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Broadcasting Act 1990

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SCHEDULES

Section 1.

SCHEDULE 1E+W+S+N.I. The Independent Television Commission: Supplementary Provisions

Status and capacityE+W+S+N.I.

1(1)The Commission shall be a body corporate.E+W+S+N.I.

(2)The Commission shall not be treated for the purposes of the enactments and rules of law relating to the privileges of the Crown as a body exercising functions on behalf of the Crown.

(3)It shall be within the capacity of the Commission as a statutory corporation to do such things and enter into such transactions as are incidental or conducive to the discharge of their functions under this Act, including (subject to sub-paragraph (4)) the borrowing of money.

(4)The power of the Commission to borrow money (otherwise than under paragraph 13) shall not be exercised by them except with the consent of, or in accordance with a general authority given by, the Secretary of State.

Appointment of membersE+W+S+N.I.

2(1)A person shall be disqualified for being a member of the Commission so long as he is—E+W+S+N.I.

(a)a governor or employee of the BBC;

(b)a member or employee of the Corporation; [F1or

(c)a member or employee of the Broadcasting Standards Commission.]

(2)The members of the Commission shall not at any time include more than one person who is either a member or an employee of the Welsh Authority.

(3)Three out of the members of the Commission other than the chairman and deputy chairman shall be persons who appear to the Secretary of State to be suited to make the interests of Scotland, Wales and Northern Ireland, respectively, their special care.

(4)Before appointing a person to be a member of the Commission, the Secretary of State shall satisfy himself that that person will have no such financial or other interest as is likely to affect prejudicially the discharge by him of his functions as a member of the Commission; and the Secretary of State shall also satisfy himself from time to time with respect to every member of the Commission that he has no such interest.

(5)Any person who is, or whom the Secretary of State proposes to appoint to be, a member of the Commission shall, whenever requested by the Secretary of State to do so, furnish him with such information as the Secretary of State considers necessary for the performance by him of his duties under sub-paragraph (4).

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Amendments (Textual)

F1Word “or”and Sch. 1 para. 2(c) substituted for paragraphs (c) and (d) (1.4.1997) by 1996 c. 55, s. 148(1), Sch. 10 Pt. II, para. 22 (with s. 43(1)(6)); S.I. 1997/1005, art. 4

Tenure of officeE+W+S+N.I.

3(1)Subject to the following provisions of this paragraph, each member of the Commission shall hold and vacate office in accordance with the terms of his appointment.E+W+S+N.I.

(2)A person shall not be appointed to be a member of the Commission for more than five years at a time.

(3)Any member of the Commission may at any time resign his office by notice in writing to the Secretary of State.

Remuneration and pensions of membersE+W+S+N.I.

4(1)The Commission may pay to each member such remuneration and allowances as the Secretary of State may determine.E+W+S+N.I.

(2)The Commission may pay or make provision for paying to or in respect of any member such sums by way of pensions, allowances or gratuities as the Secretary of State may determine.

(3)Where a person ceases to be a member otherwise than on the expiry of his term of office and it appears to the Secretary of State that there are special circumstances which make it right for him to receive compensation, the Commission may make a payment to him of such amount as the Secretary of State may determine.

(4)The approval of the Treasury shall be required for any determination under this paragraph.

Disqualification of members of Commission for House of Commons and Northern Ireland AssemblyE+W+S+N.I.

5In Part II of Schedule 1 to the M1House of Commons Disqualification Act 1975 (bodies of which all members are disqualified) there shall be inserted at the appropriate place—E+W+S+N.I.

The Independent Television Commission; and a corresponding amendment shall be made in Part II of Schedule 1 to the M2Northern Ireland Assembly Disqualification Act 1975.

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Marginal Citations

ProceedingsE+W+S+N.I.

6(1)Subject to paragraph 7, the quorum of the Commission and the arrangements relating to their meetings shall be such as the Commission may determine.E+W+S+N.I.

(2)The arrangements may provide for the discharge, under the general direction of the Commission, of any of the Commission’s functions by a committee or by one or more of the members or employees of the Commission.

7(1)A member who is in any way directly or indirectly interested in any matter that is brought up for consideration at a meeting of the Commission shall disclose the nature of his interest to the meeting; and, where such a disclosure is made—E+W+S+N.I.

(a)the disclosure shall be recorded in the minutes of the meeting, and

(b)(subject to sub-paragraph (2)) the member shall not take any part in any deliberation or decision of the Commission, or of any of their committees, with respect to that matter.

(2)Sub-paragraph (1)(b) shall not apply in relation to any meeting of the Commission at which all of the other members present resolve that the member’s interest should be disregarded for the purposes of that provision.

(3)For the purposes of sub-paragraph (1), a general notification given at a meeting of the Commission by a member to the effect that he is a member of a specified company or firm and is to be regarded as interested in any matter involving that company or firm shall be regarded as a sufficient disclosure of his interest in relation to any such matter.

(4)A member need not attend in person at a meeting of the Commission in order to make a disclosure which he is required to make under this paragraph if he takes reasonable steps to secure that the disclosure is made by a notice which is taken into consideration and read at the meeting.

(5)In this paragraph references to a meeting of the Commission include references to a meeting of any of their committees.

8The validity of any proceedings of the Commission shall not be affected by any vacancy among the members or by any defect in the appointment of a member or by any failure to comply with the requirements of paragraph 7.E+W+S+N.I.

Employees of the CommissionE+W+S+N.I.

9(1)The Commission shall appoint a secretary and may appoint such other employees as they may determine.E+W+S+N.I.

(2)If the Commission determine to do so in the case of any of their employees, the Commission shall pay to or in respect of those employees such pensions, allowances or gratuities, or provide and maintain for them such pension schemes (whether contributory or not), as the Commission may determine.

(3)If any employee of the Commission—

(a)is a participant in any pension scheme applicable to his employment, and

(b)becomes a member of the Commission,

he may, if the Secretary of State so determines, be treated for the purposes of the pension scheme as if his service as a member of the Commission were service as an employee of the Commission.

Authentication of Commission’s sealE+W+S+N.I.

10The application of the seal of the Commission shall be authenticated by the signature of the chairman or of some other person authorised for the purpose.E+W+S+N.I.

Presumption of authenticity of documents issued by CommissionE+W+S+N.I.

11Any document purporting to be an instrument issued by the Commission and to be duly executed under the seal of the Commission or to be signed on behalf of the Commission shall be received in evidence and shall be deemed to be such an instrument unless the contrary is shown.E+W+S+N.I.

Finances of CommissionE+W+S+N.I.

12(1)It shall be the duty of the Commission so to conduct their affairs as to secure that their revenues become at the earliest possible date, and continue thereafter, at least sufficient to enable them to meet their obligations and to discharge their functions under this Act.E+W+S+N.I.

(2)Any excess of the Commission’s revenues for any financial year over the sums required by them for that year for meeting their obligations and discharging their functions under this Act shall be applied by the Commission in such manner as the Secretary of State may direct with the approval of the Treasury and after consultation with the Commission.

(3)A direction under sub-paragraph (2) may require the whole or any part of any excess of the revenues of the Commission to be paid into the Consolidated Fund.

Advances to CommissionE+W+S+N.I.

13(1)For the purpose of—E+W+S+N.I.

(a)furnishing the Commission with working capital, or

(b)enabling them to meet any capital expenditure,

the Secretary of State may, with the consent of the Treasury, make advances to the Commission out of money provided by Parliament.

(2)The aggregate amount outstanding by way of principal in respect of sums advanced to the Commission under this paragraph shall not at any time exceed £5 million.

(3)Any sums advanced under this paragraph shall be repaid to the Secretary of State at such times and by such methods, and interest on those sums shall be paid to him at such times and at such rates, as he may from time to time direct with the consent of the Treasury.

Accounts and auditE+W+S+N.I.

14(1)The Commission shall keep proper accounts and proper records in relation to the accounts, and shall prepare in respect of each financial year a statement of accounts in such form as the Secretary of State may direct with the approval of the Treasury.E+W+S+N.I.

(2)The accounts of the Commission shall be audited by auditors to be appointed by the Commission with the approval of the Secretary of State.

[F2(3)A person shall not be qualified to be as an auditor in pursuance of sub-paragraph (2) unless he is eligible for appointment as a company auditor under section 25 of the Companies Act 1989.]

(4)The Commission shall at all reasonable times upon demand made by the Secretary of State or by any persons authorised by him in that behalf—

(a)afford to him or them full liberty to examine the accounts of the Commission; and

(b)furnish him or them with all forecasts, estimates, information and documents which he or they may require with respect to the financial transactions and commitments of the Commission.

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Amendments (Textual)

Annual reportsE+W+S+N.I.

15(1)As soon as possible after the end of every financial year, the Commission shall prepare a general report of their proceedings during that year, and transmit it to the Secretary of State who shall lay copies of it before each House of Parliament.E+W+S+N.I.

(2)The report shall include a report by the Commission on the extent to which holders of Channel 3 or Channel 5 licences have failed to comply with the conditions included in their licences in pursuance of section 33(1)(a).

(3)The report shall have attached to it the statement of accounts for the year and a copy of any report made by the auditors on that statement, and shall include such information (including information relating to the financial position of the Commission) as the Secretary of State may from time to time direct.

[F3(4)Where a report is transmitted by the Commission under sub-paragraph (1) to the Scottish Ministers (by virtue of provision made under section 63 of the Scotland Act 1998), the Scottish Ministers shall lay a copy of the report before the Scottish Parliament.]

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Amendments (Textual)

Modifications etc. (not altering text)

C1Sch. 1 para. 15(1) certain functions made exercisable by Scottish Ministers (1.7.1999) by S.I. 1999/1756, arts. 1, 2, Sch. para. 12(1); S.I. 1998/3178

Sch. 1 para. 15(1): functions exercisable (1.7.1999) concurrently by the Scottish Ministers and Ministers of the Crown by S.I. 1999/1750, arts. 1, 3, Sch. 2; S.I. 1998/3178

Advisory committeesE+W+S+N.I.

16The Commission may appoint, or arrange for the assistance of, advisory committees to give advice to them on such matters relating to the Commission’s functions as the Commission may determine.E+W+S+N.I.

Sections 5 and 88.

SCHEDULE 2E+W+S+N.I. Restrictions on the Holding of Licences

Part IE+W+S+N.I. General

1(1)In this Schedule—E+W+S+N.I.

  • [F4the 1996 Act” means the Broadcasting Act 1996;]

  • advertising agency” means an individual or a body corporate who carries on business as an advertising agent (whether alone or in partnership) or has control over any body corporate which carries on business as an advertising agent, and any reference to an advertising agency includes a reference to an individual who—

(a)is a director or officer of any body corporate which carries on such a business, or

(b)is employed by any person who carries on such a business;

  • associate”—

[F5(a)in relation to a body corporate, shall be construed in accordance with paragraph (1A), and]

(b)in relation to an individual, shall be construed in accordance with sub-paragraph (2);

  • control”—

(a)in relation to a body corporate, shall be construed in accordance with sub-paragraph (3), and

(b)in relation to any body other than a body corporate, means the power of a person to secure, [F6by whatever means and whether directly or indirectly], that the affairs of the first-mentioned body are conducted in accordance with the wishes of that person;

  • [F7coverage area”, in relation to a service, shall be construed in accordance with paragraph 3A;

  • digital programme service” has the same meaning as in Part I of the 1996 Act;]

  • equity share capital” has the same meaning as in the M3Companies Act 1985;

  • local authority”—

(a)in relation to England F8. . ., means any of the following, that is to say, the council of a county, district or London borough, the Common Council of the City of London and the Council of the Isles of Scilly;

[F9(aa)in relation to Wales, means a county council or county borough council;]

(b)in relation to Scotland, means a [F10council constituted under section 2 of the Local Government etc. (Scotland) Act 1994]; and

(c)in relation to Northern Ireland, means a district council;

  • local delivery licence” has the meaning given by section 72(5), and “local delivery service” has the meaning given by section 72(1);

  • [F11local digital sound programme service” and “national digital sound programme service” have the same meaning as in Part II of the 1996 Act;

  • local radio multiplex service” and “national radio multiplex service” have the same meaning as in Part II of the 1996 Act;]

  • participant”, in relation to a body corporate, means a person who holds or is beneficially entitled to shares in that body or who possesses voting power in that body.

  • [F12television multiplex service” means a multiplex service within the meaning of Part I of the 1996 Act.]

[F13(1A)For the purpose of determining the persons who are the associates of a body corporate for the purposes of this Schedule—

(a)an individual shall be regarded as an associate of a body corporate if he is a director of that body corporate, and

(b)a body corporate and another body corporate shall be regarded as associates of each other if one controls the other or if the same person controls both.]

(2)For the purpose of determining the persons who are an individual’s associates for the purposes of this Schedule, the following persons shall be regarded as associates of each other, namely—

(a)any individual and that individual’s husband or wife and any relative, or husband or wife of a relative, of that individual or of that individual’s husband or wife;

(b)any individual and any body corporate of which that individual is a director;

(c)any person in his capacity as trustee of a settlement and the settlor or grantor and any person associated with the settlor or grantor;

(d)persons carrying on business in partnership and the husband or wife and relatives of any of them;

(e)any two or more persons acting together to secure or exercise control of a body corporate or other association or to secure control of any enterprise or assets;

and in this sub-paragraph “relative” means a brother, sister, uncle, aunt, nephew, niece, lineal ancestor or descendant (the stepchild or illegitimate child of any person, or anyone adopted by a person, whether legally or otherwise, as his child, being regarded as a relative or taken into account to trace a relationship in the same way as that person’s child); and references to a wife or husband shall include a former wife or husband and a reputed wife or husband.

[F14(3)For the purposes of this Schedule a person controls a body corporate if—

(a)he holds, or is beneficially entitled to, more than 50 per cent. of the equity share capital in the body, or possesses more than 50 per cent. of the voting power in it, or

(b)although he does not have such an interest in the body, it is reasonable, having regard to all the circumstances, to expect that he will be able, by whatever means and whether directly or indirectly, to achieve the result that the affairs of the body are conducted in accordance with his wishes; or

(c)he holds, or is beneficially entitled to, 50 per cent. of the equity share capital in that body, or possesses 50 per cent. of the voting power in it, and an arrangement exists between him and any other participant in the body as to the manner in which any voting power in the body possessed by either of them is to be exercised, or as to the omission by either of them to exercise such voting power.

(3A)For the purposes of sub-paragraph (3)(c)—

(a)arrangement” includes any agreement or arrangement, whether or not it is, or is intended to be, legally enforceable, and

(b)a person shall be treated—

(i)as holding, or being beneficially entitled to, any equity share capital which is held by a body corporate which he controls or to which such a body corporate is beneficially entitled, and

(ii)as possessing any voting power possessed by such a body corporate.]

(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5)For the purposes of any provision of this Schedule which refers to a body controlled by two or more persons or bodies of any description taken together, the persons or bodies in question shall not be regarded as controlling the body by virtue of paragraph (b) of sub-paragraph (3) unless they are acting together in concert.

[F15(6)In this Schedule any reference to a participant with more than a 20 per cent. interest in a body corporate is a reference to a person who—

(a)holds or is beneficially entitled to more than 20 per cent. of the shares in that body, or

(b)possesses more than 20 per cent. of the voting power in that body.

(7)Sub-paragraph (6) shall have effect subject to the necessary modifications in relation to other references in this Schedule—

(a)to an interest of more than a specified percentage in a body corporate, or

(b)to an interest of a specified percentage or more in a body corporate.

(8)Any reference in this Schedule to a person who is over a particular age is a reference to a person who has attained that age.]

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Amendments (Textual)

F4Definition inserted in Sch. 2 Pt. I para. 1(1) inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(2)(a) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F5Definition in Sch. 2 Pt. I para. 1(1) substituted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1 (2)(b) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F6Words in Sch. 2 Pt. I para. 1(1) substituted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(2)(c) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F7Definitions in Sch. 2 Pt. I para. 1(1) inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(2)(d) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F8Sch. 2 Pt. I: Words in definition “local authority”in para. 1(1)(a) repealed (1.4.1996) by 1994 c. 19, ss. 66(6)(8), Sch. 16 para. 89, Sch. 18. (with ss. 54(5)(7), 55(5), Sch. 17 paras. 22(1), 23(2)); S.I. 1996/396, art. 4, Sch. 2

F10Sch. 2 Pt. I para. 1(1)(b): Words beginning “council constituted”to “(Scotland Act 1994)”substituted (S.) (1.4.1996) for words “regional, islands or district council”by 1994 c. 39, s. 180(1), Sch. 13 para. 166 (with s. 128(8)); S.I. 1996/323, art. 4(c)

F11Definitions in Sch. 2 Pt. I para. 1(1) inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(2)(e) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F12Definition of “television multiplex service”in Sch. 2 Pt. I para. 1(1) inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(2)(f) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F13Sch. 2 Pt. I. para. 1(1A) inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(3) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F14Sch. 2 Pt. I para. 1(3) substituted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(4) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F15Sch. 2 Pt. I para. 1(6)(7)(8) substituted (10.8.1996 for certain purposes otherwise 1.11.1996) for sub-paragraph (6) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 1(6) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

Marginal Citations

2(1)[F16Subject to sub-paragraph (1A)]Any reference in paragraph 1 above to a person—E+W+S+N.I.

(a)holding or being entitled to shares, or any amount of the shares or equity share capital, in a body corporate, or

(b)possessing voting power, or any amount of the voting power, in a body corporate,

is a reference to his doing so, or being so entitled, whether alone or jointly with one or more other persons and whether directly or through one or more nominees.

[F17(1A)For the purposes of this Schedule, a person’s holding of shares, or possession of voting power, in a body corporate shall be disregarded if, or to the extent that—

(a)he holds the shares concerned—

(i)as a nominee,

(ii)as a custodian (whether under a trust or by a contract), or

(iii)under an arrangement pursuant to which he has issued, or is to issue, depositary receipts, as defined by section 220(1) of the Companies Act 1985, in respect of the shares concerned, and

(b)he is not entitled to exercise or control the exercise of voting rights in respect of the shares concerned.

(1B)For the purposes of sub-paragraph (1A)(b)—

(a)a person is not entitled to exercise or control the exercise of voting rights in respect of shares if he is bound (whether by contract or otherwise) not to exercise the voting rights, or not to exercise them otherwise than in accordance with the instructions of another, and

(b)voting rights which a person is entitled to exercise or of which he is entitled to control the exercise only in certain circumstances shall be taken into account only when those circumstances have arisen and for as long as they continue to obtain.]

F18(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F19(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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Amendments (Textual)

F16Words in Sch. 2 Pt. I para. 2(1) inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 2(2) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F17Sch. 2 Pt. I para. 2(1A)(1B) inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 2(3) (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

[F203For the purposes of this Schedule the following persons shall be treated as connected with a particular person—E+W+S+N.I.

(a)a person who controls that person,

(b)an associate of that person or of a person falling within paragraph (a), and

(c)a body which is controlled by that person or by an associate of that person.]

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F20Sch. 2 Pt. I para. 3 substituted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 3 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

[F213A(1)In this Schedule “coverage area”—E+W+S+N.I.

(a)in relation to any service licensed by the Commission under Part I of this Act or a television multiplex service licensed by them under Part I of the 1996 Act, means the area of the United Kingdom from time to time determined by the Commission as that within which the service is capable of being received at a level satisfying such technical standards as they may from time to time determine,

(b)in relation to any digital programme service which is broadcast by means of a television multiplex service, means the area of the United Kingdom from time to time determined by the Commission as that within which the digital programme service as so broadcast is capable of being received at such a level,

(c)in relation to any service licensed by the Authority under Part III of this Act, means the area of the United Kingdom from time to time determined by the Authority as that within which the service is capable of being received at a level satisfying such technical standards as they may from time to time determine, and

(d)in relation to any local radio multiplex service licensed by the Authority under Part II of the 1996 Act or any local digital sound programme service which is broadcast by means of such a local radio multiplex service, means the area of the United Kingdom from time to time determined by the Authority as that within which the local radio multiplex service is capable of being received at such a level.

(2)Where the Commission or the Authority make any determination under this paragraph, they shall—

(a)publish the determination in such manner as they think fit, and

(b)send a copy of it to such persons holding licences granted by them as appear to them to be affected by the determination.]

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Amendments (Textual)

F21Sch. 2 Pt. I paras. 3A, 3B inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 4 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

F223B(1)For the purposes of this Schedule—E+W+S+N.I.

(a)a person who holds a licence to provide digital programme services shall be taken to provide a digital programme service if, under a contract between him and a person who holds a licence to provide a television multiplex service, that person is obliged to broadcast the digital programme service by means of the television multiplex service;

(b)a person who holds a licence to provide national digital sound programme services shall be taken to provide a national digital sound programme service if, under a contract between him and a person who holds a licence to provide a national radio multiplex service, that person is obliged to broadcast the national digital sound programme service by means of the national radio multiplex service;

(c)a person who holds a licence to provide local digital sound programme services shall be taken to provide a local digital sound programme service if, under a contract between him and a person who holds a licence to provide a local radio multiplex service, that person is obliged to broadcast the local digital sound programme service by means of the local radio multiplex service.

(2)For the purposes of this Schedule a person who holds a licence to provide digital programme services, national digital sound programme services or local digital sound programme services shall also be taken to provide a digital programme service, a national digital sound programme service or a local digital sound programme service (as the case may be) if he also holds a relevant multiplex licence and is broadcasting that service under that licence.

(3)In sub-paragraph (2), “relevant multiplex licence” means—

(a)in relation to digital programme services, a licence to provide a television multiplex service,

(b)in relation to national digital sound programme services, a licence to provide a national radio multiplex service, and

(c)in relation to local digital sound programme services, a licence to provide a local radio multiplex service.

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Amendments (Textual)

F22Sch. 2 Pt. I paras. 3A, 3B inserted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 4 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

4An order under [F23any provision of this Schedule other than paragraph 7 in Part III] shall not be made by the Secretary of State unless a draft of it has been laid before and approved by a resolution of each House of Parliament.E+W+S+N.I.

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Amendments (Textual)

F23Words in Sch. 2 Pt. I para. 4 substituted (10.8.1996 for certain purposes otherwise 1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 5 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2

Part IIE+W+S+N.I. Disqualification for Holding Licences

General disqualification of non-EEC nationals and bodies having political connectionsE+W+S+N.I.

1(1)Subject to sub-paragraph (2), the following persons are disqualified persons in relation to a licence granted by the Commission or the Authority—E+W+S+N.I.

(a)an individual who is neither—

(i)a national of a member State who is ordinarily resident within the European Economic Community, nor

(ii)ordinarily resident in the United Kingdom, the Isle of Man or the Channel Islands;

(b)a body corporate which is neither—

(i)a body formed under the law of a member State which has its registered or head office or principal place of business within the European Economic Community, nor

(ii)a body incorporated under the law of the Isle of Man or the Channel Islands;

(c)a local authority;

(d)a body whose objects are wholly or mainly of a political nature;

(e)a body affiliated to a body falling within paragraph (d);

(f)an individual who is an officer of a body falling within paragraph (d) or (e);

(g)a body corporate which is an associate of a body corporate falling within paragraph (d) or (e);

(h)a body corporate in which a body falling within any of paragraphs (c) to (e) and (g) is a participant with more than a 5 per cent. interest;

[F24(hh) a body corporate which is controlled by a body corporate falling within paragraph (h);]

(i)a body which is controlled by a person falling within any of paragraphs (a) to (g) or by two or more such persons taken together; and

(j)a body corporate in which a body falling within paragraph (i), other than one which is controlled—

(i)by a person falling within paragraph (a), (b) or (f), or

(ii)by two or more such persons taken together,

is a participant with more than a 5 per cent. interest.

(2)Sub-paragraph (1) shall apply in relation to—

(a)a local delivery licence,

(b)a licence to provide a [F25satellite television] service,

(c)a licence to provide a non-domestic satellite radio service,

(d)a licence to provide a licensable programme service,

(e)a licence to provide a licensable sound programme service, F26. . .

(f)a licence to provide additional services (within the meaning of Part I or III of this Act) other than a licence to provide the teletext service referred to in section 49(2) of this Act,

[F27(g)a licence to provide a television multiplex service, a national radio multiplex service or a local radio multiplex service,

(h)a licence to provide digital additional services (within the meaning of Part I or II of the 1996 Act),

(i)a licence to provide digital programme services, or

(j)a licence to provide national or local digital sound programme services,]

as if paragraphs (a) and (b) (and the reference to those paragraphs in paragraph (i)) were omitted.

(3)In sub-paragraph (2)(c) “non-domestic satellite radio service” means a satellite service within the meaning of Part III of this Act which is not provided on any frequency allocated to the United Kingdom for broadcasting by satellite.

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Amendments (Textual)

F24Sch. 2 Pt. II para. 1(1)(hh) inserted (1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 6(2) (with s. 43(1)(6)); 1996/2120, art. 5, Sch. 2

F26Sch. 2 Pt. II para. 1(2)(e) repealed (1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 6(3), Sch. 11 Pt. I (with s. 43(1)(6)); 1996/2120, art. 5, Sch. 2

F27Sch. 2 Pt. II para. 1(2)(g)-(j) inserted (1.11.1996) by 1996 c. 55, s. 73, Sch. 2 Pt. I para. 6(3) (with s. 43(1)(6)); 1996/2120, art. 5, Sch. 2

Disqualification of religious bodiesE+W+S+N.I.

2(1)Subject to sub-paragraph (2), the following persons are disqualified persons in relation to a licence granted by the Commission or the Authority—E+W+S+N.I.

(a)a body whose objects are wholly or mainly of a religious nature;

(b)a body which is controlled by a body falling within paragraph (a) or by two or more such bodies taken together;

(c)a body which controls a body falling within paragraph (a);

(d)a body corporate which is an associate of a body corporate falling within paragraph (a), (b) or (c);

(e)a body corporate in which a body falling within any of paragraphs (a) to (d) is a participant with more than a 5 per cent. interest;

(f)an individual who is an officer of a body falling within paragraph (a); and

(g)a body which is controlled by an individual falling within paragraph (f) or by two or more such individuals taken together.

(2)If on an application made to them under this sub-paragraph—

(a)the Commission are satisfied that it is appropriate for a person to hold—

(i)a licence to provide a [F28satellite television] service, or

(ii)a licence to provide a licensable programme service, or

(b)the Authority are satisfied that it is appropriate for a person to hold a particular kind of licence that may be granted by them under Part III of this Act other than a national licence,

being a person who, apart from this sub-paragraph, would be a disqualified person in relation to any such licence by virtue of sub-paragraph (1), they shall make a determination to the effect that they are so satisfied; and so long as any such determination remains in force in relation to that person, sub-paragraph (1) shall not apply to him in relation to any such licence.

(3)The Commission and the Authority shall each publish, in such manner as they consider appropriate, general guidance to persons making applications to them under sub-paragraph (2) as to the principles to be applied by them in determining whether it is appropriate for such persons to hold licences falling within paragraph (a) or (as the case may be) paragraph (b) of that sub-paragraph.

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Amendments (Textual)

Disqualification of publicly-funded bodies for radio service licencesE+W+S+N.I.

3(1)The following persons are disqualified persons in relation to any licence granted by the Authority other than a licence to provide a restricted service—E+W+S+N.I.

(a)a body [F29(other than a local authority, the Welsh Authority or the BBC)] which has, in its last financial year, received more than half its income from public funds;

(b)a body which is controlled by a body falling within paragraph (a) or by two or more such bodies taken together; and

(c)a body corporate in which a body falling within paragraph (a) or (b) is a participant with more than a 5 per cent. interest.

(2)For the purposes of sub-paragraph (1)(a) money is received from public funds if it is paid—

(a)by a Minister of the Crown out of money provided by Parliament or out of the National Loans Fund;

(b)by a Northern Ireland department out of the Consolidated Fund of Northern Ireland or out of money appropriated by Measure of the Northern Ireland Assembly; or

(c)by a body which itself falls within sub-paragraph (1)(a), including a body which falls within that provision by virtue of this paragraph;

but, in each case, there shall be disregarded any money paid as consideration for the acquisition of property or the supply of goods or services or as remuneration, expenses, pensions, allowances or similar benefits for or in respect of a person as the holder of an office.

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Amendments (Textual)

F29Words in Sch. 2 Pt. II para. 3(1)(a) substituted (24.7.1996 for certain purposes, otherwise 1.11.1996) by 1996 c. 55, ss. 73, 149(1)(a), Sch. 2 Pt. II para. 7 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2

General disqualification on grounds of undue influenceE+W+S+N.I.

4(1)A person is a disqualified person in relation to a licence granted by the Commission or the Authority if in the opinion of that body—E+W+S+N.I.

(a)any relevant body is, by the giving of financial assistance or otherwise, exerting influence over the activities of that person, and

(b)that influence has led, is leading or is likely to lead to results which are adverse to the public interest.

(2)In sub-paragraph (1) “relevant body”—

(a)in relation to a licence granted by the Commission, means a body falling within paragraph 1(1)(c) to (h) or (j) above or a body which is controlled—

(i)by a person falling within paragraph 1(1)(c) to (g) above, or

(ii)by two or more such persons taken together; and

(b)in relation to a licence granted by the Authority, means a body falling within paragraph 1(1)(c) to (h) or (j) or 3 above or a body which is controlled as mentioned in paragraph (a)(i) or (ii) above.

General disqualification of broadcasting bodiesE+W+S+N.I.

5The following persons are disqualified persons in relation to a licence granted by the Commission or the Authority—E+W+S+N.I.

(a)the BBC;

(b)the Welsh Authority;

F30(c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F30(d). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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Amendments (Textual)

F30Sch. 2 Pt. II para. 5(c)(d) repealed (24.7.1996 for certain purposes, otherwise 1.11.1996) by 1996 c. 55, ss. 73, 149(1)(a), Sch. 2 Pt. I para. 8, Sch. 11 Pt. I (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2

[F31Disqualification of certain companies for certain licences]E+W+S+N.I.

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Amendments (Textual)

F31Sch. 2 Pt. II para. 5A and cross-heading inserted (24.7.1996 for certain purposes, otherwise 1.10.1996) by 1996 c. 55, ss. 73, 149(1)(a), Sch. 2 Pt. II para. 9 (with s. 43(1)(6)); S.I. 1996/2120, art. 4, Sch. 1

[F325A(1)A BBC company, a Channel 4 company or an S4C company is a disqualified person in relation to—E+W+S+N.I.

(a)any licence granted by the Commission to provide regional or national Channel 3 services or Channel 5, and

(b)any licence granted by the Commission to provide a local delivery service.

(2)A BBC company is also a disqualified person in relation to any licence granted by the Authority to provide a national, local or restricted service within the meaning of Part III of this Act.

(3)The Secretary of State may by order provide that sub-paragraph (1)(b) shall not have effect in relation to any local delivery service of a description specified in the order.]

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Amendments (Textual)

F32Sch. 2 Pt. II para. 5A inserted (24.7.1996 for certain purposes, otherwise 1.10.1996) by 1996 c. 55, ss. 73, 149(1)(a), Sch. 2 Pt. II para. 9 (with s. 43(1)(6)); S.I. 1996/2120, art. 4, Sch. 1

General disqualification of advertising agenciesE+W+S+N.I.

6The following persons are disqualified persons in relation to a licence granted by the Commission or the Authority—E+W+S+N.I.

(a)an advertising agency;

(b)an associate of an advertising agency;

(c)any body which is controlled by a person falling within sub-paragraph (a) or (b) or by two or more such persons taken together;

(d)any body corporate in which a person falling within any of sub-paragraphs (a) to (c) is a participant with more than a 5 per cent. interest.

[F33Part IIIE+W+S+N.I. Restrictions to Prevent Accumulations of Interests in Licensed Services]

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Amendments (Textual)

F33Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

[F341(1)In this Part of this Schedule “relevant services”means any such services as are mentioned in sub-paragraphs (2) and (3) and, for the purposes of this Part, relevant services shall (subject to paragraph 9) be divided into the [F35sixteen ]categories specified in those sub-paragraphs.E+W+S+N.I.

(2)In the case of services licensed by the Commission, the categories are—

(a)regional and national Channel 3 services and Channel 5;

(b)restricted services (within the meaning of Part I of this Act);

[F36(d)satellite television services]

(e)licensable programme services;

(f)additional services (within the meaning of Part I of this Act);

(g)television multiplex services;

(h)digital programme services; and

(i)digital additional services (within the meaning of Part I of the 1996 Act).

(3)In the case of services licensed by the Authority, the categories are—

(a)national radio services;

(b)local radio services;

(c)satellite radio services;

(d)licensable sound programme services;

(e)additional services (within the meaning of Part III of this Act);

(f)national or local radio multiplex services;

(g)national or local digital sound programme services; and

(h)digital additional services (within the meaning of Part II of the 1996 Act)..

(4)References in this Part to national, local, restricted or satellite radio services are references to national, local, restricted or satellite services within the meaning of Part III of this Act.]

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Amendments (Textual)

F34Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

F36Sch. 2 Pt. III para. 1(2)(d) substituted for para. 1(2)(c)(d) (11.7.1997) by S.I. 1997/1682, reg. 2, Sch. para. 16(2)(b)

General limit on the holding of licences to provide television services or interests in bodies corporate holding such licencesE+W+S+N.I.

F372(1)No one person may, at any time when his audience time in respect of the period of twelve months ending with the last day of the preceding calendar month exceeds 15 per cent. of total audience time in respect of that period—E+W+S+N.I.

(a)hold two or more licences to provide relevant services falling within one or more of the categories specified in paragraph [F381(2)(a), (d), (e) or (h)],

(b)be a participant with a qualifying interest in two or more bodies corporate each of which holds a licence, or two or more licences, to provide services falling within one or more of those categories,

(c)hold any licence to provide a relevant service falling within any of those categories and be a participant with a qualifying interest in any body corporate which holds such a licence or two or more such licences,

(d)provide a foreign satellite service and either hold any licence to provide a relevant service falling within any of those categories or be a participant with a qualifying interest in a body corporate which holds such a licence or two or more such licences, or

(e)hold a licence to provide relevant services falling within the category specified in paragraph 1(2)(h) and provide two or more such services.

(2)For the purposes of sub-paragraph (1) a person’s audience time at any time (“the relevant time”) in respect of any period is the aggregate of—

(a)the audience time attributable in respect of that period to each relevant service falling within any of the categories specified in paragraph [F391(2)(a), (d) or (e)] provided under a licence held by him at the relevant time,

[F40(aa)the audience time attributable in respect of that period to any relevant service falling within paragraph 1(2)(h) which is provided by him by means of a television multiplex service licensed under Part I of the Broadcasting Act 1996,; and]

(b)one half of the audience time attributable in respect of that period to any relevant service falling within any of the categories specified in paragraph [F391(2)(a), (d) or (e)] provided under a licence held by a body corporate which he does not control, but in which he is at the relevant time a participant with a qualifying interest,

[F41(bb)one half of the audience time attributable in respect of that period to any relevant service falling within paragraph 1(2)(h) which is provided—

(i)by means of a television multiplex service licensed under Part I of the Broadcasting Act 1996, and

(ii)by a body corporate which he does not control, but in which he is at any relevant time a participant with a qualifying interest,]

and

(c)the audience time attributable in respect of that period to any foreign satellite service provided by him at the relevant time.

(3)In this paragraph “foreign satellite service” means any service (other than a [F42satellite television] service) which consists in the transmission of television programmes by satellite, is provided on a frequency other than one allocated to the United Kingdom for broadcasting by satellite and either—

(a)appears to the Commission to be intended for general reception in the United Kingdom (whether or not it appears to them to be also intended for general reception elsewhere), or

(b)is (to any extent) relayed by a local delivery service.

(4)References in this paragraph—

(a)to the audience time attributable to any service in respect of any period, or

(b)to total audience time in respect of any period,

shall be construed in accordance with paragraph 3.

(5)In this paragraph ”qualifying interest” means an interest of more than 20 per cent.

(6)The Secretary of State may by order amend sub-paragraph (5)—

(a)by substituting a different percentage for any percentage for the time being specified there, and

(b)so as to specify different percentages in relation to licences to provide different services.

(7)The Secretary of State may by order amend sub-paragraphs (1)(a), (2)(a) and (b) by adding a reference to relevant services falling within the category specified in paragraph 1(2)(b).

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Amendments (Textual)

F37Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Audience time and total audience time for purposes of paragraph 2E+W+S+N.I.

F433(1)For the purposes of paragraph 2—E+W+S+N.I.

(a)the audience time attributable to a service in respect of any period is an estimate by the Commission of the number of hours that would be produced by—

(i)ascertaining, in relation to every person who in that period watched any programme included in that service, the total amount of time he spent in that period watching programmes so included, and

(ii)adding together all the amounts of time so ascertained, and

(b)total audience time in respect of any period is the total of all the audience times attributable to services specified in sub-paragraph (2) in respect of that period.

(2)The services referred to in sub-paragraph (1)(b) are—

(a)every television programme service capable of being received in the British Islands, and

(b)every other service which consists wholly or mainly in the broadcasting, or transmission by satellite, from a place outside the British Islands of television programmes which are capable of being received in the British Islands.

(3)For the purposes of this paragraph the Commission may disregard—

(a)watching in such circumstances, or by persons of such description, as the Commission may from time to time determine,

(b)periods of watching whose duration does not exceed such length of time as they may so determine, and

(c)the watching of recordings of television programmes to such extent as they may so determine.

(4)Any estimate required for the purposes of this paragraph may be made by the Commission in such manner, or by reference to such surveys conducted or statistics prepared by any one or more other persons, as they think fit.

(5)Any determination made by the Commission under sub-paragraph (4) shall be published by them in such manner as they think fit.

(6)In this paragraph—

(a)programme” includes part of a programme, and

(b)references to watching a programme do not include references to watching it outside the British Islands.

(7)If it appears to the Secretary of State that there has been a significant change in the audience measurement practices prevailing in the television industry, the Secretary of State may, after consulting the Commission, make such amendments of sub-paragraphs (1), (3) and (6) as he considers appropriate for the purpose of taking account of that change.

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Amendments (Textual)

F43Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Restrictions on holding of licences to provide Channel 3 services or Channel 5E+W+S+N.I.

F444(1)No one person may at any time hold a licence to provide a national Channel 3 service and a licence to provide Channel 5.E+W+S+N.I.

(2)A person who holds a licence to provide a regional Channel 3 service for a particular area may not also hold any other licence to provide a regional Channel 3 service for that area.

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Amendments (Textual)

F44Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Limit on the holding of licences to provide television multiplex servicesE+W+S+N.I.

F455(1)No one person may at any time hold more than [F46six] licences to provide television multiplex services.E+W+S+N.I.

(2)For the purposes of sub-paragraph (1), a person who is a participant with more than a 20 per cent. interest in a body corporate which holds a licence to provide a television multiplex service but does not control that body shall be treated as holding the licence held by that body.

(3)No one person may at any time, in relation to each of [F47eight]or more licences to provide television multiplex services, be either the holder of the licence or a participant with more than a 10 per cent. interest in a body corporate which holds the licence.

(4)In relation to any person who, under any arrangement with the BBC, provides a television multiplex service for the BBC (on a frequency which is not assigned to the Commission under section 6(1) of the 1996 Act)—

(a)sub-paragraph (1) shall have effect as if the reference to [F48six] licences were a reference to [F48five] licences, and

(b)sub-paragraph (3) shall have effect as if the reference to [F49eight] licences were a reference to [F49seven] licences.

(5)The Secretary of State may by order—

(a) amend sub-paragraphs (1) to (4) by substituting a different numerical limit or percentage for any numerical limit or percentage for the time being specified there,

(b)designate any television multiplex service as a regional multiplex service for the purposes of this sub-paragraph, and

(c)prescribe restrictions on the holding by any one person of two or more licences to provide regional multiplex services whose coverage areas are to a significant extent the same.

(6)The Secretary of State shall not designate any television multiplex service as a regional television multiplex service for the purposes of sub-paragraph (5) unless less than half of the population of the United Kingdom is resident within the proposed coverage area of the service.

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Amendments (Textual)

F45Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

F46Word in Sch. 2 Pt. III para. 5(1) substituted (31.1.2001) by S.I. 2001/223, art. 2(a)

F47Word in Sch. 2 Pt. III para. 5(3) substituted (31.1.2001) by S.I. 2001/223, art. 2(b)

F48Word in Sch. 2 Pt. III para. 5(4)(a) substituted (31.1.2001) by S.I. 2001/223, art. 2(c)

F49Word in Sch. 2 Pt. III para. 5(4)(b) substituted (31.1.2001) by S.I. 2001/223, art. 2(d)

Limits on the holding, by persons providing digital programme services, of licences to provide other categories of serviceE+W+S+N.I.

F506(1)The Secretary of State may by order prescribe restrictions on the holding, by a person who is providing a digital programme service by means of a television multiplex service designated by order under paragraph 5(5)(b) as a regional multiplex service, of a licence to provide any service specified in sub-paragraph (2) whose coverage area is to a significant extent the same as that of the digital programme service.E+W+S+N.I.

(2)The services referred to in sub-paragraph (1) are—

(a)a regional Channel 3 service,

(b)a local radio service, and

(c)a local radio multiplex service.

(3)The Secretary of State may also by order prescribe restrictions on the provision by any one person at any time of both—

(a)a digital programme service by means of a television multiplex service which is designated by order under paragraph 5(5)(b) as a regional multiplex service, and

(b)a digital sound programme service whose coverage area is to a significant extent the same as that of the digital programme service.

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Amendments (Textual)

F50Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Limit in relation to provision of digital programme servicesE+W+S+N.I.

F517(1)No person holding a licence to provide digital programme services may, at any time before such day as the Secretary of State may by order appoint for the purposes of this paragraph, provide digital programme services by means of two or more television multiplex services if the number of points attributable to those digital programme services (calculated in accordance with this paragraph) exceeds the permitted maximum.E+W+S+N.I.

(2)Subject to sub-paragraphs (3) to (5), the number of points attributable to any digital programme service is two.

(3)Where—

(a)the population within the coverage area of a digital programme service is less than half of the population within the coverage area of the television multiplex service by means of which it is provided, or

(b)a digital programme service is provided by means of a television multiplex service designated by the Secretary of State by order under paragraph 5(5)(b) as a regional multiplex service, or

(c)average weekly air time in relation to a digital programme service is at least 12 hours but less than 50 hours, or

(d)in the case of a digital programme service which was first provided after the beginning of the relevant period, the applicant has notified the Commission of his intention to provide a service in relation to which average weekly air time will be at least 12 hours but less than 50 hours,

the number of points attributable to that digital programme service is one.

(4)Subject to sub-paragraph (5), where—

(a) average weekly air time in relation to a digital programme service is less than 12 hours, or

(b)in the case of a digital programme service which was first provided after the beginning of the relevant period, the applicant has notified the Commission of his intention to provide a service in relation to which average weekly air time will be less than 12 hours,

no points are attributable to that digital programme service.

(5)Where the average weekly air time in relation to each of two or more digital programme services (“the relevant services”) provided [F52by any one person by means of television multiplex services licenced under Part I of the Broadcasting Act 1996] is less than 12 hours, the relevant services shall be treated for the purposes of this paragraph as if they were one service with an average weekly air time equal to the aggregate of the average weekly air times in relation to the relevant services..

(6)For the purposes of sub-paragraphs (3) to (5), as they have effect in relation to the operation of sub-paragraph (1) at any time—

(a)the relevant period” means the period of 13 weeks ending with the last week falling wholly within the previous calendar month, and

(b)“average weekly air time”, in relation to a digital programme service, means the average number of hours per week for which the service has been broadcast during the relevant period;

and in this sub-paragraph “week” means a week ending with Saturday.

(7)The permitted maximum shall be determined by reference to the total number of points attributable to all digital programme services being provided [F53by means of television multiplex services licensed under Part I of the Broadcasting Act 1996], as follows—

(a)where the total number of points is not more than 10, the permitted maximum is 2,

(b)where the total number of points is more than 10 but less than [F5440], the permitted maximum is [F5410], and

(c)where the total number of points is [F5424] or more, the permitted maximum is one quarter of that total.

[F55(8)For the purposes of this paragraph a person who holds a licence to provide digital programme services and is a participant with more than a 20 per cent. interest in—

(a)a body corporate which also holds such a licence, or

(b)a body corporate which—

(i)for the purposes of Council Directive 89/552/EEC is under the jurisdiction of an EEA State other than the United Kingdom, and

(ii)provides digital programme services by means of a television multiplex service licensed under Part I of the Broadcasting Act 1996,

but who does not control that body, shall be taken to provide any digital programme services provided by that body.]

(9)The Secretary of State may by order amend this paragraph—

(a)by altering the number of points for the time being attributable to digital programme services falling within sub-paragraph (2), (3) or (4),

(b)by substituting a different number of hours for the number for the time being specified in sub-paragraph (3), (4) or (5),

(c)by substituting different numbers for any numbers for the time being specified in sub-paragraph (7), and

(d)by substituting a different percentage for the percentage for the time being specified in sub-paragraph (8).

(10)An order under this paragraph shall be subject to annulment in pursuance of a resolution of either House of Parliament.

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Amendments (Textual)

F51Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

F54Words in Sch. 2 Pt. III para. 7(7)(b)(c) substituted (14.11.1998) by S.I. 1998/2770, art. 2(a)(b)

Modifications etc. (not altering text)

C2Sch. 2 para. 7(1) restricted (21.11.2000) by S.I. 2000/2913, art. 2

Limits in relation to licences to provide radio servicesE+W+S+N.I.

F568(1)No one person may, at any time before such day as the Secretary of State may by order appoint for the purposes of this paragraph (in this paragraph referred to as “the appointed day”) hold two or more licences to provide services falling within one or more of the categories specified in paragraph 1(3)(a) or (b) such that the total number of points attributable to those services, calculated in accordance with paragraph 9, exceeds 15 per cent. of the total number of points so calculated attributable to all such services in respect of which licences are in force or have been awarded.E+W+S+N.I.

(2)No one person may, at any time on or after the appointed day—

(a)hold two or more licences to provide services falling within one or more of the categories specified in paragraph 1(3)(a), (b) or (g) such that the total number of points attributable to those services, calculated in accordance with paragraph 9, exceeds 15 per cent. of the total number of points so calculated attributable to—

(i)all national or local radio services in respect of which licences are in force or have been awarded, and

(ii) all national or local digital sound programme services which are being provided, or

(b)hold a licence to provide services falling within the category specified in paragraph 1(3)(g) and provide two or more services falling within that category such that the total number of points attributable to those services, calculated in accordance with paragraph 9, exceeds 15 per cent. of the total number of points so calculated attributable to all the services referred to in paragraph (a)(i) or (ii).

(3)Before making an order appointing a day for the purposes of this paragraph, the Secretary of State shall consult the Authority.

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Amendments (Textual)

F56Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Calculation of points for purposes of paragraph 8E+W+S+N.I.

F579(1)For the purposes of paragraph 8, to the categories of national or local radio services and national or local digital sound programme services set out in the Table below there shall be attributed points according to that Table.E+W+S+N.I.

TABLE

Category of servicePoints
National radio service or national digital sound programme service25
Category A local radio service or Category A local digital sound programme service15
Category B local radio service or Category B local digital sound programme service8
Category C local radio service or Category C local digital sound programme service3
Category D local radio service or Category D local digital sound programme service1

(2)For the purposes of the Table a local radio service or local digital sound programme service falls—

(a)into category A if the number of persons over the age of 15 resident in the coverage area of that service exceeds 4.5 million;

(b)into category B if the number of such persons exceeds 1 million but does not exceed 4.5 million;

(c)into category C if the number of such persons exceeds 400,000 but does not exceed 1 million; and

(d)into category D if the number of such persons does not exceed 400,000.

(3)No points shall be attributed to a national or local digital sound programme service unless the service is being provided.

(4)In the case of a national or local radio service provided on an amplitude modulated (AM) frequency the relevant number of points attributable to the service by virtue of the Table shall be reduced by one third.

(5)A service which, on the day on which the licence to provide it is granted, falls into a particular category for the purposes of the Table shall continue to be regarded as falling into that category so long as any increase or decrease in the relevant number of persons over the age of 15 (which would otherwise take the service outside that category) does not exceed 10 per cent.

(6)A person who is a participant with more than a 20 per cent. interest in a body corporate which is the holder of a licence to provide a national or local radio service, but who does not control that body, shall for the purposes of paragraph 8 be treated as the holder of a licence to provide a national or local service to which one half of the points which would otherwise be attributable to such a service are attributed.

(7) A person who is a participant with more than a 20 per cent. interest in a body corporate which provides a national or local digital sound programme service, but who does not control that body, shall for the purposes of paragraph 8 be treated as providing a national or local digital sound programme service to which one half of the points which would otherwise be attributable to such a service are attributed.

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Amendments (Textual)

F57Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Modifications etc. (not altering text)

Power to amend paragraphs 8 and 9E+W+S+N.I.

F5810(1)The Secretary of State may by order make such amendments of paragraphs 8 and 9 as he thinks fit for the purposes of including restricted radio services among the services referred to in any provision of paragraph 8 and of providing for the calculation of the points to be attributed to any such service, or any category of such service.E+W+S+N.I.

(2)The Secretary of State may by order amend paragraph 9—

(a)by substituting different categories for the categories for the time being set out in the Table in sub-paragraph (1) and in sub-paragraph (2) or adding further categories,

(b)by substituting a different number of points for the number of points for the time being attributed to each category,

(c)by substituting different population figures for those for the time being specified in sub-paragraph (2),

(d)by substituting a different age for the age for the time being specified in sub-paragraph (2)(a) and (5),

(e)by substituting a different fraction for the fraction for the time being specified in sub-paragraph (4) or repealing that sub-paragraph, or

(f)by substituting a different percentage for the percentage for the time being specified in sub-paragraphs (6) and (7) in relation to an interest in a body corporate or a different fraction for the fraction for the time being specified in those sub-paragraphs in relation to the points to be attributed to a person falling within either of those sub-paragraphs.

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Amendments (Textual)

F58Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73 Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Limits in relation to licences to provide national radio services, radio multiplex services or digital sound programme servicesE+W+S+N.I.

F5911(1)No one person may at any time hold more than one licence to provide a national radio service.E+W+S+N.I.

(2)No one person may at any time—

(a)hold more than one licence to provide a national radio multiplex service, or

(b)hold a licence to provide national digital sound programme services and provide more than one national digital sound programme service.

(3)For the purposes of sub-paragraph (2)(a) a person who is a participant with more than a 20 per cent. interest in a body corporate which holds a licence to provide a radio multiplex service but does not control that body shall be treated as holding the licence held by that body.

(4)No one person may at any time—

(a) hold a licence to provide a radio multiplex service and be a participant with more than a [F6020 per cent.]interest in [F60more than four bodies corporate] which holds any other such licence, or

(b)be a participant with more than a [F6120 per cent.] interest in each of [F61six or more bodies corporate] which hold such licences.

(5)The Secretary of State may by order—

(a)amend sub-paragraph (1), (2) or (4) by substituting a different numerical limit for any numerical limit for the time being specified there, and

(b)amend sub-paragraph (3) or (4) by substituting a different percentage for any percentage for the time being specified there.

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Amendments (Textual)

F59Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

F60Words in Sch. 2 Pt. III para. 11(4)(a) substituted (1.7.1999) by S.I. 1999/995, art. 2(2)

F61Words in Sch. 2 Pt. III para. 11(4)(b) substituted (1.7.1999) by S.I. 1999/995, art. 2(3)

Limits in relation to licences to provide local radio services in overlapping areasE+W+S+N.I.

F6212(1)No one person may at any time hold any two licences to provide local radio services which share a potential audience unless either—E+W+S+N.I.

(a)one of the licences is an AM licence and the other is an FM licence, or

(b) the Authority have determined that in all the circumstances, having regard to the matters specified in sub-paragraph (4), the holding by that person of the licences in question could not be expected to operate against the public interest within the area concerned.

(2)No one person may at any time hold any three licences to provide local radio services any of which shares a potential audience with each of the other two services unless—

(a)the licences include both an AM licence and an FM licence, and

(b)the Authority have determined that in all the circumstances, having regard to the matters specified in sub-paragraph (4), the holding by that person of the licences in question could not be expected to operate against the public interest within the area concerned.

(3)No one person may at any time hold any four or more licences to provide local radio services any of which shares a potential audience with each of the other services.

(4)The matters referred to in sub-paragraphs (1) and (2) are—

(a) any reduction in plurality of ownership of local radio services within the area concerned that would result from a decision to allow the licences to be held together, and

(b)the likely effect of such a decision on—

(i)the range of programmes available by way of independent radio services to persons living in the area concerned, and

(ii)diversity in the sources of information available to the public in the area concerned and in the opinions expressed on local radio services received in that area.

(5)For the purposes of this paragraph two local radio services share a potential audience if, but only if, the potential audience of one service includes more than half of the potential audience of the other service.

(6)This paragraph has effect subject to paragraph 13.

(7)In this paragraph—

  • AM licence” means a licence to provide a local radio service on an amplitude modulated frequency,

  • FM licence” means a licence to provide such a service on a frequency modulated frequency, and

  • potential audience”, in relation to a local radio service, means the persons over the age referred to in paragraph 9(2)(a) who reside in the coverage area of that service.

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Amendments (Textual)

F62Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Power by order to impose different restrictions in place of paragraph 12E+W+S+N.I.

F6313The Secretary of State may by order provide that, where a digital sound programme service is provided in any area, the holding by any one person of two or more licences to provide in that area local radio services which for the purposes of paragraph 12 share a potential audience with each other or with each of the others shall, instead of being subject to the restrictions specified in paragraph 12, be subject to other restrictions specified in the order.E+W+S+N.I.

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Amendments (Textual)

F63Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Limits in relation to provision of local digital sound programme servicesE+W+S+N.I.

F6414(1)Subject to sub-paragraph (2), no one person holding a licence to provide local digital sound programme services may at any time provide more than one non-simulcast service by means of a particular local radio multiplex service.E+W+S+N.I.

(2)Where—

(a)the coverage area of the local radio multiplex service is to a significant extent the same as that of another local radio multiplex service, and

(b) the person concerned is not providing any non-simulcast service by means of that other local radio multiplex service,

sub-paragraph (1) shall have effect as if the reference to one non-simulcast service were a reference to two such services.

(3)In this paragraph “non-simulcast service” means any local digital sound programme service other than one which—

(a)is provided by a person who holds a licence to provide a local radio service, and

(b)corresponds to that local radio service.

(4)For the purposes of sub-paragraph (3)(b) a local digital sound programme service corresponds to a local radio service if, and only if, in every calendar month—

(a)at least 80 per cent. of so much of the local radio service as consists of programmes, consists of programmes which are also included in the local digital sound programme service in that month, and

(b) at least 50 per cent. of so much of the local radio service as consists of such programmes is broadcast at the same time on both services.

(5)The Secretary of State may by order—

(a)amend sub-paragraphs (1) and (2) by substituting a different numerical limit for any numerical limit for the time being specified there, and

(b)amend sub-paragraph (4)(a) or (b) by substituting a different percentage for any percentage for the time being specified there.

(6)In subsection (4) “programme” does not include an advertisement.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F64Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Further restrictions on holding of licences of different descriptionsE+W+S+N.I.

F6515(1)No one person may at any time hold—E+W+S+N.I.

(a)a licence to provide a national Channel 3 service or Channel 5, and

(b) a licence to provide a national radio service.

(2)No one person may at any time hold—

(a) a licence to provide a local radio service or local digital sound programme services, and

(b)a licence to provide a regional Channel 3 service whose coverage area is to a significant extent the same as that of the local radio service or of any local digital sound programme service provided by him.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F65Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Power to impose additional limits in relation to licences to provide television or radio servicesE+W+S+N.I.

F6616(1)The Secretary of State may, in the case of—E+W+S+N.I.

(a)any category of relevant services specified in paragraph [F671(2)(b), (d) or (f)], or

(b)any category of relevant services specified in paragraph 1(3)(c) or (e),

by order prescribe the maximum number of licences which may at any time be held by any one person to provide relevant services falling within that category.

(2)The Secretary of State may by order impose, in relation to any category of relevant services specified in paragraph 1(2)(a) or (b) or paragraph 1(3)(a), (b) or (f) or under sub-paragraph (1), limits on the holding of licences to provide relevant services falling within that category which are additional to the limits specified in paragraphs 2 to 15 or under that sub-paragraph and are framed—

(a)by reference to any specified circumstances relating to the holders of the licences in question or to the services to be provided under them, or

(b) (in the case of licences granted by the Commission) by reference to matters determined by them under the order.

(3)Without prejudice to the generality of sub-paragraph (2), an order made under that sub-paragraph may impose on the holder of a licence to provide any specified category of relevant services specified in paragraph 1(3) limits framed (directly or indirectly) by reference to either or both of the following matters, namely—

(a)the number of licences of any one or more specified descriptions which are held by him or by any body controlled by him; and

(b) his participation, to any specified extent, in any body corporate which is the holder of any licence or licences of any one or more such descriptions.

(4)Where a person holds—

F68(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b)a licence to provide a [F69satellite television] service, or

(c)a licence to provide a satellite radio service,

which, in accordance with section F70. . ., 45(3) or 86(2), authorises the provision of a multichannel service, he shall be treated for the purposes of any order under sub-paragraph (1) as holding such number of licences to provide [F71satellite television services] or (as the case may be) satellite radio services as corresponds to the number of channels on which the service may be provided.

(5)In sub-paragraph (4)—

(a)multichannel service” means a service which to any extent consists in the simultaneous transmission of different programmes on different frequencies; and

(b)any reference to the number of channels on which such a service may be provided is a reference to the number of different frequencies involved.

(6)Where a person who holds a licence to provide any of the services specified in sub-paragraph [F72(4)(b) or (c)]provides that service by broadcasting two or more programmes simultaneously in digital form on a single frequency, he shall be treated for the purposes of any order under sub-paragraph (1) as holding such number of licences as corresponds to the number of programmes that are simultaneously transmitted.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F66Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

Connected personsE+W+S+N.I.

F7317(1)Subject to sub-paragraph (2), for the purposes of—E+W+S+N.I.

(a)paragraphs 2 to 15, and

(b)any order under paragraph 13 or 16(1) or (2),

a person shall be treated as holding a licence if the licence is held by a person connected with him and shall be treated as providing a service if the service is provided by a person connected with him.

(2)For the purposes of paragraph 12 and any order under paragraph 13, a person shall not be treated as holding a licence to provide a local radio service merely because he is a director of a body corporate which holds the licence.

(3)Any provision of paragraphs 2 to 14 which refers to a person’s participation in a body corporate shall have effect as if he and every person connected with him were one person.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F73Sch. 2 Pt. III substituted (1.11.1996 except so far as relating to paras. 1(2)(b), 2(7) and otherwise 1.4.1997) by 1996 c. 55, s. 73 Sch. 2 Pt. III para. 10 (with s. 43(1)(6)); S.I. 1996/2120, art. 5, Sch. 2; S.I. 1997/1005, art. 4

[F74Part IVE+W+S+N.I. Restrictions on Controlling Interests in Both Newspapers and Licensed Services]

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F74Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

[F75Meaning of “ relevant authority”E+W+S+N.I.

Annotations: Help about Annotation
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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F75Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

  • In this Part of this Schedule “the relevant authority”—

    (a)

    in relation to any restriction having effect in relation to any licence which has been or may be granted by the Commission, means the Commission, and

    (b)

    in relation to any restriction having effect in relation to any licence which has been or may be granted by the Authority, means the Authority.]

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F76Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

National and local newspapers and their respective national and local market sharesE+W+S+N.I.

F772(1)In this Part of this Schedule references to a national or local newspaper are (subject to sub-paragraph (3)) references to a national or local newspaper circulating wholly or mainly in the United Kingdom or in a part of the United Kingdom.E+W+S+N.I.

(2)Where a newspaper is published in different regional editions on the same day, the relevant authority may determine, having regard to all the circumstances, whether those regional editions are to be treated for the purposes of this Part of this Schedule as constituting one national newspaper, two or more local newspapers or one national newspaper and one or more local newspapers.

(3)The relevant authority may determine that a newspaper which would otherwise be neither a national nor a local newspaper for the purposes of this Part of this Schedule shall be treated as a national or (as the case may be) a local newspaper for the purposes of any particular restriction imposed by or under this Part of this Schedule if it appears to them to be appropriate for the newspaper to be so treated having regard to its circulation or influence in the United Kingdom or (as the case may be) in a part of the United Kingdom.

(4)For the purposes of this Part of this Schedule, the “national market share” of any national newspaper at any time in a calendar month is the total number of copies of that newspaper sold in the United Kingdom in the six months ending with the last day of the previous month, expressed as a percentage of the total number of copies of all national newspapers sold in the United Kingdom in those six months.

(5)For the purposes of this Part of this Schedule, the “local market share” of any local newspaper in any area at any time in a calendar month is the total number of copies of that newspaper sold in that area in the six months ending with the last day of the previous month, expressed as a percentage of the total number of copies of all local newspapers sold in that area in those six months.

(6)For the purposes of sub-paragraphs (4) and (5), the relevant authority may estimate the numbers of copies of any newspaper sold in the United Kingdom, or in any area, during any period in such manner, or by reference to such statistics prepared by any other person, as they think fit.

(7)In relation to any newspaper which is distributed free of charge rather than being sold, references in sub-paragraphs (4) to (6) to the number of copies sold shall have effect as references to the number of copies distributed.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F77Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Other interpretative provisionsE+W+S+N.I.

F783(1)For the purposes of this Part of this Schedule a person runs a national or local newspaper if—E+W+S+N.I.

(a)he is the proprietor of the newspaper, or.

(b)he controls a body which is the proprietor of the newspaper.,

(2)Paragraph 1(4) in Part III of this Schedule shall have effect for the purposes of this Part of this Schedule as it has effect for the purposes of Part III.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F78Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Restrictions on common control etc.E+W+S+N.I.

F794(1)No person who runs a national newspaper which for the time being has, or national newspapers which for the time being together have, a national market share of 20 per cent. or more may hold a licence to provide—E+W+S+N.I.

(a)a regional or national Channel 3 service or Channel 5, or

(b)a national or local radio service.

(2)A licence to provide a regional Channel 3 service may not be held by a person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in the coverage area of the service.

(3)A licence to provide digital programme services may not be held by a person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in the coverage area of any digital programme service provided under the licence.

(4)For the purposes of this paragraph a person shall be treated as holding a licence if the licence is held by a person connected with him.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F79Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Restrictions on participationE+W+S+N.I.

F805(1)No proprietor of a national newspaper which for the time being has, or of national newspapers which for the time being together have, a national market share of 20 per cent. or more shall be a participant with more than a 20 per cent. interest in a body corporate which is the holder of a licence to provide any of the services specified in sub-paragraph (4).E+W+S+N.I.

(2)No person who is the holder of a licence to provide any of the services specified in sub-paragraph (4) shall be a participant with more than a 20 per cent. interest in a body corporate which runs a national newspaper which has, or two or more national newspapers which together have, a national market share of 20 per cent. or more..

(3)No body corporate in which a person who runs a national newspaper which has, or national newspapers which together have, a national market share of 20 per cent. or more is a participant with more than a 20 per cent. interest, shall be a participant with more than a 20 per cent. interest in a body corporate which holds a licence to provide any of the services specified in sub-paragraph (4).

(4)The services referred to in sub-paragraphs (1), (2) and (3) are—

(a)a regional or national Channel 3 service or Channel 5, and

(b)national or local radio services.

(5)The Secretary of State may by order amend sub-paragraph (1), (2) or (3) by substituting a different percentage interest in a body corporate for the percentage for the time being specified there.

(6)Any restriction imposed by this paragraph on participation in a body corporate which is the holder of a particular kind of licence shall apply equally to participation in a body corporate which controls the holder of such a licence.

(7)Any restriction on participation imposed by this paragraph—

(a)on the proprietor of any newspaper, or

(b)on the holder of any licence,

shall apply as if he and every person connected with him were one person.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F80Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Holding of local radio licence by person running local newspapers with at least 50 per cent local market shareE+W+S+N.I.

F816(1)A licence to provide a local radio service may not be held by a person who runs a local newspaper which has, or local newspapers which for the time being together have, a local market share of 50 per cent. or more in the coverage area of the service unless—E+W+S+N.I.

(a) the service in question shares a potential audience with another local radio service, but

(b)he does not hold any other licence to provide a local radio service whose coverage area is to any extent the same as the coverage area of the service in question.

(2)The reference in sub-paragraph (1) to sharing a potential audience shall be construed in accordance with paragraph 12(5) in Part III of this Schedule..

(3)For the purposes of this paragraph a person shall be treated as holding a licence if the licence is held by a person connected with him.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F81Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Further restrictions on holding of local radio licences by a person who runs a local newspaperE+W+S+N.I.

F827(1)No person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in each of the relevant areas may hold any three licences to provide local radio services any of which shares a potential audience with each of the other services.E+W+S+N.I.

(2)No person who runs a local newspaper which for the time being has, or local newspapers which for the time being together have, a local market share of 20 per cent. or more in both the relevant areas may hold any two licences to provide local radio services which share a potential audience, unless one of the licences is an AM licence and the other is an FM licence.

(3)In sub-paragraphs (1) and (2)—

(a)the relevant areas” means the coverage areas of the local radio services in question,

(b)references to sharing a potential audience shall be construed in accordance with sub-paragraph (5) of paragraph 12 in Part III of this Schedule, and

(c)AM licence” and “FM licence” have the same meaning as in that paragraph.

(4)For the purposes of this paragraph a person shall be treated as holding a licence if the licence is held by a person connected with him.

(5)This paragraph has effect subject to paragraph 8.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F82Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Power by order to impose different restrictions in place of paragraph 7E+W+S+N.I.

F838(1)The Secretary of State may by order provide that, where a digital sound programme service is provided in any area, the holding, by a person who runs a local newspaper or local newspapers as mentioned in paragraph 7(1), of two or more licences to provide in that area local radio services which for the purposes of paragraph 7 share a potential audience with each other or with each of the others shall, instead of being subject to the restrictions specified in paragraph 7, be subject to other restrictions specified in the order.E+W+S+N.I.

(2)For the purposes of any order under sub-paragraph (1), a person shall be treated as holding a licence if the licence is held by a person connected with him.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F83Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73 Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Additional restrictions applying where control of or by newspaper proprietor may operate against public interestE+W+S+N.I.

F849(1)A licence to provide any of the services specified in sub-paragraph (4) may not be granted to a body corporate which is, or is connected with, the proprietor of a national or local newspaper if the relevant authority determine that in all the circumstances the holding of the licence by that body corporate could be expected to operate against the public interest.E+W+S+N.I.

(2)Subject to sub-paragraph (3), a body corporate which holds a licence to provide any of the services specified in sub-paragraph (4) shall not become, or become connected with, the proprietor of a national or local newspaper and continue to hold the licence if the relevant authority determine within the permitted period that in all the circumstances the continued holding of the licence by that body corporate operates, or could be expected to operate, against the public interest.

(3)Sub-paragraph (2) does not apply in any case where the body corporate holding the licence—

(a)is already the proprietor of some other national or local newspaper, or is already connected with such a proprietor, and

(b)does not become connected with any other person who holds a licence to provide any of the services specified in sub-paragraph (4).

(4)The services referred to in sub-paragraphs (1) to (3) are—

(a)a national Channel 3 service or Channel 5,

(b)a national radio service, and

(c)national digital sound programme services.

(5)Subject to sub-paragraph (6), in this paragraph “the permitted period” means a period beginning with the day on which the licence holder becomes, or becomes connected with, the proprietor of the national or local newspaper (“the relevant day”) and ending—

(a)in a case where the licence holder has, before the relevant day, notified the relevant authority that he will become, or become connected with, the proprietor of that national or local newspaper on that day, at the end of the period of three months beginning with the relevant day, or

(b)in any other case, at the end of the period of three months beginning with the day on which the licence holder notifies the relevant authority that he has become, or has become connected with, the proprietor of that national or local newspaper.

(6)The relevant authority may in a particular case, after consultation with the licence holder, notify him, before the time when the permitted period would (apart from this sub-paragraph) have ended, that the permitted period in that case is to be calculated as if the references in sub-paragraph (5) to three months were references to such longer period specified in the notification as the relevant authority reasonably consider necessary in the circumstances.

(7)Nothing in any of the preceding provisions of this Schedule shall be construed as affecting the operation of this paragraph or paragraph 10 or 11.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F84Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

F8510(1)A licence to provide a regional Channel 3 service or a local radio service may not be granted to a body corporate which is, or is connected with, the proprietor of a national newspaper or a relevant local newspaper if the relevant authority determine that in all the circumstances the holding of the licence by that body corporate could be expected to operate against the public interest.E+W+S+N.I.

(2)Subject to sub-paragraph (3), a body corporate which holds a licence to provide a regional Channel 3 service or a local radio service shall not become, or become connected with, the proprietor of a national newspaper and continue to hold the licence if the relevant authority determine within the permitted period that in all the circumstances the continued holding of the licence by that body corporate operates, or could be expected to operate, against the public interest.

(3)Sub-paragraph (2) does not apply in any case where the body corporate holding the licence—

(a)is already the proprietor of some other national newspaper or is already connected with such a proprietor, and

(b)does not become connected with—

(i)any other person who holds a licence to provide a regional Channel 3 service or a local radio service, or

(ii)any person who holds a licence to provide digital programme services and is providing a service under that licence.

(4)Subject to sub-paragraph (5), a body corporate which holds a licence to provide a regional Channel 3 service or a local radio service shall not become, or become connected with, the proprietor of a relevant local newspaper and continue to hold the licence if the relevant authority determine within the permitted period that in all the circumstances the continued holding of the licence by that body corporate operates, or could be expected to operate, against the public interest.

(5)Sub-paragraph (4) does not apply in any case where the body corporate which holds the licence—

(a)is already the proprietor of some other local newspaper which is a relevant local newspaper in relation to the service referred to in that sub-paragraph, or is already connected with such a proprietor, and

(b)does not become connected with—

(i) any other person who holds a licence to provide a regional Channel 3 service or local radio service in relation to which that other local newspaper is also a relevant local newspaper, or

(ii)any person who holds a licence to provide digital programme services and is providing a service under that licence in relation to which that other local newspaper is also a relevant local newspaper.

(6)For the purposes of this paragraph a local newspaper is a “relevant local newspaper”, in relation to any service, if it serves an area which is to a significant extent the same as the coverage area of the service..

(7)In this paragraph “the permitted period” has the meaning given by paragraph 9(5) and (6).

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Amendments (Textual)

F85Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

F8611(1)A body corporate which holds a licence to provide digital programme services and is, or is connected with, the proprietor of a national newspaper or a relevant local newspaper, shall not begin to provide a digital programme service if the Commission determine before the end of the period specified in sub-paragraph (2) that in all the circumstances the provision of that service by that body corporate could be expected to operate against the public interest.E+W+S+N.I.

(2)The period referred to in sub-paragraph (1) is the period of three months beginning with the day on which the Commission are notified pursuant to section 19(3) of the 1996 Act of an agreement to provide the digital programme service, or such longer period beginning with that day as the Commission may in a particular case, after consultation with the licence holder, notify him during those three months as being the period which they reasonably consider necessary in the circumstances.

(3)Subject to sub-paragraph (4), a body corporate which is providing a digital programme service shall not become, or become connected with, the proprietor of a national newspaper and continue to provide the service if the Commission determine within the permitted period that in all the circumstances the continued provision of the service by that body corporate operates, or could be expected to operate, against the public interest.

(4)Sub-paragraph (3) does not apply in any case where the body corporate which is providing the digital programme service—

(a)is already the proprietor of some other national newspaper or is already connected with such a proprietor, and

(b)does not become connected with—

(i)the holder of a licence to provide a regional Channel 3 service or a local radio service, or

(ii) the holder of another licence to provide digital programme services who is providing a service under that licence.

(5)Subject to sub-paragraph (6), a body corporate which is providing a digital programme service shall not become, or become connected with, the proprietor of a relevant local newspaper and continue to provide the service if the Commission determine within the permitted period that in all the circumstances the continued provision of the service by that body corporate operates, or could be expected to operate, against the public interest.

(6)Sub-paragraph (5) does not apply in any case where the body corporate which is providing the digital programme service—

(a)is already the proprietor of some other local newspaper which is a relevant local newspaper in relation to the service referred to in that sub-paragraph, or is already connected with such a proprietor, and

(b)does not become connected with—

(i)the holder of a licence to provide a regional Channel 3 service or local radio service in relation to which that other local newspaper is also a relevant local newspaper, or

(ii)the holder of another licence to provide digital programme services who is providing a service under that licence in relation to which that other local newspaper is also a relevant local newspaper.

(7)In this paragraph—

(a) references to a relevant local newspaper shall be construed in accordance with paragraph 10(6), and

(b)the permitted period” has the meaning given by paragraph 9(5) and (6).

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Amendments (Textual)

F86Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

F8712(1)Notice may be given to the relevant authority in accordance with this paragraph of proposed arrangements which might result—E+W+S+N.I.

(a)in the application of paragraph 9(2) to a body corporate which holds a licence to provide any of the services specified in paragraph 9(4),

(b)in the application of paragraph 10(2) or (4) to a body corporate which holds a licence to provide a regional Channel 3 service or a local radio service, or

(c)in the application of paragraph 11(1), (3) or (5) to a body corporate which holds a licence to provide digital programme services.

(2)A notice under sub-paragraph (1)—

(a)may be given by the licence holder or any other person appearing to the relevant authority to be concerned,

(b)shall state that the existence of the proposal has been made public, and

(c)shall be in such form as the relevant authority may require.

(3)The relevant authority may, at any time before making a determination under this paragraph, require the person who gave the notice to provide them with such further information with respect to the notified arrangements as they think fit.

(4)The relevant authority shall, as soon as reasonably practicable, determine whether in all the circumstances, if the notified arrangements were carried into effect, the continued holding of the licence by the body corporate could be expected to operate against the public interest.

(5)If—

(a)the relevant authority determine, in relation to any notified arrangements, that the fact referred to in sub-paragraph (4) could not be expected to operate against the public interest, and

(b)the notified arrangements are carried into effect within the period of 12 months beginning with the date of the determination,.

the relevant authority may not make any determination under paragraph 9(2), 10(2) or (4) or 11(1), (3) or (5) arising out of the carrying into effect of the notified arrangements.

(6)Sub-paragraph (5) does not prevent any determination under paragraph 9(2), 10(2) or (4) or 11(1), (3) or (5) being made if—

(a)any information given to the relevant authority in respect of the notified arrangements by the person who gave the notice is in any material respect false or misleading, or

(b)since the making of the determination there has been a material change of circumstances (other than such a change of which notice was given to the relevant authority under sub-paragraph (3) before the making of the determination).

(7)In this paragraph “the notified arrangements” means the arrangements mentioned in the notice under sub-paragraph (1) or arrangements not differing from them in any material respect.

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Amendments (Textual)

F87Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

F8813(1)The matters to which the relevant authority shall have regard in determining, for the purposes of paragraph 9, 10, 11 or 12, whether the holding of a licence by a body corporate which is, or is connected with, the proprietor of a newspaper operates, or could be expected to operate, against the public interest include—E+W+S+N.I.

(a)the desirability of promoting—

(i)plurality of ownership in the broadcasting and newspaper industries, and

(ii)diversity in the sources of information available to the public and in the opinions expressed on television or radio or in newspapers,

(b)any economic benefits (such as, for example, technical development or an increase in employment or in the value of goods or services exported) that might be expected to result from the holding of the licence by that body but could not be expected to result from the holding of the licence by a body corporate which was not, and was not connected with, the proprietor of a newspaper, and

(c)the effect of the holding of the licence by that body on the proper operation of the market within the broadcasting and newspaper industries or any section of them

(2)References in paragraphs 9, 10, 11 and 12 to the public interest include references to the public interest within any area of the United Kingdom.

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Amendments (Textual)

F88Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

  • In relation to any determination under paragraph 11(1), (3) or (5), references in paragraphs 12 and 13 to the holding of the licence shall have effect as references to the provision of the service.

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Amendments (Textual)

F89Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Restricted television servicesE+W+S+N.I.

F9015(1)The Secretary of State may by order—E+W+S+N.I.

(a)prescribe restrictions on the holding of one or more licences to provide restricted television services by a person who runs a national or local newspaper, and

(b)apply any of the provisions of paragraphs 9 to 13, with such modifications as may be specified in the order, in relation to the holding of a licence to provide a restricted television service.

(2)Any order under sub-paragraph (1) may provide that, for the purposes of any provision of the order, a person is to be treated as holding a licence if the licence is held by a person connected with him.

(3) In this paragraph “restricted television service” means a restricted service within the meaning of Part I of this act.

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Amendments (Textual)

F90Sch. 2 Pt. IV substituted (10.8.1996 for certain purposes, 1.11.1996 for certain further purposes and otherwise 1.4.1997) by 1996 c. 55, s. 73, Sch. 2 Pt. III para. 11 (with s. 43(1)(6)); S.I. 1996/2120, arts. 3, 5, Sch. 2; S.I. 1997/1005, art. 4

Part VE+W+S+N.I. Restriction on Holding of Licences by Operators of Public Telecommunication Systems

The Secretary of State may by order specify categories of licences granted by the Commission or the Authority which may not be held by all or any of the following, namely—

(a)a national public telecommunications operator or a national public telecommunications operator of any description specified in the order;

(b)a person who controls such an operator;

(c)an associate of such an operator or of a person falling within sub-paragraph (b);

(d)a body which is controlled by such an operator or by an associate of such an operator.

In this paragraph “national public telecommunications operator” means a public telecommunications operator (within the meaning of the M4Telecommunications Act 1984) who is authorised to run a telecommunication system for the whole, or substantially the whole, of the United Kingdom.

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Marginal Citations

Section 23.

SCHEDULE 3E+W+S+N.I. The Channel Four Television Corporation: Supplementary Provisions

Status and capacityE+W+S+N.I.

1(1)The Corporation shall be a body corporate.E+W+S+N.I.

(2)The Corporation shall not be treated for the purposes of the enactments and rules of law relating to the privileges of the Crown as a body exercising functions on behalf of the Crown.

(3)It shall be within the capacity of the Corporation as a statutory corporation to do such things and enter into such transactions as are incidental or conducive to the discharge of their functions under this Act, including the borrowing of money.

[F91(4)Section 24(5)(b) of this Act shall not be taken to limit the Corporation’s power by virtue of sub-paragraph (3) to do such things and enter into such transactions as are incidental or conducive to the discharge of their functions under section 24(1) or (5)(a).]

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Amendments (Textual)

Appointment of membersE+W+S+N.I.

2(1)A person shall be disqualified for being a member of the Corporation so long as he is—E+W+S+N.I.

(a)a governor or employee of the BBC;

(b)a member or employee of the Commission;

(c)a member or employee of the Radio Authority established by this Act; [F92or

(d)a member or employee of the Broadcasting Standards Commission.]

(2)Before appointing a person to be a member of the Corporation, the Commission shall satisfy themselves that that person will have no such financial or other interest as is likely to affect prejudicially the discharge by him of his functions as a member of the Corporation; and the Commission shall also satisfy themselves from time to time with respect to every member of the Corporation that he has no such interest.

(3)Any person who is, or whom the Commission propose to appoint to be, a member of the Corporation shall, whenever requested by the Commission to do so, furnish them with such information as they consider necessary for the performance by them of their duties under sub-paragraph (2).

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Amendments (Textual)

F92Sch. 3 para. 2(1)(d) and the word “or”immediately preceding it substituted (1.4.1997) for Sch. 3 para. 2(1)(d)(e) by 1996 c. 55, s. 148(1), Sch. 10 Pt. II para. 23 (with s. 43(1)(6)); S.I. 1997/1005, art. 4

Tenure of officeE+W+S+N.I.

3(1)Subject to the following provisions of this paragraph, each member of the Corporation shall hold and vacate office in accordance with the terms of his appointment.E+W+S+N.I.

(2)A person shall not be appointed to be a member of the Corporation for more than five years at a time.

(3)Any member of the Corporation may at any time resign his office by notice to the Commission.

(4)This paragraph does not apply in relation to ex-officio members of the Corporation.

Remuneration and pensions of membersE+W+S+N.I.

4(1)The Corporation may pay —E+W+S+N.I.

(a)to each member other than an ex-officio member such remuneration and allowances, and

(b)to each ex-officio member such allowances,

as the Commission may determine.

(2)The Corporation may pay or make provision for paying to or in respect of any member such sums by way of pensions, allowances or gratuities as the Commission may determine.

(3)Where a person ceases to be a member otherwise than on the expiry of his term of office and it appears to the Commission that there are special circumstances which make it right for him to receive compensation, the Corporation may make a payment to him of such amount as the Commission may determine.

(4)Sub-paragraphs (2) and (3) do not apply in relation to ex-officio members of the Corporation.

(5)The approval of the Treasury shall be required for any determination under this paragraph other than a determination under sub-paragraph (1) having effect in relation to an ex-officio member of the Corporation.

Disqualification of members of Corporation for House of Commons and Northern Ireland AssemblyE+W+S+N.I.

5In Part II of Schedule 1 to the M5House of Commons Disqualification Act 1975 (bodies of which all members are disqualified) there shall be inserted at the appropriate place—E+W+S+N.I.

The Channel Four Television Corporationand a corresponding amendment shall be made in Part II of Schedule 1 to the M6Northern Ireland Assembly Disqualification Act 1975.

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Marginal Citations

ProceedingsE+W+S+N.I.

6(1)Subject to paragraph 7, the quorum of the Corporation and the arrangements relating to their meetings shall be such as the Corporation may determine.E+W+S+N.I.

(2)The arrangements may, with the approval of the Commission, provide for the discharge, under the general direction of the Corporation, of any of the Corporation’s functions by a committee or by one or more of the members or employees of the Corporation.

7(1)A member who is in any way directly or indirectly interested in any matter that is brought up for consideration at a meeting of the Corporation shall disclose the nature of his interest to the meeting; and, where such a disclosure is made—E+W+S+N.I.

(a)the disclosure shall be recorded in the minutes of the meeting, and

(b)(subject to sub-paragraph (2)) the member shall not take any part in any deliberation or decision of the Corporation, or of any of their committees, with respect to that matter.

(2)Sub-paragraph (1)(b) shall not apply in relation to any meeting of the Corporation at which all of the other members present resolve that the member’s interest should be disregarded for the purposes of that provision.

(3)For the purposes of sub-paragraph (1), a general notification given at a meeting of the Corporation by a member to the effect that he is a member of a specified company or firm and is to be regarded as interested in any matter involving that company or firm shall be regarded as a sufficient disclosure of his interest in relation to any such matter.

(4)A member need not attend in person at a meeting of the Corporation in order to make a disclosure which he is required to make under this paragraph if he takes reasonable steps to secure that the disclosure is made by a notice which is taken into consideration and read at the meeting.

(5)In this paragraph references to a meeting of the Corporation include references to a meeting of any of their committees.

8The validity of any proceedings of the Corporation shall not be affected by any vacancy among the members or by any defect in the appointment of a member or by any failure to comply with the requirements of paragraph 7.E+W+S+N.I.

Employees of the CorporationE+W+S+N.I.

9(1)The Corporation shall appoint a chief executive of the Corporation, and may appoint such other employees as they may determine.E+W+S+N.I.

(2)If the Corporation determine to do so in the case of any of their employees, the Corporation shall pay to or in respect of those employees such pensions, allowances or gratuities, or provide and maintain for them such pension schemes (whether contributory or not), as the Corporation may determine.

(3)If any employee of the Corporation—

(a)is a participant in any pension scheme applicable to his employment, and

(b)becomes a member of the Corporation other than an ex-officio member,

he may, if the Commission so determine, be treated for the purposes of the pension scheme as if his service as a member of the Corporation were service as an employee of the Corporation.

Authentication of Corporation’s sealE+W+S+N.I.

10The application of the seal of the Corporation shall be authenticated by the signature of the chairman or of some other person authorised for the purpose.E+W+S+N.I.

Presumption of authenticity of documents issued by CorporationE+W+S+N.I.

11Any document purporting to be an instrument issued by the Corporation and to be duly executed under the seal of the Corporation or to be signed on behalf of the Corporation shall be received in evidence and shall be deemed to be such an instrument unless the contrary is shown.E+W+S+N.I.

Accounts and auditE+W+S+N.I.

12(1)The Corporation shall keep proper accounts and proper records in relation to the accounts, and shall prepare in respect of each financial year a statement of accounts in such form as the Secretary of State may direct with the approval of the Treasury.E+W+S+N.I.

(2)The accounts of the Corporation shall be audited by auditors to be appointed by the Corporation with the approval of the Secretary of State.

[F93(3)A person shall not be qualified to be appointed as a auditor in pursuance of sub-paragraph (2) unless he is eligible for appointment as a company auditor under section 25 of the Companies Act 1989.]

(4)The Corporation shall at all reasonable times upon demand made by the Secretary of State or by any persons authorised by him in that behalf—

(a)afford to him or them full liberty to examine the accounts of the Corporation; and

(b)furnish him or them with all forecasts, estimates, information and documents which he or they may require with respect to the financial transactions and commitments of the Corporation.

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Amendments (Textual)

Annual reportsE+W+S+N.I.

13(1)As soon as possible after the end of every financial year, the Corporation shall prepare a general report of their proceedings during that year, and transmit it to the Secretary of State who shall lay copies of it before each House of Parliament.E+W+S+N.I.

(2)The report shall have attached to it the statement of accounts for the year and a copy of any report made by the auditors on that statement, and shall include such information (including information relating to the financial position of the Corporation) as the Secretary of State may from time to time direct.

Section 39.

SCHEDULE 4E+W+S+N.I. References with Respect to Networking Arrangements

Report by Director on reference under s. 39E+W+S+N.I.

1(1)Where any reference is made to the Director General of Fair Trading (“the Director”) under section 39(12)(a), it shall be the duty of the Director—E+W+S+N.I.

(a)to publish a notice of the reference, together with a description of the arrangements to which it relates, in such manner as he considers most suitable for bringing it to the attention of persons who, in his opinion, would be affected by or be likely to have an interest in it;

(b)to consider whether those arrangements satisfy the competition test in accordance with paragraph 2; and

(c)to make a report on those arrangements within the period of six months beginning with the date of publication of the notice referred to in paragraph (a).

(2)If, while the Director is proceeding with any such reference, he is informed in accordance with section 39(12)(b) of this Act of any modification to the arrangements in question, he may, if he thinks fit, treat the reference as varied so far as is necessary to take account of the modification; and, if he does so, references to those arrangements in sub-paragraph (1)(b) and (c) shall accordingly be construed as references to those arrangements as modified.

(3)The Director’s report on any arrangements shall contain his conclusions on the question whether the arrangements satisfy the competition test and may contain such an account of his reasons for those conclusions as is, in his opinion, expedient for facilitating a proper understanding of those conclusions.

(4)If those conclusions are to the effect that the arrangements do not satisfy the competition test, the report shall specify the modifications which the Director considers would, if incorporated in the arrangements, result in them satisfying that test.

(5)Subsections (6) and (7) of section 186 of this Act shall have effect in relation to any report made by the Director under this paragraph as they have effect in relation to any report made by him under that section.

(6)The Director shall send a copy of any report made by him under this paragraph to the [F94ITC] and to every holder of a regional Channel 3 licence.

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Amendments (Textual)

F94Word in Sch. 4 para. 1(6) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(iii)

The competition testE+W+S+N.I.

2(1)For the purposes of this Schedule arrangements satisfy the competition test if—E+W+S+N.I.

(a)they do not have, and are not intended or likely to have, the effect of restricting, distorting or preventing competition in connection with any business activity in the United Kingdom; or

(b)they do have, or are intended or likely to have, such an effect but they would satisfy the criteria set out in paragraph 3 of Article 85 of the E.E.C. Treaty (agreements contributing to improving the production or distribution of goods or to promoting technical or economic progress) if that paragraph were to be construed as relating only to the effects within the United Kingdom of agreements between undertakings.

(2)For the purposes of sub-paragraph (1)(b) any arrangements made by the [F95ITC] shall be treated as if they constituted an agreement between undertakings within the meaning of Article 85(3).

(3)In determining whether any arrangements would satisfy the criteria referred to in that provision, the Director or, as the case may be, the [F96Competition Commission] shall have regard to any principles laid down by or decision of the European Court, or any court attached thereto, so far as relevant to the construction of Article 85(3).

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Amendments (Textual)

F95Word in Sch. 4 para. 2(2) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(iii)

F96Words in Sch. 4 para. 2(3) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(i)

Duty to modify arrangements in consequence of Director’s reportE+W+S+N.I.

3(1)Where the Director’s report on any arrangements specifies any modifications in pursuance of paragraph 1(4), then (subject to sub-paragraph (2))—E+W+S+N.I.

(a)if the arrangements were made by the holders of regional Channel 3 licences, the [F97ITC] shall notify all the holders of such licences of the period within which the modifications are to be incorporated in the arrangements, being such period as may be determined by the Director after consulting the [F97ITC]; and

(b)if the arrangements were made by the [F97ITC], the [F97ITC] shall—

(i)incorporate those modifications in the arrangements with effect from such date as may be so determined, and

(ii)notify all the holders of such licences of the arrangements as modified.

(2)If a reference relating to the Director’s report is made to the [F98Competition Commission] under paragraph 4 and they have begun to proceed with it in accordance with that paragraph, the modifications referred to in sub-paragraph (1) above shall not be required to be incorporated in the arrangements by virtue of that sub-paragraph—

(a)if the reference is in respect of the arrangements as a whole, or

(b)(in any other case) to the extent that the modifications fall to be considered by the MMC on the reference.

(3)Each regional Channel 3 licence shall include such conditions as appear to the [F97ITC] to be appropriate in consequence of this paragraph.

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Amendments (Textual)

F98Words in Sch. 4 para. 3(2) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(ii)

References to MMCE+W+S+N.I.

4(1)Where the Director’s report on any arrangements contains any such conclusions as are mentioned in paragraph 1(4), the [F99ITC] or the holder of any regional Channel 3 licence may, within the relevant period, make to the [F100Competition Commission] a reference which is so framed as to require the [F100Competition Commission] to investigate and report on either or both of the following questions, namely—E+W+S+N.I.

(a)whether the arrangements, or any particular provisions of the arrangements, satisfy the competition test;

(b)whether the modifications specified in the report, or any particular modification so specified, ought to be incorporated in the arrangements for the purpose of enabling them to satisfy that test.

(2)In sub-paragraph (1) “the relevant period” means the period of four weeks beginning with the date of publication of the Director’s report.

(3)Where a reference is made to the [F100Competition Commission] under this paragraph, the [F100Competition Commission] shall (subject to sub-paragraphs (4) and (5))—

(a)publish a notice of the reference in such manner as they consider most suitable for bringing it to the attention of persons who, in the opinion of the [F100Competition Commission], would be affected by or be likely to have an interest in it; and

(b)make a report on the reference within the period of three months beginning with the date of publication of the notice referred to in paragraph (a).

(4)The period referred to in sub-paragraph (3)(b) may be extended by the [F100Competition Commission]by a further period of three months if they consider it necessary to do so.

(5)The [F100Competition Commission] shall not be required to proceed with any reference under this paragraph which appears to them to be frivolous or vexatious; but, where they decide not to proceed with any such reference, they shall publish a notice of their decision in such manner as they consider appropriate.

(6)If—

(a)while the [F100Competition Commission] are proceeding with any reference under this paragraph, the Director is informed in accordance with section 39(12)(b) of this Act of any modification to the arrangements in respect of which the reference has been made, and

(b)it appears to him that the modification is material to any issue falling to be considered by the [F100Competition Commission] on the reference,

he shall refer the modification to the [F100Competition Commission], who may, if they think fit, treat the reference as varied so far as is necessary to take account of the modification; and, if they do so, references to those arrangements in paragraphs 5 and 6 shall accordingly be construed as references to those arrangements as modified.

[F101(7)The provisions mentioned in sub-paragraph (7A) are to apply in relation to references under this paragraph as if—

(a)the functions of the Competition Commission in relation to those references were functions under the M7Fair Trading Act 1973;

(b)the expression “merger reference” included a reference under this paragraph.;.

(7A)The provisions are—

(a)section 85 of the Fair Trading Act 1973 (attendance of witnesses and production of documents)

(b)Part II of Schedule 7 to the Competition Act 1998 (performance of the Competition Commission’s general functions); and

(c) section 24 of the M8Competition Act 1980 (modification of provisions about performance of such functions).]

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Amendments (Textual)

F99Word in Sch. 4 para. 4(1) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(iii)

F100Words in Sch. 4 para. 4(1)(3)-(6) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(ii)

F101Sch. 4 para. 4(7)(7A) substituted (1.4.1999) for Sch. 4 para. 4(7) by 1998 c. 41, s. 74(1), Sch. 12 para. 14(3) (with s. 73); S.I. 1999/505, art. 2

Marginal Citations

Prospective

Further provision about references under paragraph 4E+W+S+N.I.

[F1024A(1)The following sections of Part 3 of the Enterprise Act 2002 shall apply, with the modifications mentioned in sub-paragraphs (2) and (3), for the purposes of references under paragraph 4 as they apply for the purposes of references under that Part—

(a)section 109 (attendance of witnesses and production of documents etc.);

(b)section 110 (enforcement of powers under section 109: general);

(c)section 111 (penalties);

(d)section 112 (penalties: main procedural requirements);

(e)section 113 (payments and interest by instalments);

(f)section 114 (appeals in relation to penalties);

(g)section 115 (recovery of penalties); and

(h)section 116 (statement of policy).

(2)Section 110 shall, in its application by virtue of sub-paragraph (1), have effect as if—

(a)subsection (2) were omitted; and

(b)in subsection (9) the words from “or section” to “section 65(3))” were omitted.

(3)Section 111(5)(b)(ii) shall, in its application by virtue of sub-paragraph (1), have effect as if—

(a)for the words “published (or, in the case of a report under section 50 or 65, given)” there were substituted “made”;

(b)for the words “published (or given)”, in both places where they appear, there were substituted ”made“; and

(c)the words “by this Part” were omitted.

(4)Provisions of Part 3 of the Enterprise Act 2002 which have effect for the purposes of sections 109 to 116 of that Act (including, in particular, provisions relating to offences and the making of orders) shall, for the purposes of the application of those sections by virtue of sub-paragraph (1), have effect in relation to those sections as applied by virtue of that sub-paragraph.

(5)Accordingly, corresponding provisions of this Act shall not have effect in relation to those sections as applied by virtue of that sub-paragraph.]

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Amendments (Textual)

Report by MMC on reference under paragraph 4E+W+S+N.I.

5(1)The [F103Competition Commission]’s report on a reference under paragraph 4 shall contain their conclusions on the question or questions comprised in the reference, together with such an account of their reasons for those conclusions as is, in their opinion, expedient for facilitating a proper understanding of those conclusions.E+W+S+N.I.

(2)If the [F103Competition Commission]’s conclusions on any such question as is mentioned in paragraph 4(1)(a) are to the effect that the arrangements, or any particular provisions of the arrangements, do not satisfy the competition test, the report shall specify the modifications which the [F103Competition Commission] consider would, if incorporated in the arrangements, result in the arrangements or (as the case may be) the provisions in question satisfying that test (and those modifications may to any extent differ from those specified by the Director in pursuance of paragraph 1(4)).

(3)If the [F103Competition Commission]’s conclusions on any such question as is mentioned in paragraph 4(1)(b) are to the effect that any modification so specified by the Director ought to be incorporated for the purpose mentioned in that provision, the [F103Competition Commission] shall (unless the report specifies a like modification in pursuance of sub-paragraph (2) above) affirm that modification in the report; but, if their conclusions on any such question are to the effect that any such modification ought not to be so incorporated, the report shall specify such other modification (if any) as appears to them to be appropriate for that purpose.

(4)The [F103Competition Commission] shall—

(a)publish any report made by them under this paragraph in such manner as they consider appropriate; and

(b)send a copy of it to the Director, to the [F104ITC] and to every holder of a regional Channel 3 licence.

(5)Section 82 of the M9Fair Trading Act 1973 (general provisions as to reports) shall apply in relation to reports of the [F103Competition Commission]on references under paragraph 4 as it applies in relation to reports of the [F103Competition Commission] under that Act.

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Amendments (Textual)

F103Words in Sch. 4 para. 5 substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(ii)

F104Word in Sch. 4 para. 5(4)(b) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(iii)

Marginal Citations

Duty to modify arrangements in consequence of MMC’s reportE+W+S+N.I.

6(1)Where the [F105Competition Commission] report on any reference under paragraph 4 specifies any modifications or modification in pursuance of paragraph 5(2) or (3), or any modification specified by the Director is affirmed in such a report, then—E+W+S+N.I.

(a)if the arrangements to which the report relates were made by the holders of regional Channel 3 licences, the [F106ITC] shall notify all the holders of such licences of the period within which any such modifications or modification are or is to be incorporated in the arrangements, being such period as may be determined by the Director after consulting the [F106ITC]; and

(b)if those arrangements were made by the [F106ITC], the [F106ITC] shall—

(i)incorporate any such modifications or modification in the arrangements with effect from such date as may be so determined, and

(ii)notify all the holders of such licences of the arrangements as modified.

(2)Paragraph 3(3) shall have effect in relation to this paragraph as it has effect in relation to paragraph 3.

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Amendments (Textual)

F105Words in Sch. 4 para. 6(1) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(ii)

F106Word in Sch. 4 para. 6(1)(a)(b) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(iii)

Power of Director to review previous decision with respect to arrangementsE+W+S+N.I.

7(1)The Director may at any time after making a report under paragraph 1 with respect to any arrangements—E+W+S+N.I.

(a)consider afresh whether the arrangements (as for the time being in force) satisfy the competition test; and

(b)make a further report on those arrangements in accordance with sub-paragraphs (3) to (5) of paragraph 1.

(2)If, while any arrangements are under consideration by the Director under this paragraph, he is informed in accordance with section 39(12)(b) of this Act of any modification of those arrangements, he may, if he thinks fit, decide to vary the matters under consideration so far as is necessary to take account of the modification; and, if he does so, references to those arrangements in sub-paragraph (1)(a) and (b) above shall accordingly be construed as references to those arrangements as modified.

(3)The Director shall send a copy of any report made by him under this paragraph to the [F107ITC] and to every holder of a regional Channel 3 licence.

(4)Paragraphs 2 to 6 shall have effect in relation to any such report as they have effect in relation to a report made by the Director under paragraph 1.

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Amendments (Textual)

F107Word in Sch. 4 para. 7(3) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(iii)

Power to obtain informationE+W+S+N.I.

8(1)The Director may serve on any person a notice requiring him, at a time and a place specified in the notice—E+W+S+N.I.

(a)to produce to the Director such documents specified or described in the notice (being documents in the custody or under the control of that person), or

(b)to furnish him, in a form specified in the notice, with such estimates, returns or other information specified or described in it,

as he may require for the purpose of making any report under this Schedule.

(2)A person shall not by virtue of sub-paragraph (1) be compelled—

(a)to produce any document which he could not be compelled to produce in civil proceedings before the High Court or (in Scotland) the Court of Session, or

(b)in complying with any requirement for the furnishing of evidence, to give any information which he could not be compelled to give in evidence in such proceedings.

(3)In section 85 of the M10Fair Trading Act 1973, as amended by the M11Companies Act 1989, subsections (6) to (8) (enforcement of notices requiring production of documents) shall apply in relation to a notice under sub-paragraph (1) above as they apply in relation to a notice under subsection (1) of that section, but as if, in subsection (7) of that section, there were substituted “the Director” for the words from “any one” to “the Commission”.

(4)In that Act, as so amended, section 93B (false or misleading information) shall apply in relation to the furnishing of information to the Director or the [F108Competition Commission] in connection with his or their functions under this Schedule as it applies in relation to the furnishing of information as mentioned in subsection (1)(a) or (b) of that section.

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Amendments (Textual)

F108Words in Sch. 4 para. 8(4) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(ii)

Marginal Citations

Prospective

EnforcementE+W+S+N.I.

[F1098A(1)The court may, on an application by the OFT, enquire into whether any person (“the defaulter”) has refused or otherwise failed, without reasonable excuse, to comply with a notice under paragraph 8(1).

(2)An application under sub-paragraph (1) shall include details of the possible failure which the OFT considers has occurred.

(3)In enquiring into a case under sub-paragraph (1), the court shall hear any witness who may be produced against or on behalf of the defaulter and any statement which may be offered in defence.

(4)Sub-paragraphs (5) and (6) apply where the court is satisfied, after hearing any witnesses and statements as mentioned in sub-paragraph (3), that the defaulter has refused or otherwise failed, without reasonable excuse, to comply with the notice under paragraph 8(1).

(5)The court may punish the defaulter as it would have been able to punish him had he been guilty of contempt of court.

(6)Where the defaulter is a body corporate, the court may punish any director or officer of the defaulter as it would have been able to punish that director or officer had the director or officer been guilty of contempt of court.

(7)In this section “the court”—

(a)in relation to England and Wales or Northern Ireland, means the High Court, and

(b)in relation to Scotland, means the Court of Session.]

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Amendments (Textual)

Prospective

[F1108B(1)A person commits an offence if he intentionally alters, suppresses or destroys a document which he has been required to produce by a notice under paragraph 8(1).E+W+S+N.I.

(2)A person who commits an offence under sub-paragraph (1) shall be liable—

(a)on summary conviction, to a fine not exceeding the statutory maximum;

(b)on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.]

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Amendments (Textual)

Prospective

False or misleading informationE+W+S+N.I.

[F1118C(1)A person commits an offence if—

(a)he supplies any information to the OFT or the Competition Commission in connection with any of their functions under this Schedule;

(b)the information is false or misleading in a material respect; and

(c)he knows that it is false or misleading in a material respect or is reckless as to whether it is false or misleading in a material respect.

(2)A person commits an offence if he—

(a)supplies any information to another person which he knows to be false or misleading in a material respect; or

(b)recklessly supplies any information to another person which is false or misleading in a material respect;

knowing that the information is to be used for the purpose of supplying information to the OFT or the Competition Commission in connection with any of their functions under this Schedule.

(3)A person who commits an offence under sub-paragraph (1) or (2) shall be liable—

(a)on summary conviction, to a fine not exceeding the statutory maximum;

(b)on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.

(4)This paragraph shall not have effect in relation to the supplying of information to the Competition Commission in connection with its functions under any provision of the Enterprise Act 2002 as applied by virtue of paragraph 4A.]

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Amendments (Textual)

Duty of Director to assist MMCE+W+S+N.I.

9(1)It shall be the duty of the Director, for the purpose of assisting the [F112Competition Commission] in carrying out an investigation on a reference made to them under paragraph 4, to give to the [F112Competition Commission]E+W+S+N.I.

(a)any information which is in his possession and which relates to matters falling within the scope of the investigation, and which is either—

(i)requested by the [F112Competition Commission] for that purpose, or

(ii)information which in his opinion it would be appropriate for that purpose to give to the [F112Competition Commission] without any such request, and

(b)any other assistance which the [F112Competition Commission] may require, and which it is within his power to give, in relation to any such matters;

and the [F112Competition Commission] shall, for the purpose of carrying out any such investigation, take account of any information given to them for that purpose under this sub-paragraph.

(2)Sub-paragraph (1) shall not affect the operation of paragraph 4(6).

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Amendments (Textual)

F112Words in Sch. 4 para. 9(1) substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(ii)

InterpretationE+W+S+N.I.

10In this Schedule—E+W+S+N.I.

  • the Director” means the Director General of Fair Trading; and

[F113“the ITC” means the Independent Television Commission.]

F114. . .

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Amendments (Textual)

F113Words in Sch. 4 para. 10 substituted (1.4.1999) by S.I. 1999/506, art. 29(c)(iv)

F114Words in Sch. 4 para. 10 repealed (1.4.1999) by S.I. 1999/506, art. 29(c)(iv)

Section 50.

SCHEDULE 5E+W+S+N.I. Special Provisions Relating to Public Teletext Service

The relevant serviceE+W+S+N.I.

1In this Schedule “the relevant service” means the teletext service referred to in section 49(2) of this Act.E+W+S+N.I.

Applications for licence to provide the relevant serviceE+W+S+N.I.

2(1)Where any such application as is mentioned in section 50(3) of this Act is made in respect of a licence to provide the relevant service—E+W+S+N.I.

(a)the application shall be accompanied by the applicant’s proposals for providing a service that would comply with the requirements specified in paragraph 3(2) below, and

(b)section 50(4) shall have effect as if the reference to section 50(3)(b) or (d) included a reference to paragraph (a) above.

(2)The Commission shall, when publishing a notice under section 50(1) in respect of the grant of a licence to provide the relevant service, publish with the notice general guidance to applicants for the licence which contains examples of the kinds of material whose inclusion in the service proposed by any such applicant under sub-paragraph (1)(a) above would be likely to result in a finding by the Commission that the service would comply with the requirements specified in paragraph 3(2) below.

(3)The notice to be published by the Commission under section 50(6) in respect of the applications made in pursuance of such a notice as is mentioned in sub-paragraph (2) above shall include the proposals submitted by each of the applicants under sub-paragraph (1)(a) above.

(4)The Commission shall also publish in such manner as they consider appropriate a notice—

(a)inviting representations to be made to them with respect to any matters published by them in accordance with section 50(6)(c) or sub-paragraph (3) above, and

(b)specifying the manner in which, and the time by which, any such representations are to be so made.

(5)The notice referred to in sub-paragraph (4) above shall be published as soon as reasonably practicable after the date specified in the notice under section 50(1) as the closing date for applications for the licence.

Consideration of applications and award of licenceE+W+S+N.I.

3(1)Where a person has, in accordance with section 50 of this Act and paragraph 2 above, made an application for a licence to provide the relevant service, the Commission shall not proceed to consider whether to award him the licence on the basis of his cash bid in accordance with section 51(3) and (4) of this Act unless it appears to them that his proposed service would comply with the requirements specified in sub-paragraph (2).E+W+S+N.I.

(2)Those requirements are—

(a)that the service includes a sufficient amount of news items which are of high quality and deal with both national and international matters;

(b)that the service includes a sufficient amount of information which is of particular interest to persons living within different areas for which the service is provided; and

(c)that (taken as a whole) the service includes a sufficient amount of information (other than news) which is calculated to appeal to a wide variety of tastes and interests.

(3)Section 51(1) shall accordingly have effect in relation to a licence to provide the relevant service as if the reference to the requirements of section 51(1)(a) and (b) included a reference to the requirements specified in sub-paragraph (2) above.

(4)In deciding whether an applicant’s proposed service would comply with those requirements, the Commission shall take into account any representations made to them in pursuance of paragraph 2(4)(b) above.

(5)Where the Commission have awarded a licence to provide the relevant service to any person in accordance with section 51(3) and (4), the matters to be published by them in accordance with section 17(11)(a) and (12) of this Act (as they have effect in accordance with section 51(3) and (4)) shall include the name of every other applicant in whose case it appeared to them that his proposed service would comply with the requirements specified in sub-paragraph (2) above.

Conditions requiring licence holder to deliver promised serviceE+W+S+N.I.

4(1)A licence to provide the relevant service shall include such conditions as appear to the Commission to be appropriate for securing that the service provided under the licence accords with the proposals submitted by the licence holder under paragraph 2(1)(a) above.E+W+S+N.I.

(2)Any conditions imposed in pursuance of sub-paragraph (1) above may be varied by the Commission with the consent of the licence holder (and section 3(4)(b) shall accordingly not apply to any such variation).

Failure to begin providing licensed service and financial penalties on revocation of licenceE+W+S+N.I.

5(1)Subject to sub-paragraph (2), section 18 of this Act shall apply in relation to a licence to provide the relevant service as it applies in relation to a licence to provide a Channel 3 service.E+W+S+N.I.

(2)In the application of that section in relation to a licence to provide the relevant service—

(a)the reference in section 18(1) to section 17 shall be construed as a reference to that section as applied by section 51(3) of this Act; and

(b)the reference in section 18(4) to section 19(2) to (6) shall be construed as a reference to section 52(2) of this Act.

Renewal of licence to provide relevant serviceE+W+S+N.I.

6Section 53(5) of this Act shall have effect in relation to an application for the renewal of a licence to provide the relevant service as if, in addition to the grounds for refusing an application which are specified in paragraphs (a) to (c) of that provision, there were specified the following ground, namely that the Commission are not satisfied that the applicant would, if his licence were renewed, provide a service which complied—E+W+S+N.I.

(a)with the conditions included in the licence in pursuance of paragraph 4 above (whether as originally imposed or as varied under sub-paragraph (2) of that paragraph), or

(b)with the requirements specified in paragraph 3(2) above.

Additional methods of enforcement of licence to provide relevant serviceE+W+S+N.I.

7(1)Subject to sub-paragraph (2), sections 40 and 41 of this Act shall apply in relation to a licence to provide the relevant service as they apply in relation to a licence to provide a Channel 3 service.E+W+S+N.I.

(2)In the application of those sections in relation to a licence to provide the relevant service—

(a)any reference in section 40(4) to a programme shall be construed as a reference to an item; and

(b)section 41 shall have effect with the omission of subsections (1)(a) and (2).

Section 56.

SCHEDULE 6E+W+S+N.I. The Welsh Authority: Supplementary Provisions

Status and capacityE+W+S+N.I.

1(1)The Welsh Authority (in this Schedule referred to as “the Authority”) shall not be treated for the purposes of the enactments and rules of law relating to the privileges of the Crown as a body exercising functions on behalf of the Crown.E+W+S+N.I.

(2)It shall be within the capacity of the Authority as a statutory corporation to do such things and enter into such transactions as are incidental or conducive to the discharge of their functions under this Act, including the borrowing of money.

[F115(3)Section 57(1A)(b) of this Act shall not be taken to limit the Authority’s power by virtue of sub-paragraph (2) to do such things and enter into such transactions as are incidental or conducive to the discharge of their functions under section 57(1) or (1A)(a).]

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Amendments (Textual)

Appointment of membersE+W+S+N.I.

2(1)A person shall be disqualified for being a member of the Authority so long as he is—E+W+S+N.I.

(a)a member or employee of the Radio Authority established by this Act; [F116or

(b)a member or employee of the Broadcasting Standards Commission.]

(2)The members of the Authority shall not at any time include—

(a)more than one person who is either a governor or an employee of the BBC; or

(b)more than one person who is either a member or an employee of the Commission.

(3)Before appointing a person to be a member of the Authority, the Secretary of State shall satisfy himself that that person will have no such financial or other interest as is likely to affect prejudicially the discharge by him of his functions as a member of the Authority; and the Secretary of State shall also satisfy himself from time to time with respect to every member of the Authority that he has no such interest.

(4)Any person who is, or whom the Secretary of State proposes to appoint to be, a member of the Authority shall, whenever requested by the Secretary of State to do so, furnish him with such information as the Secretary of State considers necessary for the performance by him of his duties under sub-paragraph (3).

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Amendments (Textual)

F116Sch. 6 para. 2(1)(b) and word “or” immediately preceding it substituted (1.4.1997) for Sch. 6 para. 2(1)(b)(c) by 1996 c. 55, s. 148(1), Sch. 10 Pt. II para. 24 (with s. 43(1)(6)); S.I. 1997/1005, art. 4

Tenure of officeE+W+S+N.I.

3(1)Subject to the following provisions of this paragraph, each member of the Authority shall hold and vacate office in accordance with the terms of his appointment.E+W+S+N.I.

(2)A person shall not be appointed to be a member of the Authority for more than five years at a time.

(3)Any member of the Authority may at any time resign his office by notice in writing to the Secretary of State.

Remuneration and pensions of membersE+W+S+N.I.

4(1)The Authority may pay to each member such remuneration and allowances as the Secretary of State may determine.E+W+S+N.I.

(2)The Authority may pay or make provision for paying to or in respect of any member such sums by way of pensions, allowances or gratuities as the Secretary of State may determine.

(3)Where a person ceases to be a member otherwise than on the expiry of his term of office and it appears to the Secretary of State that there are special circumstances which make it right for him to receive compensation, the Authority may make a payment to him of such amount as the Secretary of State may determine.

(4)The approval of the Treasury shall be required for any determination under this paragraph.

Disqualification of members of Authority for House of CommonsE+W+S+N.I.

5In Part II of Schedule 1 to the M12House of Commons Disqualification Act 1975 (bodies of which all members are disqualified) there shall be inserted at the appropriate place—E+W+S+N.I.

Sianel Pedwar Cymru.

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Marginal Citations

ProceedingsE+W+S+N.I.

6(1)Subject to paragraph 7, the quorum of the Authority and the arrangements relating to their meetings shall be such as the Authority may determine.E+W+S+N.I.

(2)The arrangements may provide for the discharge, under the general direction of the Authority, of any of the Authority’s functions by a committee or by one or more of the members or employees of the Authority.

7(1)A member who is in any way directly or indirectly interested in any matter that is brought up for consideration at a meeting of the Authority shall disclose the nature of his interest to the meeting; and, where such a disclosure is made—E+W+S+N.I.

(a)the disclosure shall be recorded in the minutes of the meeting, and

(b)(subject to sub-paragraph (2)) the member shall not take any part in any deliberation or decision of the Authority, or of any of their committees, with respect to that matter.

(2)Sub-paragraph (1)(b) shall not apply in relation to any meeting of the Authority at which all of the other members present resolve that the member’s interest should be disregarded for the purposes of that provision.

(3)For the purposes of sub-paragraph (1), a general notification given at a meeting of the Authority by a member to the effect that he is a member of a specified company or firm and is to be regarded as interested in any matter involving that company or firm shall be regarded as a sufficient disclosure of his interest in relation to any such matter.

(4)A member need not attend in person at a meeting of the Authority in order to make a disclosure which he is required to make under this paragraph if he takes reasonable steps to secure that the disclosure is made by a notice which is taken into consideration and read at the meeting.

(5)In this paragraph references to a meeting of the Authority include references to a meeting of any of their committees.

8The validity of any proceedings of the Authority shall not be affected by any vacancy among the members or by any defect in the appointment of a member or by any failure to comply with the requirements of paragraph 7.E+W+S+N.I.

Employees of the AuthorityE+W+S+N.I.

9(1)The Authority shall appoint a secretary and may appoint such other employees as they may determine.E+W+S+N.I.

(2)If the Authority determine to do so in the case of any of their employees, the Authority shall pay to or in respect of those employees such pensions, allowances or gratuities, or provide and maintain for them such pension schemes (whether contributory or not), as the Authority may determine.

(3)If any employee of the Authority—

(a)is a participant in any pension scheme applicable to his employment, and

(b)becomes a member of the Authority,

he may, if the Secretary of State so determines, be treated for the purposes of the pension scheme as if his service as a member of the Authority were service as an employee of the Authority.

Authentication of Authority’s sealE+W+S+N.I.

10The application of the seal of the Authority shall be authenticated by the signature of the chairman or of some other person authorised for the purpose.E+W+S+N.I.

Presumption of authenticity of documents issued by AuthorityE+W+S+N.I.

11Any document purporting to be an instrument issued by the Authority and to be duly executed under the seal of the Authority or to be signed on behalf of the Authority shall be received in evidence and shall be deemed to be such an instrument unless the contrary is shown.E+W+S+N.I.

Accounts and auditE+W+S+N.I.

12(1)The Authority shall keep proper accounts and proper records in relation to the accounts, and shall prepare in respect of each financial year a statement of accounts in such form as the Secretary of State may direct with the approval of the Treasury.E+W+S+N.I.

[F117(1A)The statement of accounts must deal separately with the public service fund referred to in section 61A of this Act and with the general fund referred to in subsection (5)(b) of that section.]

(2)The accounts of the Authority shall be audited by auditors to be appointed by the Authority with the approval of the Secretary of State.

[F118(3)A person shall not be qualified to be appointed as a auditor in pursuance of sub-paragraph (2) unless he is eligible for appointment as a company auditor under section 25 of the Companies Act 1989.]

(4)The Authority shall at all reasonable times upon demand made by the Secretary of State or by any persons authorised by him in that behalf—

(a)afford to him or them full liberty to examine the accounts of the Authority; and

(b)furnish him or them with all forecasts, estimates, information and documents which he or they may require with respect to the financial transactions and commitments of the Authority.

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Amendments (Textual)

Annual reportsE+W+S+N.I.

13(1)As soon as possible after the end of every financial year, the Authority shall prepare a general report of their proceedings during that year, and transmit it to the Secretary of State who shall lay copies of it before each House of Parliament.E+W+S+N.I.

(2)The report shall have attached to it the statement of accounts for the year and a copy of any report made by the auditors on that statement, and shall include such information (including information relating to the financial position of the Authority) as the Secretary of State may from time to time direct.

Advisory committeesE+W+S+N.I.

14The Authority may appoint, or arrange for the assistance of, advisory committees to give advice to them on such matters relating to the Authority’s functions as the Authority may determine.E+W+S+N.I.

Sections 67, 77 and 121.

SCHEDULE 7E+W+S+N.I. Qualifying Revenue: Supplementary Provisions

Part IE+W+S+N.I. Qualifying Revenue for purposes of Part I or II of this Act

Computation of qualifying revenueE+W+S+N.I.

1(1)It shall be the duty of the Commission to draw up, and from time to time review, a statement setting out the principles to be followed in ascertaining the qualifying revenue in relation to a person—E+W+S+N.I.

(a)for any accounting period of his, or

(b)for any year,

for the purposes of any provision of Part I or Part II of this Act.

(2)A statement under this paragraph may set out different principles for persons holding different kinds of licences.

(3)Before drawing up or revising a statement under this paragraph the Commission shall consult the Secretary of State and the Treasury.

(4)The Commission shall—

(a)publish the statement drawn up under this paragraph and every revision of that statement; and

(b)transmit a copy of that statement, and every revision of it, to the Secretary of State;

and the Secretary of State shall lay copies of the statement and of every such revision before each House of Parliament.

DisputesE+W+S+N.I.

2(1)For the purposes of any provision of Part I or Part II of this Act—E+W+S+N.I.

(a)the amount of the qualifying revenue in relation to any person for any accounting period of his, or (as the case may be) for any year, or

(b)the amount of any payment to be made to the Commission by any person in respect of any such revenue, or of an instalment of any such payment,

shall, in the event of a disagreement between the Commission and that person, be the amount determined by the Commission.

(2)No determination of the Commission under this paragraph shall be called in question in any court of law, or be the subject of any arbitration; but nothing in this sub-paragraph shall prevent the bringing of proceedings for judicial review.

Part IIE+W+S+N.I. Qualifying Revenue for purposes of Part III of this Act

Computation of qualifying revenueE+W+S+N.I.

1(1)It shall be the duty of the Authority to draw up, and from time to time review, a statement setting out the principles to be followed in ascertaining the qualifying revenue for any accounting period of a licence holder for the purposes of any provision of Part III of this Act.E+W+S+N.I.

(2)A statement under this paragraph may set out different principles for persons holding different kinds of licences.

(3)Before drawing up or revising a statement under this paragraph the Authority shall consult the Secretary of State and the Treasury.

(4)The Authority shall—

(a)publish the statement drawn up under this paragraph and every revision of that statement; and

(b)transmit a copy of that statement, and every revision of it, to the Secretary of State;

and the Secretary of State shall lay copies of the statement and of every such revision before each House of Parliament.

DisputesE+W+S+N.I.

2(1)For the purposes of any provision of Part III of this Act—E+W+S+N.I.

(a)the amount of the qualifying revenue for any accounting period of a person, or

(b)the amount of any payment to be made to the Authority by any person in respect of any such revenue, or of an instalment of any such payment,

shall, in the event of a disagreement between the Authority and that person, be the amount determined by the Authority.

(2)No determination of the Authority under this paragraph shall be called in question in any court of law, or be the subject of any arbitration; but nothing in this sub-paragraph shall prevent the bringing of proceedings for judicial review.

Section 83.

SCHEDULE 8E+W+S+N.I. The Radio Authority: Supplementary Provisions

Status and capacityE+W+S+N.I.

1(1)The Authority shall be a body corporate.E+W+S+N.I.

(2)The Authority shall not be treated for the purposes of the enactments and rules of law relating to the privileges of the Crown as a body exercising functions on behalf of the Crown.

(3)It shall be within the capacity of the Authority as a statutory corporation to do such things and enter into such transactions as are incidental or conducive to the discharge of their functions under this Act, including (subject to sub-paragraph (4)) the borrowing of money.

(4)The power of the Authority to borrow money (otherwise than under paragraph 13) shall not be exercised by them except with the consent of, or in accordance with a general authority given by, the Secretary of State.

Appointment of membersE+W+S+N.I.

2(1)A person shall be disqualified for being a member of the Authority so long as he is—E+W+S+N.I.

(a)a governor or employee of the BBC;

(b)a member or employee of the Channel Four Television Corporation established by this Act;

(c)a member or employee of the Welsh Authority; [F119or

(e)a member or employee of the Broadcasting Standards Commission.]

[F120(1A)One of the members of the Authority other than the chairman and deputy chairman shall be a person who appears to the Secretary of State to be suited to make the interests of Scotland his special care.]

(2)Before appointing a person to be a member of the Authority, the Secretary of State shall satisfy himself that that person will have no such financial or other interest as is likely to affect prejudicially the discharge by him of his functions as a member of the Authority; and the Secretary of State shall also satisfy himself from time to time with respect to every member of the Authority that he has no such interest.

(3)Any person who is, or whom the Secretary of State proposes to appoint to be, a member of the Authority shall, whenever requested by the Secretary of State to do so, furnish him with such information as the Secretary of State considers necessary for the performance by him of his duties under sub-paragraph (2).

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Amendments (Textual)

F119Sch. 8 para. 2(1)(d) and word “or” immediately preceding it substituted (1.4.1997) for Sch. 8 para. 2(1)(d)(e) by 1996 c. 55, s. 148(1), Sch. 10 Pt. II para. 25 (with s. 43(1)(6)); S.I. 1997/1005, art. 4

Modifications etc. (not altering text)

Tenure of officeE+W+S+N.I.

3(1)Subject to the following provisions of this paragraph, each member of the Authority shall hold and vacate office in accordance with the terms of his appointment.E+W+S+N.I.

(2)A person shall not be appointed to be a member of the Authority for more than five years at a time.

(3)Any member of the Authority may at any time resign his office by notice in writing to the Secretary of State.

Remuneration and pensions of membersE+W+S+N.I.

4(1)The Authority may pay to each member such remuneration and allowances as the Secretary of State may determine.E+W+S+N.I.

(2)The Authority may pay or make provision for paying to or in respect of any member such sums by way of pensions, allowances or gratuities as the Secretary of State may determine.

(3)Where a person ceases to be a member otherwise than on the expiry of his term of office and it appears to the Secretary of State that there are special circumstances which make it right for him to receive compensation, the Authority may make a payment to him of such amount as the Secretary of State may determine.

(4)The approval of the Treasury shall be required for any determination under this paragraph.

Disqualification of members of Authority for House of Commons and Northern Ireland AssemblyE+W+S+N.I.

5In Part II of Schedule 1 to the M13House of Commons Disqualification Act 1975 (bodies of which all members are disqualified) there shall be inserted at the appropriate place—E+W+S+N.I.

The Radio Authorityand a corresponding amendment shall be made in Part II of Schedule 1 to the M14Northern Ireland Assembly Disqualification Act 1975.

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Marginal Citations

ProceedingsE+W+S+N.I.

6(1)Subject to paragraph 7, the quorum of the Authority and the arrangements relating to their meetings shall be such as the Authority may determine.E+W+S+N.I.

(2)The arrangements may provide for the discharge, under the general direction of the Authority, of any of the Authority’s functions by a committee or by one or more of the members or employees of the Authority.

7(1)A member who is in any way directly or indirectly interested in any matter that is brought up for consideration at a meeting of the Authority shall disclose the nature of his interest to the meeting; and, where such a disclosure is made—E+W+S+N.I.

(a)the disclosure shall be recorded in the minutes of the meeting, and

(b)(subject to sub-paragraph (2)) the member shall not take any part in any deliberation or decision of the Authority, or of any of their committees, with respect to that matter.

(2)Sub-paragraph (1)(b) shall not apply in relation to any meeting of the Authority at which all of the other members present resolve that the member’s interest should be disregarded for the purposes of that provision.

(3)For the purposes of sub-paragraph (1), a general notification given at a meeting of the Authority by a member to the effect that he is a member of a specified company or firm and is to be regarded as interested in any matter involving that company or firm shall be regarded as sufficient disclosure of his interest in relation to any such matter.

(4)A member need not attend in person at a meeting of the Authority in order to make a disclosure which he is required to make under this paragraph if he takes reasonable steps to secure that the disclosure is made by a notice which is taken into consideration and read at the meeting.

(5)In this paragraph references to a meeting of the Authority include references to a meeting of any of their committees.

8The validity of any proceedings of the Authority shall not be affected by any vacancy among the members or by any defect in the appointment of a member or by any failure to comply with the requirements of paragraph 7.E+W+S+N.I.

Employees of the AuthorityE+W+S+N.I.

9(1)The Authority shall appoint a secretary and may appoint such other employees as they may determine.E+W+S+N.I.

(2)If the Authority determine to do so in the case of any of their employees, the Authority shall pay to or in respect of those employees such pensions, allowances or gratuities, or provide and maintain for them such pension schemes (whether contributory or not), as the Authority may determine.

(3)If any employee of the Authority—

(a)is a participant in any pension scheme applicable to his employment, and

(b)becomes a member of the Authority,

he may, if the Secretary of State so determines, be treated for the purposes of the pension scheme as if his service as a member of the Authority were service as an employee of the Authority.

Authentication of Authority’s sealE+W+S+N.I.

10The application of the seal of the Authority shall be authenticated by the signature of the chairman or of some other person authorised for the purpose.E+W+S+N.I.

Presumption of authenticity of documents issued by AuthorityE+W+S+N.I.

11Any document purporting to be an instrument issued by the Authority and to be duly executed under the seal of the Authority or to be signed on behalf of the Authority shall be received in evidence and shall be deemed to be such an instrument unless the contrary is shown.E+W+S+N.I.

Finances of AuthorityE+W+S+N.I.

12(1)It shall be the duty of the Authority so to conduct their affairs that their revenues become at the earliest possible date, and continue thereafter, at least sufficient to enable them to meet their obligations and discharge their functions under this Act.E+W+S+N.I.

(2)Any excess of the Authority’s revenues for any financial year over the sums required by them for that year for meeting their obligations and discharging their functions under this Act shall be applied by the Authority in such manner as the Secretary of State may direct with the approval of the Treasury and after consultation with the Authority.

(3)A direction under sub-paragraph (2) may require the whole or any part of any excess of the revenues of the Authority to be paid into the Consolidated Fund.

Advances to AuthorityE+W+S+N.I.

13(1)For the purpose of—E+W+S+N.I.

(a)furnishing the Authority with working capital, or

(b)enabling them to meet any capital expenditure,

the Secretary of State may, with the consent of the Treasury, make advances to the Authority out of money provided by Parliament.

(2)The aggregate amount outstanding by way of principal in respect of sums advanced to the Authority under this paragraph shall not at any time exceed £3 million.

(3)Any sums advanced under this paragraph shall be repaid to the Secretary of State at such times and by such methods, and interest on those sums shall be paid to him at such times and at such rates, as he may from time to time direct with the consent of the Treasury.

Accounts and auditE+W+S+N.I.

14(1)The Authority shall keep proper accounts and proper records in relation to the accounts, and shall prepare in respect of each financial year a statement of accounts in such form as the Secretary of State may direct with the approval of the Treasury.E+W+S+N.I.

(2)The accounts of the Authority shall be audited by auditors to be appointed by the Authority with the approval of the Secretary of State.

[F121(3)A person shall not be qualified to be appointed as an auditor in pursuance of sub-paragraph (2) unless he is eligible for appointment as a company auditor under section 25 of the Companies Act 1989.]

(4)The Authority shall at all reasonable times upon demand made by the Secretary of State or by any persons authorised by him in that behalf—

(a)afford to him or them full liberty to examine the accounts of the Authority; and

(b)furnish him or them with all forecasts, estimates, information and documents which he or they may require with respect to the financial transactions and commitments of the Authority.

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Amendments (Textual)

Annual reportsE+W+S+N.I.

15(1)As soon as possible after the end of every financial year, the Authority shall prepare a general report of their proceedings during that year, and transmit it to the Secretary of State who shall lay copies of it before each House of Parliament.E+W+S+N.I.

(2)The report shall have attached to it the statement of accounts for the year and a copy of any report made by the auditors on that statement, and shall include such information (including information relating to the financial position of the Authority) as the Secretary of State may from time to time direct.

[F122(3)Where a report is transmitted by the Authority under sub-paragraph (1) to the Scottish Ministers (by virtue of provision made under section 63 of the Scotland Act 1998), the Scottish Ministers shall lay a copy of the report before the Scottish Parliament.]

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Amendments (Textual)

Modifications etc. (not altering text)

C5Sch. 8 para. 15(1): functions exercisable concurrently by the Scottish Ministers and Ministers of the Crown (1.7.1999) by S.I. 1999/1750, arts. 1, 2, Sch. 2; S.I. 1998/3178

Advisory committeesE+W+S+N.I.

16The Authority may appoint, or arrange for the assistance of, advisory committees to give advice to them on such matters relating to the Authority’s functions as the Authority may determine.E+W+S+N.I.

Section 127.

SCHEDULE 9E+W+S+N.I. Scheme Providing for Division of Assets of IBA

PreliminaryE+W+S+N.I.

1In this Schedule—E+W+S+N.I.

  • relevant transferee” shall be construed in accordance with paragraph 2(1) below; and

  • transfer scheme” means a scheme under this Schedule made either by the IBA under paragraph 2(1) below or by the Secretary of State under paragraph 2(4) below.

Making and modification of transfer schemeE+W+S+N.I.

2(1)The IBA shall make a scheme under this Schedule for the division of all their property, rights and liabilities between—E+W+S+N.I.

(a)the Commission,

(b)the Radio Authority, and

(c)the nominated company;

and references in this Schedule to the relevant transferees are references to the bodies specified in paragraphs (a) to (c) above.

(2)Where such a scheme is made by the IBA, it shall not be capable of coming into force in accordance with section 127(1) of this Act unless it is approved by the Secretary of State.

(3)Where such a scheme is submitted to the Secretary of State for his approval, he may modify the scheme before approving it.

(4)If—

(a)the IBA have not, before such time as the Secretary of State may notify to them as the latest time for the submission of such a scheme, submitted such a scheme for his approval, or

(b)the Secretary of State decides not to approve (either with or without modifications) a scheme that has been submitted to him by the IBA,

the Secretary of State may himself make a scheme for the division of the IBA’s property, rights and liabilities between the relevant transferees.

(5)If, at any time after the Secretary of State has either—

(a)approved (either with or without modifications) a scheme under this Schedule made by the IBA, or

(b)himself made such a scheme,

but before the scheme has come into force in accordance with section 127(1) of this Act, the Secretary of State considers it appropriate to do so, he may determine that the scheme shall, on its so coming into force, come into force with such modifications as may be specified in his determination; and, in any such case, the scheme shall accordingly, on its coming into force, come into force with those modifications.

(6)If at any time after a transfer scheme has come into force—

(a)the Secretary of State considers it appropriate to make an order under this sub-paragraph, and

(b)every relevant transferee who would be affected by the order either—

(i)(in a case where any such transferee is the nominated company and that company has ceased to be wholly owned by the Crown) has consented to the making of the order, or

(ii)(in any other case) has been consulted by the Secretary of State,

the Secretary of State may by order provide that the scheme shall for all purposes be deemed to have come into force with such modifications as may be specified in the order.

(7)Any power to modify a transfer scheme which is conferred on the Secretary of State by this paragraph may be so exercised as to make any such provision as could have been made by the scheme, and an order under sub-paragraph (6) above may provide for any of its provisions to have effect as from the coming into force of the scheme to which it relates.

(8)In determining whether and in what manner to exercise any power conferred on him by this paragraph the Secretary of State shall have regard to the need to ensure that the division of property, rights and liabilities between the relevant transferees which is effected under this Schedule allocates property, rights and liabilities to those transferees in such a manner as appears to him to be appropriate—

(a)in the case of the Commission and the Radio Authority, in the light of the functions conferred on those bodies by this Act; and

(b)in the case of the nominated company, with a view to the carrying on by that company of a business consisting of—

(i)the provision of broadcasting transmission services and services related to such services, and

(ii)the carrying out of research and development work relating to broadcasting.

(9)It shall be the duty of the IBA and each of the relevant transferees to provide the Secretary of State with all such information and other assistance as he may reasonably require for the purposes of, or in connection with, the exercise of any power conferred on him by this paragraph.

(10)Nothing in this paragraph shall require a scheme under this Schedule to make provision—

(a)with respect to any equipment or other asset which the IBA have agreed to dispose of in pursuance of section 132(1) or 133(6) of this Act, or

(b)with respect to any liabilities of the IBA which—

(i)have not yet become enforceable against the IBA, and

(ii)are not specifically and exclusively referable to any particular part or parts of the undertaking of the IBA which is or are transferred in accordance with any such scheme to one or more of the relevant transferees, or

(c)with respect to any such rights or liabilities as are mentioned in sub-paragraph (11).

(11)Those rights and liabilities are rights and liabilities acquired by the IBA in connection with the sharing by the IBA and the BBC of the use of facilities (of whatever description) in connection with the transmission of television programmes or local sound broadcasts.

Content of transfer schemeE+W+S+N.I.

3(1)A transfer scheme may—E+W+S+N.I.

(a)define the property, rights and liabilities to be allocated to a particular relevant transferee—

(i)by specifying or describing the property, rights and liabilities in question,

(ii)by referring to all the property, rights and liabilities comprised in a specified part of the IBA’s undertaking, or

(iii)partly in the one way and partly in the other;

(b)provide that any rights or liabilities specified or described in the scheme shall be enforceable either by or against either or any, or by or against both or all, of two or more relevant transferees;

(c)impose on any relevant transferee an obligation to enter into such written agreements with, or execute such instruments in favour of, such other relevant transferee as may be specified in the scheme;

(d)create for any of the relevant transferees an interest in or right over property transferred in accordance with the scheme to any other of those transferees;

(e)in connection with any provision made by virtue of paragraph (d), make incidental provision as to the interests, rights and liabilities of other persons with respect to the property in question.

(2)Without prejudice to the generality of sub-paragraph (1)(a), a transfer scheme may, in connection with any transfer to be made in accordance with the scheme, exclude from the transfer any rights and liabilities falling within paragraph 2(11) above and described in the scheme.

(3)A transfer scheme may also allocate to any of the relevant transferees such property, rights and liabilities to which the IBA may become entitled or subject after the making of the scheme and before the transfer date as may be described in the scheme.

(4)The property, rights and liabilities of the IBA that are capable of being transferred in accordance with a transfer scheme include—

(a)property, rights and liabilities that would not otherwise be capable of being transferred or assigned by the IBA;

(b)property situated anywhere in the United Kingdom or elsewhere; and

(c)rights and liabilities under the law of any part of the United Kingdom or of any country or territory outside the United Kingdom.

(5)It is hereby declared for the avoidance of doubt that the rights and liabilities capable of being so transferred include rights and liabilities of the IBA under any agreement or arrangement for the payment of pensions, allowances or gratuities.

(6)An obligation imposed by a provision included in a transfer scheme by virtue of sub-paragraph (1)(c) shall be enforceable by civil proceedings brought by the other relevant transferee in question for an injunction or interdict or for any other appropriate relief.

Effect of transfer schemeE+W+S+N.I.

4(1)Where a transfer scheme comes into force on the transfer date, this sub-paragraph shall have effect on that date so as to transfer to each of the relevant transferees, in accordance with the scheme’s provisions and without further assurance, such of the property, rights and liabilities of the IBA as are allocated to that transferee by the scheme.E+W+S+N.I.

(2)A transaction of any description which is effected in pursuance of any provision included in a transfer scheme in accordance with this Schedule shall be binding on all persons, notwithstanding that it would, apart from this sub-paragraph, have required the consent or concurrence of any person other than the IBA or any relevant transferee.

(3)Where apart from this sub-paragraph any person would have power, in consequence of anything done or likely to be done by or under this Act, to terminate or modify an interest or right which is vested in the IBA at the passing of this Act, then—

(a)for the purposes of the transfer of the interest or right in accordance with a transfer scheme, that power shall not be exercisable in relation to the interest or right at any time before its transfer in accordance with the scheme; and

(b)without prejudice to any other provision of this Schedule, that power shall be exercisable in relation to the interest or right after its transfer only in so far as the scheme provides for it to be transferred subject to the power.

(4)Where, in consequence of any transfer made in accordance with a transfer scheme, all the property, rights and liabilities comprised in a particular part of the IBA’s undertaking are transferred to a relevant transferee—

(a)the M15Transfer of Undertakings (Protection of Employment) Regulations 1981 shall apply to the transfer, whether or not they would otherwise so apply, and

(b)that undertaking shall accordingly (whether or not it would otherwise be so regarded) be regarded for the purposes of those Regulations as an undertaking in the nature of a commercial venture.

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Marginal Citations

Third parties affected by transfer schemeE+W+S+N.I.

5(1)This paragraph applies where—E+W+S+N.I.

(a)in consequence of any transfer made in accordance with a transfer scheme, any right or liability of a person (other than the IBA or any relevant transferee) which was enforceable against or by the IBA becomes enforceable against or by one or more relevant transferees; and

(b)apart from this Schedule that person’s consent or concurrence would have been required for that right or liability to become so enforceable;

and in this paragraph references to a third party are references to any such person.

(2)Subject to sub-paragraph (3), the IBA shall take reasonable steps to identify any third party and to notify him of the effect of the transfer in question on any right or liability of his falling within sub-paragraph (1), and of the effect of sub-paragraph (4).

(3)A transfer scheme may provide that the duties imposed on the IBA by sub-paragraph (2) in relation to a transfer shall be imposed instead on such one of the relevant transferees as may be specified in the scheme.

(4)Where—

(a)any right or liability of a third party has become enforceable against or by more than one relevant transferee, and

(b)the value of any property or interest of the third party is diminished thereby,

such compensation as is just shall be paid to the third party by one or more of the relevant transferees.

(5)Any dispute as to whether, and if so how much, compensation is payable under sub-paragraph (4), or as to the person to or by whom it shall be paid, shall be referred to and determined by—

(a)an arbitrator appointed by the Lord Chancellor; or

(b)where the proceedings are to be held in Scotland, an arbiter appointed by the Lord President of the Court of Session.

Supplemental provisions of schemeE+W+S+N.I.

6(1)A transfer scheme may contain supplemental, consequential and transitional provisions for the purposes of, or in connection with, the division effected or any other provision made by the scheme.E+W+S+N.I.

(2)Without prejudice to the generality of sub-paragraph (1) above, a transfer scheme may provide—

(a)that for purposes connected with any transfer made in accordance with the scheme a relevant transferee to whom anything is transferred in accordance with the scheme is to be treated as the same person in law as the IBA;

(b)that, so far as may be necessary for the purposes of or in connection with any such transfer, agreements made, transactions effected and other things done by or in relation to the IBA are to be treated as made, effected or done by or in relation to the relevant transferee to whom the transfer is made;

(c)that, so far as may be necessary for the purposes of or in connection with any such transfer, references in any agreement (whether or not in writing) or in any deed, bond, instrument or other document to, or to any member or officer of, the IBA are to have effect with such modifications as are specified in the scheme;

(d)that proceedings commenced by or against the IBA are to be continued by or against such one of the relevant transferees as the scheme may provide in relation to any circumstances specified or described in it;

(e)that the effect of any transfer made in accordance with the scheme in relation to contracts of employment with the IBA is not to be to terminate any such contracts but is to be that periods of employment with the IBA are to count for all purposes as periods of employment with the relevant transferee to whom the transfer is made;

(f)that disputes as to the effect of the scheme between any of the relevant transferees are to be referred to such arbitration as may be specified in or determined under the scheme;

(g)that determinations on such arbitrations, and certificates given jointly by all or any two of the relevant transferees as to the effect of the scheme as between the transferees concerned, are to be conclusive for all purposes.

Vesting of IBA’s property after coming into force of schemeE+W+S+N.I.

7(1)A transfer scheme may provide for the imposition of duties—E+W+S+N.I.

(a)on the IBA, and

(b)on all or any of the relevant transferees,

to take all such steps as may be requisite to secure that the vesting in any of those transferees, by virtue of the scheme, of any foreign property, right or liability is effective under the relevant foreign law.

(2)The provisions of a transfer scheme may require the IBA to comply with any directions of any of the relevant transferees in performing any duty imposed on the IBA by virtue of a provision included in the scheme by virtue of sub-paragraph (1).

(3)A transfer scheme may provide that, until the vesting of any foreign property, right or liability of the IBA in a relevant transferee is effective under the relevant foreign law, it shall be the duty of the IBA to hold that property or right for the benefit of, or to discharge that liability on behalf of, that transferee.

(4)Nothing in any provision included in a transfer scheme by virtue of this paragraph shall be taken as prejudicing the effect under the law of any part of the United Kingdom of the vesting in a relevant transferee, by virtue of the scheme, of any foreign property, right or liability.

(5)The IBA shall have all such powers as may be requisite for the performance of any duty imposed on them by any provision included in a transfer scheme by virtue of this paragraph; but such a scheme may require a relevant transferee to act on behalf of the IBA (so far as possible) for the purposes of, or in connection with, the performance of any such duty in relation to any property, right or liability vested in the transferee by virtue of the scheme.

(6)A transfer scheme may provide that any foreign property, rights or liabilities that are acquired or incurred by the IBA after the scheme comes into force are immediately to become property, rights or liabilities of such one of the relevant transferees as is specified in the scheme; and such a scheme may make the same provision in relation to any such property, rights or liabilities as can be made, by virtue of the preceding provisions of this paragraph, in relation to foreign property, rights and liabilities vested in the IBA when the scheme comes into force.

(7)References in this paragraph to any foreign property, right or liability are references to any property, right or liability as respects which any issue arising in any proceedings would have to be determined (in accordance with the rules of private international law) by reference to the law of a country or territory outside the United Kingdom.

(8)Any expenses incurred by the IBA in consequence of any provision included in a transfer scheme by virtue of this paragraph shall be met by the relevant transferees in such proportions as may be determined by or under the scheme.

Certificate of Secretary of State as to vesting of property etc.E+W+S+N.I.

8(1)Subject to sub-paragraph (2), a certificate issued by the Secretary of State to the effect that any property, right or liability of the IBA vested at a particular time by virtue of this Schedule in one or more of the relevant transferees shall be conclusive evidence of the matters stated in the certificate.E+W+S+N.I.

(2)Nothing in any such certificate shall prejudice the operation of a certificate issued by virtue of a provision included in a transfer scheme by virtue of paragraph 6(2)(g) above.

Power of Secretary of State to control division of IBA’s pension fundE+W+S+N.I.

9(1)If the Secretary of State so determines, the trustees of the Independent Broadcasting Authority Staff Pensions Plan shall refer to him, before such date as he may specify, the division and distribution of the relevant assets which is to be made by them for the purpose of making a transfer payment to a pension scheme established by the nominated company for its employees; and, if he does so, any such division and distribution of those assets and liabilities shall not be made by the trustees except—E+W+S+N.I.

(a)with his consent, or

(b)in accordance with an order made by him under sub-paragraph (2).

(2)Where any such division and distribution is referred to the Secretary of State under sub-paragraph (1), he may by order direct that the relevant assets shall be divided and distributed by the trustees in such manner, and at such time, as is specified in the order; and any provision of—

(a)the Plan referred to in sub-paragraph (1), or

(b)any enactment relating to occupational pension schemes, including any enactment relating to transfer values,

shall not have effect to the extent that it is inconsistent with the division and distribution of those assets in accordance with any such order.

(3)When making an order under sub-paragraph (2) the Secretary of State shall have regard to the interests of all classes of persons who are for the time being beneficiaries or potential beneficiaries under the Plan referred to in sub-paragraph (1).

(4)In this paragraph—

  • the relevant assets” means the assets held by or on behalf of the trustees; and

  • the trustees” means the trustees of the Plan referred to in sub-paragraph (1).

(5)An order under sub-paragraph (2) shall be subject to annulment in pursuance of a resolution of either House of Parliament.

Discharge by IBA of contingent etc. liabilitiesE+W+S+N.I.

10(1)This paragraph applies to any liabilities to which the IBA are subject on or after the transfer date, being liabilities which—E+W+S+N.I.

(a)had not become enforceable against the IBA before that date, and

(b)are not specifically and exclusively referable to any particular part or parts of the undertaking of the IBA which has or have been transferred in accordance with a transfer scheme to one or more of the relevant transferees.

(2)Any sums required by the IBA for the purpose of discharging any liabilities to which this paragraph applies shall be paid to them by the Secretary of State out of money provided by Parliament.

(3)Any payments made to the IBA under sub-paragraph (2) may be so made subject to such conditions as the Secretary of State may determine with the approval of the Treasury.

Final accounts and annual report of IBAE+W+S+N.I.

11(1)The IBA shall, as soon as possible after the transfer date, prepare such a statement of accounts as is mentioned in subsection (1) of section 42 of the Act 1981 (accounts and audit) in respect of the period between—E+W+S+N.I.

(a)the end of the financial year for which the last statement of accounts was prepared by them under that section, and

(b)the transfer date,

whether that period is a financial year or not; and that section shall continue to apply on and after that date in relation to the auditing of accounts kept in accordance with that subsection in respect of that period.

(2)The IBA shall, as soon as possible after the transfer date, prepare and transmit to the Secretary of State, in accordance with section 43 of that Act (annual reports), such a report as is mentioned in subsection (1) of that section in respect of the period between—

(a)the end of the financial year for which the last such report was prepared by them under that section, and

(b)the transfer date,

whether that period is a financial year or not.

(3)Subsection (2) of that section shall apply to any such report as if the references to the statement of accounts for the year in question included references to the statement of accounts prepared in accordance with sub-paragraph (1) above.

(4)The Secretary of State shall lay copies of any such report before each House of Parliament.

(5)Any expenses incurred by the IBA under this paragraph shall be met by such one or more of the relevant transferees, and (if more than one) in such proportions, as may be determined by or under a transfer scheme.

Section 128.

SCHEDULE 10E+W+S+N.I. Supplementary Provisions Relating To Dissolution of Cable Authority

Provisions as to vesting of property etc. of Cable AuthorityE+W+S+N.I.

1(1)Sub-paragraph (2) below shall have effect for the purposes of, or in connection with, the vesting in the Commission by virtue of section 128(1) of this Act of property, rights or liabilities of the Cable Authority.E+W+S+N.I.

(2)Any agreement made, transaction effected or other thing done by or in relation to the Cable Authority which is in force or effective immediately before the transfer date shall have effect as from that date as if made, effected or done by or in relation to the Commission, in all respects as if the Commission were the same person, in law, as the Cable Authority; and accordingly references to the Cable Authority—

(a)in any agreement (whether or not in writing) and in any deed, bond or instrument,

(b)in any process or other document issued, prepared or employed for the purpose of any proceeding before any court or other tribunal or authority, and

(c)in any other document whatever (other than an enactment),

shall be taken as from the transfer date as referring to the Commission.

2(1)Where immediately before the transfer date there is in force an agreement which—E+W+S+N.I.

(a)confers or imposes on the Cable Authority any rights or liabilities which vest in the Commission by virtue of section 128(1), and

(b)refers (in whatever terms and whether expressly or by implication) to a member or officer of the Cable Authority,

the agreement shall have effect, in relation to anything falling to be done on or after the transfer date, as if for that reference there were substituted a reference to such person as the Commission may appoint or, in default of appointment, to the member or employee of the Commission who corresponds as nearly as possible to the member or officer of the Authority in question.

(2)References in this paragraph to an agreement include references to a deed, bond or other instrument.

Transfer of employeesE+W+S+N.I.

3(1)It is hereby declared for the avoidance of doubt that—E+W+S+N.I.

(a)the effect of section 128(1) in relation to any contract of employment with the Cable Authority in force immediately before the transfer date is merely to modify that contract (as from that date) by substituting the Commission as the employer (and not to terminate the contract or vary it in any other way); and

(b)that provision is effective to vest the rights and liabilities of the Cable Authority under any agreement or arrangement for the payment of pensions, allowances or gratuities in the Commission along with all the other rights and liabilities of the Authority.

(2)Accordingly, for the purposes of any such agreement or arrangement as it has effect as from the transfer date, any period of employment with the Cable Authority shall count as employment with the Commission.

(3)The Transfer of Undertakings M16(Protection of Employment) Regulations 1981 shall apply to the transfer to the Commission, by virtue of section 128(1), of the undertaking of the Cable Authority, whether or not they would otherwise so apply; and that undertaking shall accordingly (whether or not it would otherwise be so regarded) be regarded for the purposes of those Regulations as an undertaking in the nature of a commercial venture.

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Marginal Citations

Final accounts and annual report of Cable AuthorityE+W+S+N.I.

4(1)The Cable Authority shall, as soon as possible after the transfer date, prepare such a statement of accounts as is mentioned in subsection (1) of section 20 of the M17Cable and Broadcasting Act 1984 (accounts and audit) in respect of the period between—E+W+S+N.I.

(a)the end of the financial year for which the last statement of accounts was prepared by them under that section, and

(b)the transfer date,

whether that period is a financial year or not; and that section shall continue to apply on and after that date in relation to the auditing of accounts kept in accordance with that subsection in respect of that period.

(2)The Cable Authority shall, as soon as possible after the transfer date, prepare and transmit to the Secretary of State, in accordance with section 21 of that Act (annual reports), such a report as is mentioned in subsection (1) of that section in respect of the period between—

(a)the end of the financial year for which the last such report was prepared by them under that section, and

(b)the transfer date,

whether that period is a financial year or not.

(3)Subsection (2) of that section shall apply to any such report as if the references to the statement of accounts for the year in question included references to the statement of accounts prepared in accordance with sub-paragraph (1) above.

(4)The Secretary of State shall lay copies of any such report before each House of Parliament.

(5)Any expenses incurred by the Cable Authority under this paragraph shall be met by the Commission.

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Marginal Citations

Section 129.

SCHEDULE 11E+W+S+N.I. Transitional Provisions Relating to IBA’s Broadcasting Services

Part IE+W+S+N.I. General

In this Schedule—

  • the M181981 Act” means the Broadcasting Act 1981;

  • the Authority” means the Radio Authority;

  • Channel 4” means the additional broadcasting service referred to in section 10(1) of the 1981 Act, but excluding so much of that service as consisted, immediately before the transfer date, in the broadcasting of programmes for reception wholly or mainly in Wales, and “on Channel 4” means in the said service;

  • the interim period” means the period referred to in paragraph 1(1) in Part II of this Schedule;

  • local licence” and “local service” have the same meaning as in Part III of this Act;

  • S4C” means the television broadcasting service referred to in section 57(1) of this Act, and “on S4C” means in that service.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Marginal Citations

Part IIE+W+S+N.I. Television Broadcasting Services to be provided by Commission

IBA’s television broadcasting services to be provided by Commission during interim periodE+W+S+N.I.

1(1)During the period beginning with the transfer date and ending with 31st December 1992 (referred to in this Schedule as “the interim period”) the following television broadcasting services, namely—E+W+S+N.I.

(a)ITV,

(b)Channel 4,

(c)any teletext service provided by the IBA down to the transfer date, and

(d)any DBS services so provided,

shall be provided by the Commission in accordance with this Part of this Schedule.

(2)The services provided by the Commission as mentioned in sub-paragraph (1) shall be of high quality both as to the transmission and as to the matter transmitted and (subject to paragraph 3(1) below) shall be provided by the Commission for so much of the United Kingdom as may from time to time be reasonably practicable.

(3)During the interim period the following provisions of the 1981 Act, namely—

(a)section 2(2),

(b)sections 3 to 9,

(c)sections 14(3) and 15,

(d)sections 28 and 29, and

(e)Schedule 2,

shall (subject to the provisions of this Part of this Schedule) have effect in connection with the provision of those services by the Commission as they had effect, immediately before the transfer date, in connection with the provision of those services by the IBA.

(4)The provisions specified in sub-paragraph (3) above shall have effect in accordance with that sub-paragraph with the following general modifications, namely—

(a)any reference to the IBA shall (subject to paragraph (b) and sub-paragraph (8) below) be construed as a reference to the Commission; and

(b)any reference to any of the broadcasting stations used by the IBA shall be construed as a reference to any of the broadcasting stations used in the provision of any of the services provided by the Commission as mentioned in sub-paragraph (1) above.

(5)Section 3(2)(b) of the 1981 Act shall have effect in accordance with sub-paragraph (3) above with the substitution of the following sub-paragraph for sub-paragraph (ii)—

(ii)by reason of the termination of any contract with a programme contractor;and.

(6)Section 8 of the 1981 Act shall have effect in accordance with sub-paragraph (3) above with the omission of subsections (6) to (9) of that section; but (except in the case of any programme to which the Commission determine that the following prohibition is not to apply) none of the broadcasting services provided by the Commission as mentioned in sub-paragraph (1) above shall include a programme which is sponsored by any person whose business consists, wholly or mainly—

(a)in the manufacture or supply of a product, or

(b)in the provision of a service,

the advertising of which in any such broadcasting service is prohibited by virtue of any provision of that Act (as applied by this paragraph) or of the code under section 9 of that Act (as so applied).

(7)Section 9 of the 1981 Act shall have effect in accordance with sub-paragraph (3) above as if—

(a)in subsection (1)(a), after “standards and practice in advertising” there were inserted “ and in the sponsoring of programmes ”;

(b)in subsection (1)(b), there were inserted at the end “ and as regards the sponsoring of programmes so broadcast ”; and

(c)after “methods of advertising” (wherever occurring) there were inserted “ or sponsorship ”;

and the Commission may give effect to paragraph (a) above by making modifications to the code in force under section 9 immediately before the transfer date.

(8)Section 29(5) of the 1981 Act shall have effect in accordance with sub-paragraph (3) above as if the reference to requiring the IBA by notice in writing to do, or not to do, anything mentioned in that provision were a reference to requiring the Commission by notice in writing to direct any programme contractor specified in the notice—

(a)to do, or not to do, that thing, or

(b)(if the context so requires) to secure that that thing is or is not done.

(9)Without prejudice to the generality of sub-paragraph (5) of paragraph 2 below, the Commission may make such variations of a contract to which sub-paragraph (1) of that paragraph applies as appear to them to be appropriate for facilitating or ensuring compliance with any direction or notice given to or served on them under section 28 or 29 of the 1981 Act (as applied by this paragraph).

General provisions about programme contracts and programme contractorsE+W+S+N.I.

2(1)Sections 2(3) and 14(2) of the 1981 Act shall have effect in relation to the Commission and the programmes and teletext transmissions broadcast by them in the services provided by them as mentioned in paragraph 1(1) above as they had effect immediately before the transfer date in relation to the IBA and the programmes and teletext transmissions broadcast by them in the services mentioned in paragraph 1(1); and where a contract between the IBA and a programme contractor or a teletext contractor is effective immediately before that date—E+W+S+N.I.

(a)the contract shall continue to have effect on and after that date (subject to and in accordance with this Part of this Schedule) as a contract between the Commission and that contractor and any other party to it, and

(b)any reference in the contract to the IBA shall accordingly be construed, in relation to any time falling on or after that date, as a reference to the Commission.

(2)During the interim period the following provisions of the 1981 Act, namely—

(a)sections 19(1) to (2B) and 20(2) to (9),

(b)sections 21 to 25,

(c)sections 32 to 35, and

(d)Schedule 4,

shall have effect in relation to any contract to which sub-paragraph (1) applies, or (as the case may be) in relation to the programme contractor or teletext contractor under any such contract, subject to the modifications specified in sub-paragraph (3) and subject also to paragraphs 4 and 5 below.

(3)The modifications of the provisions specified in sub-paragraph (2) are as follows—

(a)any reference in those provisions to the IBA shall (subject to paragraphs (b) and (c) below) be construed as a reference to the Commission;

(b)sections 21 and 23 shall have effect as if any reference to the IBA’s obligation to transmit the programmes supplied by a programme contractor were a reference to the right and the duty of the programme contractor under his contract to provide programmes for broadcasting in one of the services provided by the Commission as mentioned in paragraph 1(1) above;

(c)section 22 shall have effect as if any reference to the programmes, or television programmes, supplied to the IBA were a reference to the programmes, or television programmes, supplied for broadcasting in one of those services; and

(d)section 32(1)(a) shall have effect as if—

(i)for “the branch” there were substituted “ the part ”, and

(ii)for “section 36(2) in relation to that branch” there were substituted “ paragraph 12(1) of Schedule 1 to the Broadcasting Act 1990 in relation to that part ”.

(4)The Commission shall do all that they can to secure that during the interim period no person who is, or is an associate of, a TV programme contractor—

(a)holds any local licence, or

(b)controls any body which holds any such licence, or

(c)is a participant with more than a 20 per cent. interest in a body corporate which holds any such licence,

in a case where the area or locality for which the licensed service is to be provided is to a significant extent the same as the area for which television programmes are to be provided under the TV programme contractor’s contract; and this sub-paragraph shall be construed in accordance with Part I of Schedule 2 to this Act.

(5)The Commission may make such variations of a contract to which sub-paragraph (1) applies as appear to them to be appropriate in consequence of any of the provisions of this Part of this Schedule.

Provisions relating to Channel 4E+W+S+N.I.

3(1)Channel 4 shall be provided by the Commission during the interim period for so much of England, Scotland and Northern Ireland as may from time to time be reasonably practicable.E+W+S+N.I.

(2)The programmes (other than advertisements) broadcast by the Commission on Channel 4 shall (without prejudice to section 12(2) of the 1981 Act, as applied by this paragraph) be provided by the Commission.

(3)In consequence of sub-paragraph (2), sections 3(2) and 6 of the 1981 Act (as applied by paragraph 1 above) do not apply in the case of Channel 4.

(4)Subject to the modifications specified in sub-paragraph (5), sections 11 to 13 of the 1981 Act shall have effect in connection with the provision of Channel 4 by the Commission during the interim period as they had effect immediately before the transfer date in connection with the provision of that service by the IBA.

(5)The modifications of the provisions specified in sub-paragraph (4) are as follows—

(a)any reference in those provisions to the IBA shall (subject to paragraph (c) below) be construed as a reference to the Commission;

(b)section 12(1) shall have effect as if for the reference to paragraph 4(1) of Schedule 1 to the 1981 Act there were substituted a reference to paragraph 1(3) of Schedule 1 to this Act;

(c)section 12(2) shall have effect as if for the reference to a subsidiary of the IBA formed by them for the purpose there were substituted a reference to a subsidiary of the Commission (being the body corporate formed by the IBA in pursuance of that provision); and

(d)in section 13, subsection (4) shall (in consequence of paragraph 1(6) above) have effect with the omission of paragraph (c).

Provisions relating to teletext servicesE+W+S+N.I.

4(1)For the purposes of—E+W+S+N.I.

(a)this Part of this Schedule, and

(b)the provisions of the 1981 Act which have effect in accordance with this Part of this Schedule,

teletext transmissions shall not be treated as programmes; but this is subject to sub-paragraph (2) and to any of those provisions of the 1981 Act which expressly requires such transmissions to be so treated for the purposes of any particular provision.

(2)In paragraphs 1(8) and 2(3)(b) above and 10 below and in the provisions specified in Part I of Schedule 3 to the 1981 Act (as they have effect in accordance with this Part of this Schedule)—

(a)references to programmes or to television programmes shall be read as including references to teletext transmissions; and

(b)references to programme contractors shall be read as including references to teletext contractors.

(3)In section 3(2) of the 1981 Act, in its application to teletext transmissions or teletext contractors by virtue of sub-paragraph (2), the reference to section 2(3) of that Act shall be read as a reference to section 14(2) of that Act (as it has effect by virtue of paragraph 2(1) above).

(4)The following provisions of the 1981 Act, namely—

(a)section 20(2)(b) and (3), and