Media Act 2024

• (6) In section 271A (remedying failure by C4C to perform media content duties)—

• (a) in subsection (1)(a), after “198A” insert “or 198AA”;

• (b) in subsection (2), after “198A” insert “or 198AA”.

Involvement of C4C in programme-making

31

• (1) In the Communications Act 2003, omit section 295 (which restricts C4C’s involvement in programme-making).

• (2) Subsections (3) and (4) apply if, after the coming into force of subsection (1), C4C or a body corporate controlled by C4C engage in the making of one or more programmes with a view to their being broadcast on Channel 4.

• (3) In carrying out a review under section 264 of the Communications Act 2003 in relation to the relevant report period, OFCOM must consider whether and to what extent the making of programmes by C4C or a body corporate controlled by C4C with a view to their being broadcast on Channel 4 has affected the fulfilment of the public service remit for television in the United Kingdom.

• (4) The report on that review must set out the findings of OFCOM on their consideration of the matter mentioned in subsection (3) and any conclusions that they have arrived at in relation to those findings.

• (5) For the purposes of this section—

• (a) the relevant report period is the first report period to end on or after the relevant day, and

• (b) the relevant day is the third anniversary of the first day on which, following the coming into force of subsection (1), C4C or a body corporate controlled by C4C engages in the making of a programme with a view to its being broadcast on Channel 4.

• (6) In this section—

• “broadcast” has the same meaning as in the Communications Act 2003;

• “C4C” means the Channel Four Television Corporation;

• “Channel 4” has the same meaning as in Part 1 of the Broadcasting Act 1990;

• “controlled” has the same meaning as in Part 1 of the Broadcasting Act 1990;

• “OFCOM” means the Office of Communications;

• “programme” means a television programme (within the meaning of the Communications Act 2003) other than an advertisement;

• “the public service remit for television in the United Kingdom” has the meaning given by section 264 of the Communications Act 2003;

• “report period” means a period selected by OFCOM for the purposes of section 264(1)(b) of the Communications Act 2003.

Chapter 2 — S4C

S4C’s powers and public service remit

32

• (1) The Communications Act 2003 is amended in accordance with subsections (2) and (3).

• (2) For sections 204 to 206 (S4C’s functions and main powers), substitute—

(204A) (1) S4C may make available any audiovisual content. (2) S4C’s public service remit is to make available a broad range of high quality and diverse audiovisual content— (a) a substantial proportion of which is in Welsh, (b) which is all capable of being taken into account for the purpose of determining the extent to which the public service remit for television in the United Kingdom is fulfilled (see section 264(7) to (8C)), and (c) which, considered as a whole, constitutes an adequate contribution to the fulfilment of that remit. (3) S4C must exercise the power in subsection (1) to fulfil its public service remit. (4) S4C may do anything it considers appropriate in association with anything it does in exercise of the power in subsection (1). (5) In this section “audiovisual content” has the same meaning as in section 264. (6) Subsection (13) of section 264 (interpretation of “made available”) applies for the purposes of this section as it applies for the purposes of that section. (204B) (1) S4C must obtain the Secretary of State’s approval in writing before (whether under section 204A or otherwise)— (a) providing any television programme services; (b) doing anything for a charge or with a view to making a profit. (2) S4C must ensure that an S4C company obtains the Secretary of State’s approval in writing before the company does anything for a charge or with a view to making a profit. (3) An approval under this section may be— (a) a general approval in relation to a description of activities, or (b) a specific approval in relation to particular activities. (4) For the purposes of this section, the carrying on of the following activities is treated as approved by the Secretary of State (so far as approval under this section would otherwise be required)— (a) the provision of S4C Digital, (b) each activity whose carrying on is approved under section 205 or 206 of this Act (S4C’s other activities) immediately before this section comes into force, and (c) each activity which is being carried on by S4C or an S4C company immediately before this section comes into force. (5) S4C may not provide a service that would fall to be regulated under section 245 (independent radio services) if provided by an S4C company. (204C) (1) The Secretary of State must publish any approval under section 204B, subject to subsection (2). (2) The Secretary of State must exclude from publication any matters which appear to the Secretary of State to be matters whose publication would or might seriously and prejudicially affect the interests of any person. (3) This section does not apply in relation to activities treated under section 204B(4) as approved under that section.

• (3) In section 207 (S4C: charging and borrowing etc), omit subsections (1) and (2).

• (4) In Schedule 6 to the Broadcasting Act 1990 (S4C: supplementary provisions), in paragraph 1, for sub-paragraph (3) substitute—

(3) In carrying out its functions S4C may carry on activities in any way whatever, including— (a) through or with other persons; (b) anywhere in the United Kingdom or elsewhere; (c) with a view to making a profit; (d) for a charge.

The S4C Board

33

• (1) The Broadcasting Act 1990 is amended in accordance with subsections (2) to (4).

• (2) In section 56 (Welsh Authority to continue in existence as S4C), for subsection (2) substitute—

(2) The members of the S4C Board (see section 56A and Schedule 6A) are to be the members of S4C, but membership of S4C does not enable any person to act otherwise than through the S4C Board.

• (3) After section 56 insert—

(56A) (1) A Board of S4C is established. (2) That Board— (a) is to be known as the S4C Board or (in Welsh) Bwrdd S4C, and (b) is to be constituted in accordance with this Act. (3) Except where otherwise provided by or under any enactment, the duties and powers of S4C are to be discharged and exercised by the S4C Board on behalf of S4C. (4) Schedule 6A makes further provision about the S4C Board.

• (4) After Schedule 6 insert—

Schedule 6A (1) (1) The S4C Board is to consist of— (a) non-executive members, and (b) executive members. (2) The non-executive members are to be— (a) a chair, and (b) at least five, and not more than eight, other non-executive members. (3) It is for the Secretary of State— (a) to decide, in accordance with sub-paragraph (2)(b), the number of other non-executive members; (b) to appoint the non-executive members. (4) The executive members are to be— (a) the employee of S4C holding the position of, or acting as, Chief Executive of S4C, and (b) at least one and not more than two other employees of S4C. (5) It is for the non-executive members, in accordance with sub-paragraph (4)(b)— (a) to decide the number of other executive members; (b) to appoint the other executive members. (6) A person making an appointment under this paragraph must do so with a view to ensuring that, collectively, the members of the S4C Board have the range of skills and experience needed for the effective running of S4C. (2) (1) The members of the S4C Board must not at any time include a person who is a member or an employee of the BBC. (2) The members of the S4C Board must not at any time include a person who is a member or an employee of OFCOM. (3) The Secretary of State must— (a) before appointing a person to be a non-executive member of the S4C Board, be satisfied that the person will not have any financial or other interest likely to affect prejudicially the discharge of that person’s duties as a member of the S4C Board, and (b) from time to time consider, in respect of each non-executive member of the S4C Board, whether that member has any such interest. (3) (1) A member of the S4C Board holds and vacates office in accordance with the terms of the member’s appointment, subject to the provisions of this Schedule. (2) A non-executive member must be appointed for a fixed term of not more than five years. (3) A person who has held office as a non-executive member for two consecutive terms may not be re-appointed as a non-executive member until the end of the five years beginning with the end of the second of those terms. (4) A non-executive member ceases to be a member of the S4C Board if the member— (a) becomes an employee of S4C, or (b) resigns from office by giving written notice to the Secretary of State. (5) An executive member under paragraph 1(4)(a) ceases to be a member of the S4C Board on ceasing to be the Chief Executive of S4C. (6) Any other executive member ceases to be a member of the S4C Board if the member— (a) ceases to be an employee of S4C, or (b) resigns from office by giving written notice to S4C. (4) (1) S4C may pay to each non-executive member of the S4C Board such remuneration and allowances as the Secretary of State may determine. (2) S4C may pay or make provision for paying to or in respect of any non-executive member of the S4C Board such sums by way of pensions, allowances or gratuities as the Secretary of State may determine. (3) S4C may pay compensation, of such amount as the Secretary of State may determine, to a person where— (a) the person ceases to be a non-executive member of the S4C Board otherwise than on the expiry of the person’s term of office, and (b) it appears to the Secretary of State that there are special circumstances which make it right for the person to receive compensation. (5) (1) The S4C Board may regulate its own procedure (including quorum), subject to the provisions of paragraphs 6 and 7. (2) The S4C Board may make arrangements providing for the discharge of any of the S4C Board’s functions by— (a) a committee, or (b) one or more persons each of whom is either a member of the S4C Board or an employee of S4C. (6) In managing the affairs of S4C the S4C Board must have regard to such generally accepted principles of good corporate governance as it is reasonable to regard as applicable to S4C. (7) (1) A member of the S4C Board who has an interest, whether directly or indirectly, in any matter that is brought up for consideration at a meeting of the S4C Board must disclose the nature of that interest to the meeting. (2) Where a disclosure is made under sub-paragraph (1)— (a) the disclosure must be recorded in the minutes of the meeting, and (b) subject to sub-paragraph (3), the member must not take part in any deliberation or decision of the S4C Board, or any of its committees, with respect to that matter. (3) Sub-paragraph (2)(b) does not apply in relation to a meeting of the S4C Board at which all the other members present resolve that the member’s interest is to be disregarded for the purposes of that provision. (4) For the purposes of sub-paragraph (1)— (a) a general notification given at a meeting of the S4C Board that the member is to be regarded as interested in any matter involving a specified organisation is to be regarded as a sufficient disclosure of the member’s interest in relation to any such matter, and (b) a member may make a disclosure under that sub-paragraph without attending a meeting of the S4C Board if the member takes reasonable steps to secure that the disclosure is made by a notice which is taken into consideration and read at a meeting. (5) References in this paragraph to a meeting of the S4C Board include references to a meeting of any of its committees. (8) The validity of any proceedings of S4C or the S4C Board is not affected by— (a) any vacancy among the members of the S4C Board, (b) any defect in the appointment of a member of the S4C Board, or (c) a failure to comply with the requirements of paragraph 7.

• (5) Any person who is the chair, or one of the other members, of S4C immediately before this section comes into force—

• (a) becomes the chair, or one of the other non-executive members, of the S4C Board on the coming into force of this section, and

• (b) holds that office—

• (i) for the remainder of the term of the person’s appointment as chair or other member of S4C (subject to paragraph 3(4) of Schedule 6A to the Broadcasting Act 1990, as inserted by subsection (4) of this section), and

• (ii) on and subject to the terms of that appointment.

Accounts and audit

34

• (1) Schedule 6 to the Broadcasting Act 1990 (S4C: supplementary provisions) is amended as follows.

• (2) For paragraph 12(2) and (3) (audit of S4C’s accounts by appointed auditor) substitute—

(2A) S4C must send a copy of its statement of accounts to the Comptroller and Auditor General as soon as possible after the end of the financial year to which the statement relates. (2B) The Comptroller and Auditor General must— (a) examine, certify and report on each statement of accounts of S4C, and (b) send a copy of the report and certified statement of accounts to the Secretary of State. (2C) The Secretary of State must lay before Parliament a copy of each such report and certified statement. (2D) As soon as possible after the Secretary of State lays copies of the report and statement of accounts before Parliament, S4C must arrange for the report and certified statement to be laid before Senedd Cymru. (2E) S4C must ensure that each S4C subsidiary undertaking appoints the Comptroller and Auditor General as auditor, unless the S4C subsidiary undertaking requests the Comptroller and Auditor General’s permission to appoint another person and the Comptroller and Auditor General permits the appointment of that person as auditor. (2F) The Comptroller and Auditor General may inspect the accounts of any S4C subsidiary undertaking (regardless of who is appointed as auditor).

• (3) After paragraph 12(4) insert—

(5) S4C must ensure that an S4C subsidiary undertaking, if told to do so by the Secretary of State or any person authorised by the Secretary of State, grants the Secretary of State or authorised person access to— (a) that undertaking’s accounts; (b) information and documents relating to that undertaking’s financial transactions and commitments. (6) In this paragraph “S4C subsidiary undertaking” means an undertaking which, for the purposes of the Companies Act 2006, is a subsidiary undertaking of S4C (see section 1162 of that Act).

• (4) Omit paragraph 13(2) (accounts and audit report to be attached to annual report).

Amendment of BBC’s obligation to provide Welsh programmes

35

• (1) Section 58 of the Broadcasting Act 1990 (sources of programmes for S4C) is amended as follows.

• (2) For subsections (1) and (1A) substitute—

(1) The BBC must provide to S4C (free of charge) sufficient television programmes in Welsh to occupy not less than ten hours’ transmission time per week, in a way that meets the reasonable requirements of S4C. (1A) The duty in subsection (1) does not apply during any period for which the BBC and S4C agree in writing to put in place alternative arrangements that contribute to S4C fulfilling its public service remit. (1B) If the BBC and S4C make an agreement under subsection (1A) the BBC must, as soon as reasonably practicable, publish the terms of the agreement. (1C) The BBC must exclude from publication any information which it or S4C considers— (a) constitutes a trade secret, or (b) would be likely, if published, to prejudice the commercial interests of any person, unless the BBC and S4C consider that there is an overriding public interest in publishing the information.

• (3) Omit subsections (2) to (4) (which relate to S4C’s switched-off analogue service).

• (4) In subsection (5)—

• (a) for “The Welsh Authority” substitute “S4C”;

• (b) for “on S4C” substitute “on S4C Digital”.

Chapter 2 of Part 3: minor and consequential amendments

36

Schedule 4 contains minor and consequential amendments relating to this Chapter.

Part 4 — On-demand programme services

Tier 1 services

37

• (1) Part 4A of the Communications Act 2003 (on-demand programme services) is amended as follows.

• (2) After the heading of Part 4A insert—

.

• (3) After section 368A insert—

(368AA) (1) For the purposes of this Act, a service (or a dissociable section of a service) is a “non-UK on-demand programme service” if— (a) it meets the conditions in paragraphs (a) to (d) of section 368A(1), (b) it does not meet one or both of the conditions in paragraphs (e) and (f) of section 368A(1), and (c) the members of the public for whose use it is made available are or include members of the public in the United Kingdom. (2) Section 368A(5) to (7) applies in relation to a non-UK on-demand programme service as it applies in relation to an on-demand programme service. (368AB) (1) This section provides an overview of this Part. (2) This Chapter (Chapter 1) gives the meaning of certain expressions used in this Part. (3) Chapter 2 contains provision for the regulation of on-demand programme services (as defined by section 368A). (4) Chapter 3— (a) sets out the rules that apply for determining when an on-demand programme service (as defined by section 368A) or a non-UK on-demand programme service (as defined by section 368AA) is a Tier 1 service, (b) makes provision for certain sections of Chapter 2 to apply in relation to a non-UK on-demand programme service that is a Tier 1 service in the same way that they apply in relation to an on-demand programme service, and (c) makes provision for the additional regulation of Tier 1 services (whether on-demand programme services or non-UK on-demand programme services). (5) Chapter 4 makes provision about the enforcement of certain provisions of Chapters 2 and 3. (6) Chapter 5 makes supplementary provision.

• (4) In section 368B (the appropriate regulatory authority)—

• (a) after subsection (A1) insert—

(A2) OFCOM is the appropriate regulatory authority for the purposes of sections 368HC, 368HJ and 368HK (and OFCOM may not designate any other body to be the appropriate regulatory authority for those purposes).

;

• (b) in subsection (1), after “subsections (A1)” insert “, (A2)”;

• (c) in subsection (5), in paragraph (a), after “on-demand programme services” insert “, or non-UK on-demand programme services that are Tier 1 services,”;

• (d) in subsection (9), in paragraph (d), after “on-demand programme services” insert “or non-UK on-demand programme services”.

• (5) After section 368B insert—

.

• (6) After section 368H, insert (as Chapter 3 of Part 4A) the Chapter set out in Schedule 5 (regulation of Tier 1 services).

• (7) Schedule 6 contains further amendments of Part 4A in connection with Tier 1 services (within the meaning of that Part).

• (8) Schedule 7 contains amendments of other legislation in connection with Tier 1 services (within the meaning of Part 4A of the Communications Act 2003).

Audience protection reviews

38

• (1) In Part 4A of the Communications Act 2003, after section 368OA insert—

(368OB) (1) As soon as practicable after this section comes into force, OFCOM must carry out a review of audience protection measures in use by providers of— (a) on-demand programme services, or (b) non-UK on-demand programme services that are Tier 1 services. (2) The scope of that review is to consider whether the audience protection measures are adequate for the purpose of assisting the providers to comply with the duties imposed on them by or under this Act for the protection of audiences from harm. (3) After the review under subsection (1), OFCOM may carry out further reviews for the same purpose at such times as appear appropriate to OFCOM. (4) “Audience protection measures” are measures that are capable of assisting in protecting audiences from harm, the following being examples— (a) age rating or other classification systems; (b) content warnings; (c) parental controls; (d) age assurance measures. (5) OFCOM may request any provider described in subsection (1) to provide OFCOM with information about its audience protection measures for the purposes of a review under subsection (1) or (3). (6) OFCOM may also request any provider described in subsection (1) to provide OFCOM with information about its audience protection measures where, in consequence of a review or anything else done in the exercise of their functions, they are concerned that the measures in use by that provider are or might be inadequate. (7) A request under subsection (5) or (6) must specify or describe the information to be provided and may also— (a) specify a period of time within which the information must be provided; (b) specify the form and manner in which the information must be provided. (8) A request under subsection (6) may specify that information is to be provided at intervals specified by OFCOM. (9) A provider described in subsection (1) must comply with a request under subsection (5) or (6). (10) OFCOM may publish any information provided to them under this section.

• (2) In section 393 of that Act (general restrictions on disclosure of information), in subsection (6), after paragraph (aa) insert—

(ab) limits the information that may be published by OFCOM under section 368OB;

.

S4C: on-demand programme services

39

• (1) The Communications Act 2003 is amended as follows.

• (2) Omit section 368Q (which makes provision about the application of Part 4A in relation to the Welsh Authority).

• (3) In section 341 (imposition of penalties on the Welsh Authority), omit subsection (1)(ja) and (jb).

• (4) In Schedule 12, in Part 2 (the Welsh Authority)—

• (a) in paragraph 15—

• (i) omit sub-paragraph (1)(a)(ii) to (vi) (but not the “and” following sub-paragraph (1)(a)(vi));

• (ii) in sub-paragraph (1)(b), omit “or on-demand programme services”;

• (iii) in sub-paragraph (2), omit “or on-demand programme services”;

• (iv) in sub-paragraph (5), omit “or on-demand programme services”;

• (b) omit paragraph 23A.

Other amendments of Part 4A of the 2003 Act

40

• (1) Schedule 8 contains other minor amendments of Part 4A of the Communications Act 2003.

• (2) In consequence of amendments made by Schedule 8, omit section 93 of the Digital Economy Act 2017.

Part 5 — Regulation of radio services

Licensing of analogue radio services

41

• (1) The Broadcasting Act 1990 is amended as follows.

• (2) In section 85 (licensing of independent radio)—

• (a) in subsection (1), omit “Subject to subsection (2),”;

• (b) omit subsections (2) and (5) to (7).

• (3) In section 97B (variation of licence periods related to digital switchover), after subsection (4) insert—

(5) If the period for which the licence to provide the post-commencement service is to continue in force ends before the date for digital switchover, OFCOM may by notice vary the licence so that the period ends— (a) on that date, or (b) before that date (and after the date when it would have otherwise ended), if the licence holder consents to the variation.

• (4) In section 98 (applications for national licences)—

• (a) in subsection (1)(b)—

• (i) at the end of sub-paragraph (ii), insert “and”;

• (ii) omit sub-paragraphs (iii) and (iv);

• (b) omit subsection (3)(a);

• (c) in subsection (4), omit “(a),”;

• (d) in subsection (6)(b), for “(3)(a) and (aa)” substitute “(3)(aa)”.

• (5) In section 99 (procedure in connection with applications for national licences)—

• (a) omit subsection (1)(a);

• (b) in subsection (1)(b), for “that service” substitute “the proposed service”;

• (c) in subsection (2), for “(1)(a) and (b)” substitute “(1)”.

• (6) In section 100 (award of national licences to cash bidders)—

• (a) omit subsection (9)(b);

• (b) omit subsection (10)(a).

• (7) In section 103 (restrictions relating to changes of control)—

• (a) omit subsection (3);

• (b) for subsection (4) substitute—

(4) OFCOM may refuse to approve a change described in subsection (1)(a) if they consider it appropriate to do so.

• (8) In section 103A (renewal of national licences), in subsection (9)—

• (a) after paragraph (b) insert “and”;

• (b) omit paragraph (d) and the “and” before it.

• (9) In section 111 (power to revoke licences)—

• (a) omit subsection (4) (procedure where national service ceases to be provided);

• (b) in subsection (6), omit “, (4)”.

• (10) In section 117 (procedure in connection with applications), in subsection (4)(b), for the words from “with the substitution” to the end substitute “as if the matters specified in that subsection included the name of every other applicant in whose case it appeared to OFCOM that the requirement specified in subsection (1)(a) above was satisfied.”

Licensing and local services

42

• (1) The Broadcasting Act 1990 is amended as follows.

• (2) For section 104 (applications for other licences) substitute—

(104) (1) An application for a licence to provide a local service must— (a) be made in such manner as OFCOM may determine, and (b) be accompanied by such fee (if any) as OFCOM may determine. (2) An application for a licence to provide a restricted service must— (a) be made in such manner as OFCOM may determine, and (b) be accompanied by such fee (if any) as OFCOM may determine.

• (3) In section 104AA (further renewal of local licences)—

• (a) in subsection (3), for “subsections (4), (4A) and (5)” substitute “subsections (4) to (5)”;

• (b) after subsection (4) insert—

(4ZA) Where the application for the renewal of the licence under this section has been duly made to OFCOM (as mentioned in section 104A(5)), OFCOM must grant the application if— (a) the condition in section 104A(5)(a) is met, (b) the conditions in section 104A(5)(b) and (c) are not met because the applicant does not make the nomination required by section 104A(4), and (c) the alternative condition in subsection (4ZB) below is met instead. (4ZB) The alternative condition is met if— (a) in the application for the renewal, or at any time before the consideration of that application, the applicant makes to OFCOM— (i) a statement of explanation — which is a statement that it has not been possible for the applicant to make the nomination required by section 104A(4) because of the lack of availability of a relevant local radio multiplex service, or of a relevant small-scale radio multiplex service, that is suitable for the applicant’s needs and could be nominated in accordance with section 104A(4)(b); and (ii) a statement of intent — which is a statement that the applicant will make to OFCOM a nomination of the kind required by section 104A(4) as soon as it is reasonably possible to do so because of the availability of a relevant local radio multiplex service, or of a relevant small-scale radio multiplex service, that is suitable for the applicant’s needs and meets the requirements of section 104A(4); and (b) OFCOM are satisfied that it has not been possible for the applicant to make the nomination required by section 104A(4) for a reason of the kind set out in paragraph (a)(i). (4ZC) Where OFCOM grant the application in accordance with subsection (4ZA) they must include in the licence as renewed— (a) a condition requiring the licence holder to do all that it can to ensure that it makes the nomination described in the statement of intent as soon as it is reasonably possible to do so, and (b) a condition requiring the licence holder to do all that it can to ensure that it starts broadcasting the nominated digital sound programme service, by means of the nominated multiplex service, as soon as reasonably possible after it has made that nomination.

• (4) Omit sections 104B (special application procedure for local licences) and 105 (special requirements relating to grant of local licences).

Character of local services

43

• (1) The Broadcasting Act 1990 is amended in accordance with subsections (2) and (3).

• (2) In section 106 (requirements as to character and coverage of national and local services)—

• (a) in subsection (1), omit “or local”;

• (b) in subsection (1A), omit paragraphs (b) to (e);

• (c) omit subsection (1B);

• (d) omit subsection (7).

• (3) Omit section 106ZA (consultation about change of character of local services).

• (4) In the Communications Act 2003, omit sections 355 and 356 (variation of local licence following change of control).

Local news and information

44

• (1) The Communications Act 2003 is amended in accordance with this section.

• (2) Section 314 (local content and character of local sound broadcasting services) is amended in accordance with subsections (3) to (8).

• (3) For the heading substitute “Local news and information in local sound broadcasting services”.

• (4) For subsection (1) substitute—

(1) A local sound broadcasting licence must contain such conditions as OFCOM consider appropriate for— (a) requiring the licensed local sound broadcasting service to include, and regularly broadcast, programmes that consist of or include local news and information, and (b) requiring that local news to consist of or include locally-gathered news.

• (5) For subsection (1A) substitute—

(1A) But subsection (1) does not apply in the case of a local sound broadcasting service if OFCOM consider it is appropriate for it not to apply in that case.

• (6) In subsection (2)—

• (a) in paragraph (a), for “the requirements of subsection (1)(a) and (b) should be satisfied” substitute “the providers of local sound broadcasting services may act consistently with conditions contained in licences in accordance with subsection (1)”;

• (b) in paragraph (b), for “in relation to local sound broadcasting services” substitute “under subsection (1)”.

• (7) In subsection (7)—

• (a) omit the definition of “approved area”;

• (b) in the definition of “local material”—

• (i) for ““local material”” substitute ““local news and information””;

• (ii) for “means material” substitute “means news and information”;

• (c) for the definition of “locally-made” substitute—

• “locally-gathered”, in relation to news broadcast on a local sound broadcasting service, means— news gathered in the coverage area of a local radio multiplex service that to a significant extent includes the coverage area of the local sound broadcasting service by persons who gather news in the course of an employment or business, or if there is no local radio multiplex service with such a coverage area, news gathered in the area or locality for which the local sound broadcasting service is provided by persons who gather news in the course of an employment or business; and for this purpose the coverage area for a local radio multiplex service or local sound broadcasting service is the area determined by OFCOM to be the area in the United Kingdom within which the service is capable of being received at a level satisfying such technical standards as may have been laid down by them for the purposes of this section;

;

• (d) omit the definition of “material”.

• (8) Omit subsections (9) to (11).

• (9) After section 315 insert—

(315A) (1) The Secretary of State may, by regulations, make provision for enabling OFCOM to ensure that, for each licensed local radio multiplex service, at least one of the licensed local digital sound programme services broadcast by means of that multiplex service consists of, or includes, local news and information or locally-gathered news and information. (2) The provision that may be made by regulations under this section includes provision about the conditions that OFCOM may, or must, include in a licence that authorises the provision of— (a) a local digital sound programme service, or (b) a local radio multiplex service. (3) The Secretary of State must consult OFCOM before making regulations under this section. (4) The power in section 402(3)(c) for regulations under this section to make consequential provision includes power to make provision which amends any enactment. (5) In this section— - “licensed” local radio multiplex service or local digital sound programme service means such a service which is provided in accordance with a licence issued by OFCOM; - “local news and information”, in relation to a local radio multiplex service or a local digital sound programme service provided through such a multiplex service, means news and information which is of particular interest— to persons living or working within the area or locality for which the multiplex service is provided; to persons living or working within a part of that area or locality; or to particular communities living or working within that area or locality or a part of it; - “locally-gathered news”, in relation to a local radio multiplex service or a local digital sound programme service provided through such a multiplex service, means news that has been gathered in the area or locality for which the multiplex service is provided, by persons who gather news in the course of an employment or business.

• (10) In section 402 (orders and regulations made by the Secretary of State), in subsection (2A), before paragraph (za) (and after paragraph (zza) inserted by section 46) insert—

(zzb) regulations under section 315A which amend any Act of Parliament;

.

Financial assistance for radio

45

After section 359 of the Communications Act 2003 insert—

(359A) (1) The Secretary of State may give financial assistance for or in connection with— (a) the provision of eligible services; (b) the production of sound programmes (whether intended for broadcast or distribution by any other means). (2) The financial assistance may be given— (a) by way of grant, loan or guarantee or in any other form, and (b) subject to such conditions as the Secretary of State considers appropriate. (3) The conditions may (among other things) include provision under which the financial assistance is to be repaid or otherwise made good (with or without interest). (4) The eligible services for the purposes of subsection (1)(a) are— (a) services of a description in relation to which provision is for the time being in force under section 262 (community radio); (b) local sound broadcasting services; (c) local digital sound programme services.

Licensing of non-UK digital sound programme services

46

• (1) Section 245 of the Communications Act 2003 (regulation of independent radio services) is amended in accordance with subsections (2) and (3).

• (2) In subsection (1), after paragraph (b) insert—

(c) digital sound programme services that do not fall within paragraph (a) or (b) but— (i) are provided from a place in a qualifying country, and (ii) are or are intended to be broadcast by means of a local radio multiplex service or small-scale radio multiplex service.

• (3) After subsection (3) insert—

(3A) The Secretary of State may, by regulations, amend or otherwise modify Schedule 2 to the Broadcasting Act 1990 (restrictions on the holding of licences) in its application to digital sound programme services that fall within subsection (1)(c). (3B) The regulations may in particular— (a) disapply or modify existing restrictions; (b) provide for new restrictions to apply. (3C) In subsection (1)(c)— - “qualifying country” means a country or territory outside the United Kingdom that is specified in regulations made by the Secretary of State for the purposes of subsection (1)(c); - “small-scale radio multiplex service” has the same meaning as in section 258A.

• (4) In section 402 of the Communications Act 2003 (power of Secretary of State to make orders and regulations), in subsection (2A) (affirmative resolution procedure), before paragraph (za) insert—

(zza) regulations under section 245(3C) (specification of country or territory as a “qualifying country”);

.

Radio multiplex licences

47

• (1) The Broadcasting Act 1996 is amended as follows.

• (2) In section 46 (national radio multiplex licences)—

• (a) in subsection (3)(a), omit “and (f)”;

• (b) in subsection (4), omit paragraphs (c) to (f);

• (c) omit subsection (5);

• (d) in subsection (8)(a)—

• (i) at the end of sub-paragraph (i) insert “and”;

• (ii) omit sub-paragraph (ii).

• (3) In section 47 (award of national radio multiplex licences)—

• (a) in subsection (2)—

• (i) in paragraph (b), for “timetables” substitute “timetable”;

• (ii) also in paragraph (b), omit “and (d)”;

• (iii) at the end of paragraph (c) insert “and”;

• (iv) omit paragraphs (d) and (e);

• (b) omit subsection (3).

• (4) In section 50 (local radio multiplex licences)—

• (a) in subsection (4), omit paragraphs (c) to (e);

• (b) in subsection (7)(a)—

• (i) at the end of sub-paragraph (i) insert “and”;

• (ii) omit sub-paragraph (ii).

• (5) In section 51(2) (award of local radio multiplex licences)—

• (a) in paragraph (b)—

• (i) for “timetables” substitute “timetable”;

• (ii) omit “and (d)”;

• (b) omit paragraphs (d) and (e);

• (c) in paragraph (f), for “living in that area or locality,” substitute “providing or proposing to provide community or local digital sound programme services in the area or locality for which the proposed service is to be provided,”.

• (6) In section 54 (conditions of radio multiplex licences)—

• (a) in subsection (1)—

• (i) omit paragraph (b);

• (ii) omit the “and” at the end of paragraph (g);

• (iii) after paragraph (h) insert—

(i) that the holder of the licence publishes information, in such manner as OFCOM consider appropriate, as to the payments to be made by the holders of community, local and national digital sound programme licences for the broadcasting of their services under the licence, and (j) that the holder of the licence provides to OFCOM information, in such manner as OFCOM consider appropriate, on the community, local and national digital sound programme services provided for broadcasting by means of the service.

;

• (b) in subsection (5)—

• (i) omit “or (b)”;

• (ii) for “section 42(3)(b)” substitute “section 42(3)”;

• (c) omit subsections (6) to (6B).

• (7) In section 54A(6) (variation of radio multiplex licences), for the words from “doing so” to the end substitute “the coverage area of the licensed service would not (as a result of the variation) be unacceptably reduced.”

• (8) In section 58 (duration and renewal of radio multiplex licences)—

• (a) omit subsection (4)(a)(ii);

• (b) in subsection (11), omit “and supplementary proposals”.

• (9) In consequence of the amendment made by subsection (6)(c), omit section 315 of the Communications Act 2003.

Part 6 — Regulation of radio selection services

Regulation of radio selection services

48

• (1) After section 362AZ12 of the Communications Act 2003 (inserted by section 28) insert—