Asked by: Chris Elmore (Labour - Bridgend)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment she has made of the implications for her policies of Netflix’s loss of 200,000 subscribers and more than 35 per cent fall in market value in the first quarter of 2022 compared with Channel 4’s streaming growth of 23 per cent in 2021.
Answered by Julia Lopez - Shadow Secretary of State for Science, Innovation and Technology
Netflix’s first quarter results for 2022 saw overall subscriber numbers decline for the first time in many years. The company put this down to a number of factors including increased competition from new streaming services.
These results highlight the ever more competitive environment that even well-funded global players face.
Though Channel 4 has been reporting strong digital growth, its current ownership and operating model constrain its ability to respond to these market dynamics. The Government believes that having greater access to capital under private ownership and the ability to produce and sell its own content will give Channel 4 the best range of tools to succeed for decades to come.
The Secretary of State for Digital, Culture, Media and Sport has consulted with Cabinet colleagues on their decision to pursue a change of Channel 4’s ownership model. The Government will set out the future plan for Channel 4 in a White Paper shortly.
Asked by: Chris Elmore (Labour - Bridgend)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment she has made of the potential economic impact of the privatisation of Channel 4.
Answered by Julia Lopez - Shadow Secretary of State for Science, Innovation and Technology
The Government consulted extensively on a change of ownership of Channel 4, and the views and evidence gathered from a wide range of stakeholders has informed the Government’s assessment and wider policy-making.
Following this consultation, the Secretary of State has come to a decision that, although Channel 4 as a business is currently performing well, public ownership is holding it back in the face of a rapidly-changing and competitive media landscape. The Secretary of State has consulted with Cabinet colleagues on that decision.
The Government will set out its plan for Channel 4 in a White Paper shortly. The Government will also publish a response to its consultation.
Asked by: Chris Elmore (Labour - Bridgend)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment she has made of the effect of the content produced by BBC Sounds on the quality of output of commercial radio.
Answered by Julia Lopez - Shadow Secretary of State for Science, Innovation and Technology
The Government has received representations from the commercial radio sector about the impact of BBC radio and audio services, including new services being launched on BBC Sounds. It is for Ofcom, as the independent regulator, to assess whether particular BBC services have an impact on the provision of commercial radio and audio services.
The Mid-Term Review of the BBC’s Royal Charter offers an opportunity for the government to consider whether current governance and regulatory arrangements for the BBC are working effectively. We will be publishing more details about the Mid-Term Review shortly.
Asked by: Chris Elmore (Labour - Bridgend)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, whether Ofcom will be allocated extra resources when the regulation of social media platforms becomes part of its remit.
Answered by Chris Philp - Shadow Home Secretary
The positive funding outcome secured through the 2021 Spending Review enables us to deliver against the government’s commitment to make the UK the safest place to be online. Ofcom will receive a total of £88.64m for the financial years 2022/23 and 2023/24. In 2024/25 Ofcom should be self-funding its online safety work through an annual fee on industry.
This funding will ensure that Ofcom has the resources it needs to establish its online safety functions for the successful implementation of the Online Safety legislation which has now been introduced in Parliament.
Asked by: Chris Elmore (Labour - Bridgend)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, when the Government will publish its response to the digital radio and audio review.
Answered by Julia Lopez - Shadow Secretary of State for Science, Innovation and Technology
The Government expects to publish its response to the Digital Radio and Audio Review within the coming weeks.