in subsection (5) are as follows—

(a) section 18(3) of the 1990 Act,

(b) section 101(3) of the 1990 Act,

(d) section 53(5).

(7) In sections 5(1)(a) and (2)(db)... and 88(1)(a) and (2)(db) of the 1990 Act and sections 5(1)(a) and (2)(db) and 44(1)(a) and (2)(db) of this Act, the reference to a person who is a disqualified person by virtue of Part II of Schedule 2 to the 1990 Act includes a reference to a person who is disqualified by virtue of a disqualification order.

(8) In this section—

“licence” means a licence under Part 1 or 3 of the 1990 Act or under Part 1 or 2 of this Act;

Supplementary provisions as to disqualification orders

146

(1) A person disqualified by a disqualification order may appeal against the order in the same manner as against a conviction.

(2) A disqualification order made by a court in England and Wales or Northern Ireland—

(a) shall not take effect until the end of the period within which the person on whose conviction the order was made can appeal against the order, and

(b) if he so appeals, shall not take effect until the appeal has been determined or abandoned.

(3) A disqualification order made by a court in Scotland—

(a) shall not take effect until the end of the period within which the person on whose conviction the order was made can appeal against the order, and

(b) if an appeal against the order or the conviction is taken within that period, shall not take effect until the date when that appeal is determined or abandoned or deemed to have been abandoned.

(4) In this section “disqualification order” means an order under section 145.

General

General interpretation

147

(1) In this Act—

“the 1990 Act” means the Broadcasting Act 1990;

“the BBC” means the British Broadcasting Corporation.

“OFCOM” means the Office of Communications;

(2) The 1990 Act and the following provisions of this Act—

(a) Parts I and II and Schedule 1,

(b) Part IV,

(d) sections 142 to 146,

shall be construed as if those provisions were contained in that Act.

Minor and consequential amendments, repeals and revocations

148

(1) Schedule 10 (which makes minor and consequential amendments) shall have effect.

(2) The enactments and instruments mentioned in Schedule 11 are hereby repealed or, as the case may be, revoked to the extent specified in the third column of that Schedule.

Commencement and transitional provisions

149

(1) The following provisions of this Act—

(a) paragraphs 7 to 9 of Schedule 2 so far as relating to BBC companies (as defined by section 202(1) of the 1990 Act), and section 73 so far as relating to those paragraphs in their application to such companies,

(b) sections 74 to 78,

(d) section 83,

(e) sections 88, 90 and 92,

(f) Part VI (and Schedules 5 to 8),

(g) section 147(1),

(h) paragraphs 15 and 19 of Schedule 10 so far as relating to BBC companies (as defined by section 202(1) of the 1990 Act), and section 148(1) so far as relating to those paragraphs in their application to such companies,

(i) the entries in Schedule 11 relating to sections 32(9), 45(8) and (9) and 47(11) and (12) of the 1990 Act, and section 148(2) so far as relating to those entries, and

(j) this section and section 150,

shall come into force on the passing of this Act.

(2) The other provisions of this Act shall come into force on such day as the Secretary of State may by order made by statutory instrument appoint; and different days may be appointed for different purposes.

(3) The power to make an order under this section includes power to make such transitional provisions and savings as the Secretary of State considers appropriate.

Short title and extent

150

(1) This Act may be cited as the Broadcasting Act 1996.

(2) This Act, except paragraph 27 of Schedule 10, extends to Northern Ireland.

(3) Section 204(6) of the 1990 Act (power to extend to Isle of Man and Channel Islands) applies to the provisions of this Act amending that Act.

(4) Her Majesty may by Order in Council direct that any of the other provisions of this Act shall extend to the Isle of Man or any of the Channel Islands with such modifications, if any, as appear to Her Majesty to be appropriate.

SCHEDULE 1

Part I — Multiplex revenue for purposes of Part I of this Act

Computation of multiplex revenue

1

(1) It shall be the duty of OFCOM to draw up, and from time to time review, a statement setting out the principles to be followed in ascertaining—

(a) the multiplex revenue in relation to a licence holder for the purposes of section 14 for any accounting period, and

(b) the share of multiplex revenue attributable to a person in relation to any multiplex service for the purposes of any provision of Part I of this Act—

(i) for any accounting period of the holder of the multiplex licence, or

(ii) for any year.

(2) A statement under this paragraph may set out different principles for persons holding different kinds of licences.

(3) Before drawing up or revising a statement under this paragraph OFCOM shall consult the Secretary of State and the Treasury.

(4) OFCOM shall—

(a) publish the statement drawn up under this paragraph and every revision of that statement; and

(b) transmit a copy of that statement, and every revision of it, to the Secretary of State;

and the Secretary of State shall lay copies of the statement and of every such revision before each House of Parliament.

Disputes

2

(1) For the purposes of any provision of Part I of this Act—

(a) the amount of the multiplex revenue in relation to any holder of a multiplex licence for any accounting period of his, or (as the case may be) for any year, or

(b) the amount of any payment to be made to OFCOM by any person in respect of any such revenue, or of an instalment of any such payment,

shall, in the event of a disagreement between OFCOM and that person, be the amount determined by OFCOM .

(2) For the purposes of any provision of Part I of this Act the share of multiplex revenue attributable to any person in relation to a multiplex service for any accounting period or (as the case may be) for any year shall, in the event of a disagreement between OFCOM and that person, be the amount determined by OFCOM .

(3) No determination of OFCOM under this paragraph shall be called in question in any court of law, or be the subject of any arbitration; but nothing in this sub-paragraph shall prevent the bringing of proceedings for judicial review.

Part II — Multiplex revenue for purposes of Part II of this Act

Computation of multiplex revenue

3

(1) It shall be the duty of OFCOM to draw up, and from time to time review, a statement setting out the principles to be followed in ascertaining—

(a) the multiplex revenue in relation to a licence holder for the purposes of section 56 for any accounting period, and

(b) the share of multiplex revenue attributable to a person in relation to any national radio multiplex service for the purposes of any provision of Part II of this Act—

(i) for any accounting period of the holder of the national radio multiplex licence, or

(ii) for any year.

(2) A statement under this paragraph may set out different principles for persons holding different kinds of licences.

(3) Before drawing up or revising a statement under this paragraph OFCOM shall consult the Secretary of State and the Treasury.

(4) OFCOM shall—

(a) publish the statement drawn up under this paragraph and every revision of that statement; and

(b) transmit a copy of that statement, and every revision of it, to the Secretary of State;

and the Secretary of State shall lay copies of the statement and of every such revision before each House of Parliament.

Disputes

4

(1) For the purposes of any provision of Part II of this Act—

(a) the amount of the multiplex revenue in relation to any holder of a national radio multiplex licence for any accounting period of his, or (as the case may be) for any year, or

(b) the amount of any payment to be made to OFCOM by any person in respect of any such revenue, or of an instalment of any such payment,

shall, in the event of a disagreement between OFCOM and that person, be the amount determined by OFCOM .

(2) For the purposes of any provision of Part II of this Act the share of multiplex revenue attributable to any person in relation to any national radio multiplex service for any accounting period or (as the case may be) for any year shall, in the event of a disagreement between OFCOM and that person, be the amount determined by OFCOM .

(3) No determination of OFCOM under this paragraph shall be called in question in any court of law, or be the subject of any arbitration; but nothing in this sub-paragraph shall prevent the bringing of proceedings for judicial review.

SCHEDULE 2

Part I — Amendments of Part I of Schedule 2

1

(1) In Part I of Schedule 2, paragraph 1 (which contains interpretative provisions) is amended as follows.

(2) In sub-paragraph (1)—

(a) before the definition of “advertising agency” there is inserted—

“the 1996 Act” means the Broadcasting Act 1996;

(b) for paragraph (a) of the definition of “associate” there is substituted—

in relation to a body corporate, shall be construed in accordance with paragraph (1A), and

(c) in paragraph (b) of the definition of “control” for “by virtue of the rules regulating that or any other body” there is substituted “ by whatever means and whether directly or indirectly ”,

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(f) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) After sub-paragraph (1) there is inserted—

(1A) For the purpose of determining the persons who are the associates of a body corporate for the purposes of this Schedule— (a) an individual shall be regarded as an associate of a body corporate if he is a director of that body corporate, and (b) a body corporate and another body corporate shall be regarded as associates of each other if one controls the other or if the same person controls both.

(4) For sub-paragraph (3) there is substituted—

(3) For the purposes of this Schedule a person controls a body corporate if— (a) he holds, or is beneficially entitled to, more than 50 per cent. of the equity share capital in the body, or possesses more than 50 per cent. of the voting power in it, or (b) although he does not have such an interest in the body, it is reasonable, having regard to all the circumstances, to expect that he will be able, by whatever means and whether directly or indirectly, to achieve the result that the affairs of the body are conducted in accordance with his wishes; or (c) he holds, or is beneficially entitled to, 50 per cent. of the equity share capital in that body, or possesses 50 per cent. of the voting power in it, and an arrangement exists between him and any other participant in the body as to the manner in which any voting power in the body possessed by either of them is to be exercised, or as to the omission by either of them to exercise such voting power. (3A) For the purposes of sub-paragraph (3)(c)— (a) “arrangement” includes any agreement or arrangement, whether or not it is, or is intended to be, legally enforceable, and (b) a person shall be treated— (i) as holding, or being beneficially entitled to, any equity share capital which is held by a body corporate which he controls or to which such a body corporate is beneficially entitled, and (ii) as possessing any voting power possessed by such a body corporate.

(5) Sub-paragraph (4) is omitted.

(6) For sub-paragraph (6) there is substituted—

(6) In this Schedule any reference to a participant with more than a 20 per cent. interest in a body corporate is a reference to a person who— (a) holds or is beneficially entitled to more than 20 per cent. of the shares in that body, or (b) possesses more than 20 per cent. of the voting power in that body. (7) Sub-paragraph (6) shall have effect subject to the necessary modifications in relation to other references in this Schedule— (a) to an interest of more than a specified percentage in a body corporate, or (b) to an interest of a specified percentage or more in a body corporate. (8) Any reference in this Schedule to a person who is over a particular age is a reference to a person who has attained that age.

2

(1) Paragraph 2 of Part I of Schedule 2 is amended as follows.

(2) At the beginning of sub-paragraph (1) there is inserted “ Subject to sub-paragraph (1A) ”.

(3) After sub-paragraph (1) there is inserted—

(1A) For the purposes of this Schedule, a person’s holding of shares, or possession of voting power, in a body corporate shall be disregarded if, or to the extent that— (a) he holds the shares concerned— (i) as a nominee, (ii) as a custodian (whether under a trust or by a contract), or (iii) under an arrangement pursuant to which he has issued, or is to issue, depositary receipts, as defined by section 220(1) of the Companies Act 1985, in respect of the shares concerned, and (b) he is not entitled to exercise or control the exercise of voting rights in respect of the shares concerned. (1B) For the purposes of sub-paragraph (1A)(b)— (a) a person is not entitled to exercise or control the exercise of voting rights in respect of shares if he is bound (whether by contract or otherwise) not to exercise the voting rights, or not to exercise them otherwise than in accordance with the instructions of another, and (b) voting rights which a person is entitled to exercise or of which he is entitled to control the exercise only in certain circumstances shall be taken into account only when those circumstances have arisen and for as long as they continue to obtain.

3

For paragraph 3 of Part I of Schedule 2 there is substituted—

(3) For the purposes of this Schedule the following persons shall be treated as connected with a particular person— (a) a person who controls that person, (b) an associate of that person or of a person falling within paragraph (a), and (c) a body which is controlled by that person or by an associate of that person.

4

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part II — Amendments of Part II of Schedule 2

6

(1) In Part II of Schedule 2, paragraph 1 (general disqualification of non-EEA nationals and bodies having political connections) is amended as follows.

(2) In sub-paragraph (1), after paragraph (h) there is inserted—

(hh) a body corporate which is controlled by a body corporate falling within paragraph (h);

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7

In paragraph 3 of Part II of Schedule 2 (disqualification of publicly-funded bodies for radio service licences), in sub-paragraph (1)(a) for “(other than a local authority)” there is substituted “ (other than a local authority, the Welsh Authority or the BBC) ”.

8

In paragraph 5 of Part II of Schedule 2 (general disqualification of broadcasting bodies), paragraphs (c) and (d) are omitted.

9

After paragraph 5 of Part II of Schedule 2 there is inserted—

(5A) (1) A BBC company, a Channel 4 company or an S4C company is a disqualified person in relation to— (a) any licence granted by the Commission to provide regional or national Channel 3 services or Channel 5, and (b) any licence granted by the Commission to provide a local delivery service. (2) A BBC company is also a disqualified person in relation to any licence granted by the Authority to provide a national, local or restricted service within the meaning of Part III of this Act. (3) The Secretary of State may by order provide that sub-paragraph (1)(b) shall not have effect in relation to any local delivery service of a description specified in the order.

Part III — Provisions substituted for Part III of Schedule 2

10

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part IV — Provisions substituted for Part IV of Schedule 2

11

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part V — Amendments of other provisions of 1990 Act

12

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