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News

ISBA "very encouraged" by Govt response to Lords report on TV ad regulation

06 April, 2011 - Source: ISBA

ISBA has welcomed the Government’s response to the House of Lords’ Communications Committee report into the regulation of television advertising, published last night.

The advertiser body – which gave oral evidence to the Lords Committee last November – said it was “very encouraging” to see that the Government had listened to its views and seemed to agree that the Lords report “lacked depth.”

ISBA’s Director of Media and Advertising Bob Wootton said: “We welcome this response. The views of advertisers have clearly been heeded and understood. We look forward to playing a full and active part in the forthcoming review, itself the next stage in a long-running process.”

In its response the Government:

• recognised the considerable difficulties and loopholes involved in replacing CRR with undertakings governing investment in content, and agreed that the initiative for progressing any alternative undertakings rests with ITV
• also recognised that this should not mean releasing ITV to leverage its competitive advantage and charge advertisers more
• endorsed Ofcom’s wider review of the TV advertising market (as announced by Ofcom CEO Ed Richards at the ISBA Annual Conference on 17 March)
• reminded that whatever the outcome, the Competition Commission is the relevant and ultimate authority
• agreed that the recently revoked Advertising Sales Rules should be reinstated if CRR were lifted, and reminded that Ofcom should consider its public interest objectives when considering any harmonisation of amount of advertising per hour
• reiterated that Government does not have the power to remove CRR
• reiterated the need for a timely approach, but also reminded that the whole process will be complex

The Government’s full response can be downloaded from the DCMS website here.

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