Plans to allow some of the UK’s biggest channels to broadcast more adverts have been slammed by rival broadcasters, industry bodies and organisations representing viewers.
Ofcom is proposing to remove the restrictions affecting commercial public service broadcasters (PSBs). This affects channels including ITV1, STV, Channel 4 and Channel 5, which aren’t allowed to broadcast as many adverts as non-PSB channels like Dave, Discovery or Sky Max.
Currently, ad-breaks on these commercial PSBs are restricted to 3 minutes and 50 seconds, of which a maximum of 3 minutes and 30 seconds can be filled with adverts. Additionally, on some shorter programmes, ITV1, Channel 4 and Channel 5 can’t show as many ad-breaks.
Sky says the move would increase ad time at the expense of news coverage on ITV1. Meanwhile Channel 5 owner Paramount says changing the ad minutage rules, known as ‘COSTA’ would result in advertisers simply shifting their spend from smaller channels to the bigger ones.
The responses follow a lively consultation between Ofcom and stakeholders with a final decision due soon.
Current restrictions on the main channels date back 30 years, when for many households, ITV and Channel 4 were the only channels with adverts. Today, these channels retain the special status of commercial public service broadcasters. As a perk, they are awarded guaranteed slots near the top of channel lists and will soon enjoy enhanced prominence on on-demand platforms. But they are obligated to provide certain types of programmes, such as regional news and/or children’s programmes.
Offshoot channels operated by ITV, Channel 4 and 5 (e.g. ITV2, E4 and 5 USA) don’t come under these rules. These channels alongside other non-PSB channels would retain their current advertising rules.
▶ How many more minutes of adverts would be allowed?
If rules between PSB and non-PSB channels were aligned, ITV1, Channel 4 and Channel 5 could carry more adverts. This would affect viewers in two ways:
- Breaks could also be longer than the 3 minutes and 50 seconds currently permitted.
- Broacasters can insert more ad breaks during shorter programmes. For example, a 40 minute programme may only contain one ad break on ITV1, but on the non-PSB ITV2 channel, 2 breaks would be allowed.
| Current PSB Channel rules | Current Non-PSB Channel rules. Would apply to all channels if the rules are changed. | ||
|---|---|---|---|
| Scheduled duration of a programme (minutes) | Number of ad breaks | Scheduled duration of a programme (minutes) | Number of ad breaks |
| 21-44 | 1 | <26 | 1 |
| 45-54 | 2 | 26-45 | 2 |
| 55-65 | 3 | 46-65 | 3 |
| 66-85 | 4 | 66-85 | 4 |
| 86-105 | 5 | 86-105 | 5 |
| 106-125 | 6 | 106-125 | 6 |
| Maximum duration of ad-break | 3:50 (of which adverts must take no more than 3:30 of this time) | – | – |
Maximum duration of ad-break on commercial PSB channels: 3:50 (of which adverts must take no more than 3:30 of this time). No restrictions on non-PSB channels.
Teleshopping windows: can only run between 00:00 and 06:00. No restriction on when non-PSB channels can schedule teleshopping. (Many such channels schedule them between 03:00-09:00.)
▶ What broadcasters say:
ITV
In favour. Ofcom should not move straight away to provide an entirely level playing field for ad minutes on public and non public service broadcasters. Instead, Ofcom should focus reform on:
- the removal of the ‘40 minute’ rule in peak; and
- the alignment of the rules around the frequency and length of advertising breaks
between PSBs and non-PSBs.
Channel 4
In favour. The broadcaster claims a change in the minutage rules “would actually mean fewer advertising breaks during programmes like Gogglebox, as end breaks would be removed”. The remaining ad-breaks would be 30 seconds longer.
Arguably, viewers may not consider end breaks as being ‘during’ a programme.
Sky
Opposed. It said increasing the amount of advertising on the main PSB channels would “harm viewers”. Regarding ITV’s enthusiasm for the changes, it said the only beneficiaries would be ITV shareholders.
Sky says that the changes could reduce the amount of time spent on news on ITV1 and Channel 4, with more ad-breaks possible during and surrounding existing news bulletins.
COBA, the Association for Commercial Broadcasters and On-Demand Services, has also issued a press release warning about this.
Paramount (owners of Channel 5)
Opposed. Paramount said it believes no changes to the current rules are justified and any changes could in fact be detrimental to the broadcasting ecology. It fears the proposed changes will “simply move ad-spend away from smaller broadcasters towards the largest commercial PSBs.”
News Broadcasting (owners of TalkTV)
Opposed. Fears a “devaluation of television [ad] spots and reduced income for non-PSB channels”.
Voice of the Listener and Viewer
Opposed. VLV says “there is no guarantee that allowing the commercial PSBs to show more adverts will of itself ensure their financial sustainability.” Alongside reforms to the advertising minutage rules, the VLV says it “is essential that the reforms to the Communications Act proposed by Ofcom to ensure PSB prominence and fair carriage terms on platforms and hardware are instituted as a matter of urgency. Additionally, any existing regulation which applies to broadcasters should equally apply to streaming VOD platforms – both in terms of content standards and advertising
rules. “
UKTV’s response to the consultation has not yet been published by Ofcom, but the BBC Studios-owned broadcaster is understood to also be opposed, as the move threatens to take ad revenue away from their portfolio of channels.
Marc Thornham