30 March 2010 11:12
The main terrestrial commercial channels in the UK may increase their
ad revenue by millions, following the communication regulator's
proposal to scrap the 'must sell' rule for airtime.
Currently,
the commercial public service broadcasters (PSBs) ITV, Channel 4 and
Five are obliged to sell all their airtime by Ofcom to prevent them
driving up the cost of advertising slots.
However, the rules
have come under increasing criticism as mainstream channels have found
digital channels splitting their market share.
The consultation
by Ofcom to relax the rules could mean that the channels enter into
'bundling deals' with advertisers for their biggest programmes – which
could potentially increase ad revenue by millions.
Industry
experts believe that the rules may even be welcome to advertisers who
are concerned about the impact of money-saving on the quality of
television programmes.
Ed Richards, the regulator's chief
executive, said: "Underpinning all of our work this year on advertising
is a commitment to reduce and simplify regulation whenever there is no
clear evidence of a public interest which requires regulation."
