Former BBC and ITV chairman Michael Grade is under consideration for the role of chairman at broadcast regulator Ofcom, according to reports. Grade would potentially oversee some of the biggest changes to UK broadcasting at his previous employers.
Bloomberg, quoting people familiar with the matter, reports that the consideration of Grade as candidate comes after Prime Minister Boris Johnson’s favoured candidate and former long-time Daily Mail editor Paul Dacre dropped out.
Grade would potentially join Ofcom as it prepares a review of commercial public service broadcasters (PSBs), ahead of the relicensing of Channel 3 and Channel 5 services. Ofcom is due to report to the Secretary of State by June 2022 regarding whether current obligations placed on the holders of the Channel 3 and 5 broadcast licences are sustainable. At the same time, the government is moving forward with plans to privatise Channel 4. Ofcom is currently responsible for reviewing Channel 4’s plans and delivery of its media content duties.
Lord Grade was recently named in a report connecting him to a potential bid for Channel 4. In addition to top roles at the BBC and ITV, Grade was also Chief Executive at Channel 4.
Michael Grade declined to comment on the Bloomberg story. He currently serves as chair of Miroma, a company controlled by media entrepreneur Marc Boyan.
Channel 3 and Channel 5 licence review
Since Channel 3 and Channel 5 broadcast licences were last renewed, PSBs have faced a dramatic increase in competition from US streaming services. Additionally, there have been strong political headwinds against the current system of public broadcasters. Ofcom will consider if obligations such as news provision and local programmes are still fit for purpose. Current licences expire in three years, at the end of 2024. Based on the last licence renewal timeframe, key decisions on licence terms are due in the next 18 months.
Channel 4 defends itself against a sale
Meanwhile, Channel 4 have hired a prominent team of media industry bankers. They will advise on alternatives to a potential government sale of the broadcaster, according to Sky News. Their role will be to screen alternative models for the publicly owned but commercially funded broadcaster. Reports have associated ITV as a potential bidder for Channel 4. A takeover would trigger the biggest change in public broadcasting since the 1990s.