Channel 4: Privatisation

Andrew Mitchell Excerpts

Wednesday 21st July 2021 Westminster Hall

[Dame Angela Eagle (Wallasey) (Lab)]

I beg to move,

That this House has considered privatisation of Channel 4.

I am very relieved to serve under your chairmanship, Mr Deputy Speaker, and thankful to have secured this timely debate on the future of Channel 4.

Ministers have made it clear, for the sixth time, that they want to privatise Channel 4. They have issued what they ludicrously describe as a consultation document, in which they reveal that their preference is wholesale, 100% privatisation of Channel 4. They have also decreed that the exercise will close on 14 September, which leaves little parliamentary time to resist this act of wanton cultural vandalism and leaves the public only the summer holiday period in which to notice the existential threat that the Government’s actions pose to one of the most successful experiments in UK broadcasting history.

Channel 4 was established in 1982 with an unusual structure and remit. It is Government owned but wholly commercially funded, which means that it costs the taxpayer nothing. More important, Channel 4 has no shareholders and is free to reinvest all the surplus it can generate back into content production. That enables it to develop adventurous and experimental programming that would never find more conventional commercial backing and would therefore never see the light of day if Channel 4 did not exist in its current form.

Over the years, Channel 4 has developed such programming with some panache, and as a consequence the UK has a thriving cultural pool of TV and film production talent and punches well above its weight in the soft-power stakes of cultural influence on the global stage. Channel 4 has also nurtured a younger audience, which makes it especially attractive to advertisers and to those who wish to sponsor content.

Channel 4’s public service broadcasting remit obliges it, among other things, to be innovative, inspire change, nurture talent and offer a platform for alternative, culturally diverse voices. In the 39 years since its creation, Channel 4 has fulfilled its remit—and more. It has become a pint-sized film powerhouse with 37 Oscars and 84 BAFTAs. Film4, its production arm, has co-financed successes such as “The Favourite”, “Slumdog Millionaire” and “12 Years a Slave”, to name but a few. Its successful TV output this year alone includes the AIDS drama “It’s a Sin”; a comedy about a female Muslim punk band, “We Are Lady Parts”; and the magnificent “Grayson’s Art Club”, which got many of us through the lockdown in better shape than we would have been in without it.

The support the channel has given to the Paralympics has been inspirational and genuinely groundbreaking. Its news output, although controversial with Conservative MPs, includes “Unreported World”, the Heineken of news because it reaches the parts that others simply do not go to.

Since Channel 4 is prevented from undertaking any in-house production, it has played a leading role in growing the UK’s world-leading independent TV production sector. It works with more than 300 production companies a year, and has been responsible for directly investing £12 billion in the independent production sector since being established in 1982. That supports 10,000 jobs in the supply chain, a third of which are in the nations and regions of the UK. It also means that Channel 4 effectively acts as a kind of early-stage venture capital fund that takes risks and is able to finance innovation.

It is absolutely clear that the channel’s more risky and experimental programming would never see the light of day if it had to search for commercial backing. If it were not for Channel 4, many exciting and successful careers for writers, directors and performers might simply never have happened. Crucially, the country would have been much poorer in cultural terms if such unusual, diverse voices and talents had remained undiscovered and unfulfilled, their voices and viewpoints stifled and unheard. That model has proved to be robust and resilient, and it has come through the pandemic in good shape, so why on earth are the Government seemingly hellbent on destroying such a successful and innovative system?

Only five years ago, after an 18-month review, the then Culture Secretary, the right hon. Member for Staffordshire Moorlands (Karen Bradley), described Channel 4 as a “precious public asset” and declined to privatise it. She did, however, require it to establish hubs in the regions, which it is doing in Glasgow, Bristol and Manchester, alongside a new national headquarters in Leeds. Any sale is likely to reverse that decentralisation to the regions and would destroy the hubs before they had had a chance to establish themselves. That is a peculiar manifestation of the Government’s self-proclaimed mission to level up, whatever we think that oft-used slogan actually means. Why destroy a unique institution that more than pulls its weight in the national interest?

Ministers have been desperate to find arguments to revive the privatisation threat for a sixth time, and appear obsessed with completing this irreversible destruction despite the fact that there is no merit whatever in the proposal. The Minister for Media and Data, whose response to the debate I eagerly await, has had it in for the channel for decades. Last year, he told an audience at the Tory party conference that the channel was struggling financially, but it is not. It has just returned its highest ever pre-tax surplus of £74 million, despite the disruption caused by the pandemic.

Ministers and some Tory MPs have also attempted to justify their obsession with an irreversible privatisation by claiming that UK media players need scale to compete with the Americans, but not all of them do. Moreover, Channel 4 is competing superbly well with the Americans in their own backyard, as its haul of Oscars shows. It is not trying to be a huge, mega-global media player. That was never its purpose. It occupies an incredibly valuable niche of distinctively British programming with a distinctive voice of its own. All 4, Channel 4’s advertising-funded video-on-demand service, has just posted results that demonstrate a 25% increase in views of its streaming services. Channel 4’s social platforms have had 4.2 billion content views. That once more demonstrates that Channel 4 is evolving to compete in the rapidly changing media environment of on-demand without changing its structure or ownership. Ministers have claimed that Channel 4 needs access to capital to compete, but its executives have denied that that is the case, and its record of producing innovative programming in a unique way bears them out.

Privatisation is often justified as a money-raising effort, but as Channel 4 does not produce content in-house, it has no lucrative back catalogue, and its value has been estimated at between £1 billion and £2 billion. That will make scarcely a dent against the £400 billion that the Government have borrowed and splashed around with such abandon during the pandemic, so money raising cannot be a reason behind the Government’s intention either. What on earth is going on? Why are Ministers hellbent on this destructive act?

When we look at the flimsy arguments that Ministers have used to justify this cultural vandalism, it is hard not to draw the more obvious political conclusion that the Government wish to destroy Channel 4 because they do not like the fact that it caters for diverse audiences and different viewpoints—that they are pursuing a hegemonic media project to control public discourse and they do not like dissenting voices.

There are some hints around. The output of Channel 4 has been described by one Tory MP as woke rubbish. The clue is in the dripping contempt for anything different. Anything that does not share the current Tory world view is beyond the pale and ripe for destruction.

[Mr Andrew Mitchell (Sutton Coldfield) (Con)]

I understand what the hon. Lady is saying, but she must also, I think, reflect the fact that these are Government proposals. Many of us in the Conservative party are questioning them in the same way that she is and will be very interested in what the Minister has to say in winding-up the debate. She must not characterise this as a “Tories versus Channel 4” debate.

[Dame Angela Eagle]

I look forward to the right hon. Gentleman being one of, I hope, more than 40 Conservative MPs who appear in the Lobby to vote against any such privatisation proposals. If he can raise that number, I hope to be in the Lobby with him.

It is certainly the case, though, that “Channel 4 News” has refused to be cowed by the Government’s none-too-subtle attempts to intimidate it. Those manifested themselves most notoriously during the 2019 general election when—this may be the real reason that we are seeing what we are—the Prime Minister was replaced by a melting ice sculpture in the Channel 4 leaders’ debate on climate change, which he had characteristically shirked. Following that incident, an unnamed Tory source briefed that Channel 4 would be privatised as punishment for lampooning the prime ministerial no-show. A complaint was made to Ofcom, but it was subsequently thrown out.

To silence such dissent in the future, the Government have decided that Channel 4 will be privatised, and Ofcom taken over by new, hard-line appointees. The BBC has already been cowed. Our national discourse is being drained of different voices as a deliberate act of political ideology. That reminds me more of the authoritarian events going on in Hungary than of something I ever expected to witness in the UK.

I hope the Government will step back from the brink that they have moved towards. For Channel 4, privatisation will be irreversible—an act of vandalism that does irreparable damage to a model that has worked well and provided a unique source of innovation and support, nurturing a vibrant independent production industry that should be the pride of our country. Already, the big beasts—Disney, Netflix, Discovery, Google and Amazon—are beginning to circle, and the Minister for Media and Data is spending his time facilitating the interests of those corporate big beasts by hinting that in-house production will be allowed following privatisation and that Channel 4’s “edgy” remit will be changed.

So there we have it: a sale that threatens to destroy in one fell swoop the independent production industry that Channel 4’s remit and inability to produce in-house have fostered in the UK for the past 40 years. That is deliberate vandalism of all that is unique and successful about Channel 4. If privatisation happens, the bland dullness of US corporate regurgitation may well await us all.

That may serve the immediate interests of what some in the Conservative party believe, but it does not serve the interests of the country. How does the Minister think that it is in the country’s cultural interests to destroy Channel 4? Will his Department prepare and publish an impact assessment of its privatisation plans? How do the Government intend to change the remit of Channel 4 to facilitate a sale? How will privatisation protect innovative and experimental programming that comes from diverse and often unheard voices?

Ministers have also announced that the current ban on in-house production could end with privatisation. That would put the UK’s thriving independent production sector and the 10,000 jobs that it supports directly at risk. How will the Government protect the sector? Finally, how will flogging off Channel 4, possibly to one of the corporate digital giants, preserve the UK’s unique voice in the age of bland corporate entertainment?

I look forward to hearing the Minister’s detailed answers.

--- Later in debate ---

[Mr Andrew Mitchell (Sutton Coldfield) (Con)]

I draw the House’s attention to my interests as set out in the register. I approach this debate in a slightly less certain and more inquiring way than the very eloquent mover of the motion, the hon. Member for Wallasey (Dame Angela Eagle). I ask myself, what sort of media do we want to serve our constituents? My own experiences of the media are quite well balanced— I have suffered but I have also benefited enormously from the media.

All around the world, the lesson is that the strongest, safest societies have independent, raucous, cynical, largely unfettered and disrespectful media. That is what keeps us safe as citizens and defends our human rights and civil liberties. The question is, where does Channel 4 fit into that? It caters for minority tastes and diversity in modern Britain. It aids inclusivity. Its news quality is outstanding. In independent surveys it is the most trusted outlet; look at the experience of people like Cathy Newman, Jon Snow, Gary Gibbon and Matt Frei. I draw hon. Members’ attention to the coverage of Syria, and the depth and the decent length of interviews on what is the greatest humanitarian catastrophe that the world has faced in the last two decades—the numbers on the move into Europe are absolutely staggering.

I draw hon. Members’ attention to “For Sama”, a film made by Channel 4 that would not have been made by other outlets. It is brilliant, moving and was shown in Parliament. We have seen what Channel 4 has done for Paralympic sports and on the Sri Lankan atrocities. As recently as last night, it was praised by John Kerry for the Exxon revelations.

Channel 4 is different from the BBC. It is true that all around the world the BBC is venerated—look at the work of the BBC World Service. When I had responsibility for these matters, I increased its funding ninefold because it is so important. The hugely elevated level of international coverage under James Landale is known to us all but, unlike Channel 4, the BBC is extremely establishment. It is often criticised by colleagues, particularly colleagues in Government, for being biased. But the BBC tries to hold the Government to account, and I would argue that in some ways it is too close to the Government—it may pull its punches because it is worried about the funding model or, indeed the charter. Channel 4 occupies a unique position in our national media.

I come to my questions for the Minister, who is extremely experienced in this area, and I hope that he will answer them. First, will he ensure that there is an impact assessment before rather than after the decision is made? Secondly, what evidence does he have that privatisation will encourage more content investment and more jobs? All previous reports, as the hon. Lady said, including the Government’s own from 2017, concluded that Channel 4’s remit is better served in public ownership.

Fourthly, have the Government addressed the genuine dilemma—I speak here as a strong supporter of capitalism—of whether there could be a conflict of interest in pursuing public policy objectives where the pursuit of profit is the underlying model? Channel 4 does not take money from the taxpayer; it is publicly owned but commercially funded and 100% of its revenue is reinvested in the organisation. It has a new headquarters, not in Birmingham, I regret, but in Leeds, which is out of London—that is very important. It is a huge boost to the British film industry through Film4 and it commissions rather than produces its own programmes, which hugely stimulates and expands the private sector. Those are important matters and I hope very much that in making this case, the Minister will address them.

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[Christian Matheson (City of Chester) (Lab)]

It is a great pleasure to serve under your chairmanship, Mrs Fovargue. I congratulate my hon. Friend the Member for Wallasey (Dame Angela Eagle) on her outstanding introduction. I thank all hon. Members who have contributed today, particularly my hon. Friends the Members for Birkenhead (Mick Whitley) and for Leeds North West (Alex Sobel) and my right hon. Friend the Member for Hayes and Harlington (John McDonnell). I was expecting my good friend the hon. Member for Strangford (Jim Shannon) to mention “Derry Girls” in his speech, so passionate is he about Northern Ireland. I am sure at some point he will.

British television is renowned and envied around the world, and Channel 4 is no exception. For nearly four decades, Channel 4 has given us an endless list of brilliant, progressive and world-leading programmes. It is a British success story which gives small British independent companies with a drive of entrepreneurship and innovation an opportunity to take on the world.

Channel 4 was established to provide distinctive and challenging output to complement the then three main channels and to drive forward growth in the independent TV production sector. By any measure, and as hon. Members have suggested, it has far exceeded those goals. Channel 4’s remit remains clear and its output sharp, challenging, diverse and entertaining. It is there to appeal to a wider and younger audience and, according to Ofcom, it is doing very well to fulfil that purpose.

Like my hon. Friend the Member for Leeds North West, I do not often praise Margaret Thatcher, but I cannot deny that her changes to the broadcasting landscape gave us Channel 4. However, although the channel was launched under a Conservative Government, successive Conservative Governments have threatened to sell it off and privatise it; I believe that this is the sixth attempt to do so. “Yet again” was the phrase used by my right hon. Friend the Member for Hayes and Harlington. This time, the Government seem more determined than ever to succeed, despite completely—

[Mr Mitchell]

I hope the hon. Gentleman is not opposing this proposal on the grounds of privatisation per se, because it is for the Minister to tell us whether privatisation could add to the many points that have been raised in support of Channel 4. Will he make it clear that he would not oppose privatisation if he thought that it would benefit the objectives that we all want to see Channel 4 fulfil?

[Christian Matheson]

I am grateful to the right hon. Gentleman for that intervention. I have a presumption against privatising successful public assets, simply because among Conservatives there is an ideological presumption in favour of privatisation. However, if he will bear with me, he may well find that I address that point in my speech—at least, I hope I do.

It may well be right once in a while to review the make-up of Channel 4. However, it seems that the Government have simply presented a done-deal proposal rather than an inclusive and thought-out consultation. The decision to press ahead with the proposal to privatise Channel 4 has surprised many in the industry, as there does not seem to be any solid evidence behind the Government’s proposals. In fact, as we have heard, Channel 4 has just had one of its best financial years on record.

Many people do not realise that Channel 4 is publicly owned but funds itself almost entirely through advertising, and it reinvests any profits into new British programming. In other words, although it is publicly owned, it does not cost the taxpayer a single penny. When the advertising market dropped last year because of the coronavirus pandemic, the Government saw an opportunity to attack the broadcaster once again. However, despite the hit to advertising spend, Channel 4 has bounced back stronger than ever. It has reported a record £74 million pre-tax surplus and an increase in viewing figures across all its platforms, and it is on track to top £1 billion in revenues for the first time this year. Its streaming viewers are up by 30% on last year, the linear portfolio is up by 4% and there have been 4.2 billion content views on social platforms.

As hon. Members have alluded to, we are all aware that the Government have had a bumpy relationship with “Channel 4 News” and a number of close run-ins with it—indeed, that is true not just for the Government, but for MPs from across the political spectrum. However, the Government cannot simply run away from scrutiny and throw a tantrum every time they dislike something. The Conservatives—or, I say with respect to the right hon. Member for Sutton Coldfield, some Conservatives—complain about a cancel culture, but this is a perfect example of the sinister trend with this Government of closing down or selling off any mechanism that can scrutinise or oppose them. In view of the figures mentioned earlier and the information available, can the Minister assure us that any decisions on the future of Channel 4 are made on the basis of concrete evidence and not simply based on an ideological vendetta against the broadcaster?

Not only do the Government’s proposals make no sense, but they would be catastrophic for the creative sector, particularly independent British TV companies. Channel 4’s success has been instrumental in helping to grow the UK’s world-beating creative industry. The channel has invested £12 billion in the independent production sector, and each year it works with more than 300 production companies.

Channel 4 has also been investing in regional TV and production, and giving voice to communities right across the UK, long before “levelling up” became the latest empty Tory slogan; other hon. Members have already mentioned that today. The channel is crucial in both representing people and providing jobs for people right across the country.

As well as people directly employed by Channel 4, the channel supports over 10,000 jobs in the supply chain, 3,000 of which are in the UK’s nations and regions. As hon. Members have mentioned, Channel 4 is now a truly national organisation. As my hon. Friend the Member for Leeds North West has said, it has opened up its new headquarters in Leeds; he and Tracy Brabin, our former parliamentary colleague, are fighting hard to support that move. Channel 4 has set up creative hubs in Glasgow and Bristol, to make the channel more reflective of UK life. Nearly 400 Channel 4 roles will be located outside London by the end of 2021, and the channel is also committed to investing at least 50% of its spend outside London from 2023, bringing jobs and investment to all parts of the UK.

Changing the very DNA of Channel 4 will mean that indie TV production companies simply will not have the opportunities that they have now. They will be hit by a double whammy. Not only will they not be able to make programmes, but they will not even be able to own the IP, and they will essentially become service provider companies to potential buyers. The plan would suppress the brilliant entrepreneurship and innovation of the UK’s production industry. If the Government’s proposals go ahead, they will clip the wings of one of the most successful industries in Britain.

The creative industries are a key growth area and will be crucial to the UK’s economic recovery after the pandemic. Office for National Statistics data show that in summer 2019, 9% growth in the TV and film sector was key to the UK avoiding recession. The sector has been growing at five times the rate of the UK economy and contributes £111.7 billion to it. As my hon. Friend the Member for Leeds North West and the right hon. Member for Sutton Coldfield (Mr Mitchell) have asked, what assessment has the Department made of the impact of its proposal on the wider creative sector? Was an impact assessment made when drawing up the proposal?

The proposal would also impact on the UK on the global stage. Channel 4 is a national asset with a global reach. As an exporter of uniquely produced content, Channel 4 projects British talent, culture and soft power around the world, as was mentioned by the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone). It was created to reflect the cultural diversity of the UK through programming, boosting Britain’s reputation overseas and showcasing British values to the rest of the world.

Channel 4 has commissioned formats and shows that producers can then sell around the world, helping to launch hundreds of UK creative businesses on to the global stage and generating British IP. The UK independent sector is now worth £3 billion, and it exports soft power around the world through formats, talent and sales.

There is also success at the award ceremonies. Channel 4 spends more on British film than any other UK broadcaster does. Film4 films have collectively won 37 Academy awards and 84 BAFTAs. As the hon. Member for Warrington South (Andy Carter) mentioned, in 2021 “The Father” won best actor and best screenplay at the Oscars. From the outside it looks as though the Government are punishing success. In reality, they are passing on British success to their mates and big companies in America, once again showing where their true loyalties lie.

We all know that big foreign tech companies have only money on their minds, so I simply cannot see them showing any sympathy for Channel 4’s current remit and structure. That is bad news for the TV production industry and the unrepresented voices in the UK. We cannot lose Channel 4’s distinctive remit and let it simply become Channel 4.5—in other words, like Channel 5.

The Government may well argue that this change needs to be made for Channel 4 to be able to keep up and compete with giants such as Netflix, Amazon and Disney+, but they are simply missing the point. Channel 4 was created to be different, diverse and daring, and to champion the under-represented voices of this country. It does not need to splash millions of pounds to compete with Netflix. It simply needs to do what it does best—make fundamentally British content that speaks to and represents British audiences. As we heard, a prime example of this is the fantastic “It’s a Sin”, a masterpiece that broke down barriers and demonstrated the true brilliance and success of Channel 4 and the British TV production industry.

Our TV industry is a British success story. We cannot allow the Government to place a huge “For sale” sign on Channel 4 and lose it to the highest bidder. Great British TV belongs in the UK, and I would very much like it to stay that way.

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[Mr Mitchell]

The point is that we are looking forward. Will the Minister address two arguments? First, I made the point about Syria—

[Mr Whittingdale]

I am going to come to those points.

[Mr Mitchell]

Only Channel 4 provided the seriousness that was needed on that subject. Secondly, the Minister will find that young people and people across society are accessing “Channel 4 News” in many modern and futuristic ways, so his point about Members being uninformed and looking backwards might require a little elucidation.

[Mr Whittingdale]

If my right hon. Friend will forgive me, I am going to come to those points. Given the limitations of time, I am anxious to do so.

I do not dispute the list of programmes, many of which are great, made by Channel 4 over the past 40 years. There are some real jewels among a lot of other programming. It was once said that Channel 4 is a public service tail wagged by a very large commercial dog, and that is the consequence of the model under which it operates. I have enjoyed things such as “It’s a Sin” and “Gogglebox”, and I want to talk specifically about “Channel 4 News”.

Occasionally, I have been cross with “Channel 4 News”. I have been just as cross with Sky News and BBC News. Channel 4 is an essential contributor to plurality. It is worth bearing in mind—again, this has not been recognised in the debate—that “Channel 4 News” is not actually produced by Channel 4. It is an ITN production, and ITN has done a terrific job in providing news programming that is different from the other broadcast news services. It has also been extremely successful internationally, as it has an Oscar-nominated newsroom and has won five Emmy awards.

[Mr Whittingdale]

If the hon. Gentleman will forgive me, I am not going to have time to give way.

I absolutely pay tribute to ITN for the work it has done for Channel 4, and it is certainly our intention that, whatever happens to Channel 4, news should remain a major part of its schedule. However, there have been huge changes. When Channel 4 was created, there was a choice between the BBC and ITV. Channel 4 was founded by a Conservative Government in 1982 to provide alternative viewpoints, and it has been very successful in doing that. Since that time, we have seen the advent of satellite television and the coming of digital terrestrial television. Now we have the streaming services, so there has been a huge explosion in choice. Some of that content, which was originally not available and which Channel 4 was set up to provide, is now available in a large number of different places, so Channel 4 needs to adapt to that.

The latest Ofcom report on the future of public service broadcasting states:

“Rapid change in the industry—driven by global commercial trends and a transformation in viewing habits—is making it harder for public service broadcasters to compete for audiences and maintain their current offer… Change needs to happen—and fast.”

That is why we have set up the review of public service broadcasting, and why it is right to consider whether Channel 4 is best placed to continue to thrive under the current ownership model, because there are some worrying signs.

Channel 4 is entirely dependent on advertising, unlike other broadcasters such as ITV, which has successfully diversified into production, or the BBC, which can rely on the licence fee. Channel 4 relies on advertising. More than 90% of its revenue comes from linear TV advertising, and advertising is under pressure. It is likely to come under greater pressure, in part due to the actions that Parliament is going to take in restricting advertising spending on, for instance, foods that are high in fat, salt and sugar, and possibly such spending with respect to gambling, which we are considering at the moment. Therefore, that model is already coming under pressure.

Competition from the streaming services is almost inevitably going to lead to a decline in audience share over time as more and more content is provided by such services, which can outspend Channel 4 by a factor of 10 with respect to how much they can invest in high-quality content.

Reference was made to Channel 4’s performance. Yes, it did well to record a profit this year, but it is worth bearing in mind how it did so. It is not difficult to continue to make a profit if spending on content is cut by £138 million. That is what happened. Channel 4 slashed the budget on content. It did not, incidentally, slash the budget on employment expenditure, which actually went up—all the money came out of content spend. It is difficult to see how that it is going to be able to return to a position of spending the amount that it was previously. Yes, Channel 4 has been supporting independent producers, although the figure that was quoted of support for more than 300 independent producers is not actually correct. The annual report shows that 161 production companies have been supported that actually meet the definition of indies.

Yes, Channel 4 has moved its headquarters to Leeds—against great resistance—and the hon. Member for Leeds North West (Alex Sobel) is right to celebrate the fact that he has a new building there, but it is worth bearing in mind that Channel 4 still has a very large and expensive building about 100 yards from where we are today. Therefore, if it is properly committed in that regard, there is a case for it to move more employees and to do more outside London.

There is a question whether private ownership might result in greater investment. I was surprised to hear from my right hon. Friend the Member for Sutton Coldfield (Mr Mitchell) that he questions whether it is possible to fulfil public policy purposes and to satisfy shareholders. He will know that any number of utility companies are doing exactly that. I point to examples such as the telecommunications companies, the electricity companies and the gas companies.

[Mr Mitchell]

Will the Minister give way?

[Mr Whittingdale]

I do not think I am going to have time.

I also point to Channel 5. Its spend on content was very small while it was under UK ownership, but when it was bought by Viacom, it became channel of the year and there has been a massive investment.

The one thing I make categorically clear is the reason the Government are looking at the future ownership of Channel 4, which is that we wish to sustain Channel 4. We are concerned that, in the longer term, the model is going to come under ever-increasing pressure and will be unable to deliver the content that we all want to see.