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(Alliance News) - The UK Office of Communications on Tuesday called for an overhaul of broadcasting laws and regulation, warning that traditional UK broadcasting is not likely to survive in the online world without it.
The regulator warned that: "Audiences are increasingly turning away from the traditional PSB channels - the BBC, ITV, STV, Channel 4, S4C and Channel 5 - in favour of global streaming and online services offering vast libraries and personalised content."
The BBC and Channel 4 are publicly owned, while STV is owned by media firm STV Group PLC, Channel 5 by ViacomCBS Inc, and ITV by ITV PLC.
Traditional broadcasting companies like these are facing enormous competition from streaming giants like Netflix Inc, Walt Disney Co's Disney+, and HBO Max, part of AT&T Inc-owned WarnerMedia.
"Last year, only 38% of 16-34s' viewing (and 67% among all adults) was to traditional broadcast content. Two in five viewers of streaming services say they can imagine watching no broadcast TV at all in five years' time," Ofcom noted.
Ofcom declared that: "Laws and regulation must be overhauled. The rules and laws around public service broadcasting largely date from when the internet was still in its infancy - and they remain focused on traditional broadcasting. Without radical changes to support PSBs' shift from traditional broadcasting to online, the challenges facing them may become acute."
It called for a new framework establishing clear goals for public service broadcasters and more choice on how to achieve these. Ofcom would hold companies responsible for meeting quotas to safeguard vital areas like news and companies would have to set out, measure, and report on their plans.
Ofcom also suggested that other companies might become public service media providers, as "new providers could help deliver public-service media in future."
"New providers could offer different skills, expertise and online experience - leading to wider benefits to audiences and the economy. They could be granted prominence and availability benefits that are currently only enjoyed by today's PSBs, and also be incentivised by tax relief and contestable funding," said Ofcom.
Ofcom is consulting on questions about its proposals until March 16, 2021. It will undertake additional work on the scope and terms of rule governing public service content and will separately review the UK production sector to see if existing terms are still effective before making recommendation to the government later in 2021.
Ofcom Chief Executive Melanie Dawes said: "Our traditional broadcasters are among the finest in the world. But television has witnessed a blizzard of change and innovation, with audiences turning to online services with bigger budgets.
"For everything we've gained, we risk losing the kind of outstanding UK content that people really value. So there's an urgent need to reform the rules, and build a stronger system of public-service media that can flourish in the digital age.
"That could mean big changes, such as a wider range of firms tasked with providing high-quality shows made for, in and about the UK."
By Anna Farley; annafarley@alliancenews.com
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