Channel 4 Privatisation

Lord Deben Excerpts

Tuesday 5th April 2022 Lords Chamber

[Lord Parkinson of Whitley Bay (Con)]

I must say that I find that a weak argument from the noble Lord. The Government are capable of doing many things. There is an urgency in addressing this issue so that Channel 4 is fit for what is a rapidly changing media landscape. The proportion of viewing on subscription on-demand services has trebled since 2017; it is important that Channel 4 is able to compete with the likes of Netflix and Amazon, so that it can continue to support the independent production sector and produce the viewing for which it is rightly renowned. That is why, as part of a wider package of reforms to public service broadcasting, the Secretary of State has announced her decision, ahead of having the vehicles to do that.

[Lord Deben (Con)]

Perhaps my noble friend could help me. If a former constituent came up to me in the street and said, “Lord Deben, given Covid, the disastrous Brexit, the European war and the cost of living crisis, why have the Government thought it urgent to bring forward something for which there is no public demand, and real opposition across the House?”, what would my noble friend say?

[Lord Parkinson of Whitley Bay (Con)]

I am not sure that all my noble friend’s constituents might phrase it like that. As I said to the noble Lord, Lord Bassam, the risk of doing nothing is to leave Channel 4 reliant on linear advertising. Currently 74% of its income comes from linear advertising, which is part of the broadcasting landscape that is changing rapidly. It is trying to compete with the likes of Netflix, which spent £9.2 billion on original content in 2019, compared with £2.1 billion by all the UK’s public service broadcasters. We want to ensure that Channel 4 is fit for the future so that it can continue to thrive and flourish.