Media Ownership: In the Public Interest? The Broadcasting Act 1996
| Author | Hazel Fleming |
| Published date | 01 May 1997 |
| DOI | http://doi.org/10.1111/1468-2230.00086 |
| Date | 01 May 1997 |
LEGISLATION
Media Ownership: In the Public Interest?
Hazel Fleming*
The Broadcasting Act 1996 received Royal Assent on 24 July 1996. One of its aims
is to amend the previous rules contained in the Broadcasting Act 1990 regarding
the control of broadcasting and other media enterprises. The 1996 Act in effect
eases the previous restrictions on media ownership, the government’s view being
that while specific limits were necessary, over-regulation would result both in a
less efficient service to the consumer in the United Kingdom and hinder domestic
enterprises from competing in overseas markets:
Our starting point has been the interests of viewers and listeners. Change needs to be focused
and embraced but — in a democracy — no one organisation should be able to dominate all
our media. Through the Act we have succeeded in achieving a balance between proper
commercial demands and the wider public interest which requires plurality, diversity of
opinion and the highest possible standards.
1
The new media ownership provisions raise various questions as to what extent, and
by what means, the ownership of broadcasting in the United Kingdom should be
regulated. In a democratic society it is irrefutable that plurality of ownership of
broadcast services within a freely competitive market is desirable; it is also
accepted that a regulatory framework must exist in order to combat any distortion
of market forces which might arise (for example, by concentrated ownership or
excessive cross-media ownership). The United Kingdom legislation contained in
the 1996 Act provides a framework for ownership restrictions based on market
shares beyond the normal extent of competition law. This note considers firstly the
rationale for regulation of media ownership, before detailing the relevant
provisions of the Broadcasting Act 1996 and analysing certain specific aspects
of the legislation.
Why regulate media ownership?
Why is it necessary to impose additional regulations on the media beyond the
provisions of the existing competition legislation? The purpose of the government’s
legislation regulating media ownership has been stated by Virginia Bottomley, the
National Heritage Secretary, thus: ‘The media plays a central role in the cultural and
democratic life of the country. That’s why I believe we should maintain specific
The Modern Law Review Limited 1997 (MLR 60:3, May). Published by Blackwell Publishers,
108 Cowley Road, Oxford OX4 1JF and 350 Main Street, Malden, MA 02148, USA.378
*University of Stirling.
1 Virginia Bottomley, National Heritage Secretary, Department of National Heritage Press Release
DNH 219/96, 25 July 1996.
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