Ofcom set to relax local radio content and ownership rules

by Sarah Crawley-Boevey, Media Week 21-Nov-06

Ownership and content rules in local radio are likely to be relaxed, according to a discussion document published by Ofcom as part of its "Future of Radio" consultation.

The regulator seems ready to address complaints by radio companies that
the amount of local content they are required to produce, and
restrictions on simulcasting a service to more than one licence area or

co-locating studios, makes operating small stations uneconomic.

Ofcom's document suggests: "There is a question as to whether current
formats require too much local material to be provided. Perhaps Ofcom
should simply require a minimum amount of local material from each
station to secure public policy goals and let the market decide on
provision over and above this minimum."

Ofcom has indicated it is also considering relaxing radio ownership
rules. Currently, owners may not gain a monopoly of coverage in local
areas, ensuring audiences can access a broad range of news output.

News of possible format change was welcomed by William Rogers, chief
executive of UKRD, which handed back its Stroud licence this year,
claiming restrictions made the station "uneconomic".

"I have to say this discussion document is not only a welcome
development, but indicates a genuine and positive approach on the part
of Ofcom to try and address some of the serious problems we face as an
industry," he said.

Responses to the document must be with Ofcom by 14 December.