Channel 4 privatisation: What ALCS has to say

ALCS expresses its concerns over the privatisation of Channel 4.

The Government announced on 4 April 2022 that it will be going ahead with plans to privatise Channel 4. It was stated as the Government’s preferred option when a consultation was launched in November last year. However, ALCS along with other organisations within the creative sector as well as a wide spectrum of politicians have expressed ongoing opposition to the policy. Channel 4 is an economically and culturally valuable broadcaster to the UK and ALCS believes any change would threaten the positive contribution they make to the culture sector.

Recently, in a submission on levelling-up and place-making to the Digital, Culture, Media and Sport Committee, ALCS discussed the importance of Channel 4 as a public service broadcaster (PSB) and its value to the creative industries. The broadcaster has a strong history of engaging different partners across the UK, from local production companies to commissioning British writers from varying backgrounds for television and film.

Channel 4 is an economically and culturally valuable broadcaster to the UK and ALCS believes any change would threaten the positive contribution they make to the culture sector.

ALCS figures show that from one education recording income stream alone we were able to distribute nearly half a million pounds, £434,110.07, to our writer members in 2021 on behalf of Channel 4 broadcasts. This makes up only one of the income streams we receive as a result of the broadcaster’s output and is a sizeable amount of money. ALCS research has shown that writers’ annual earnings have decreased considerably over the past decade; we would not like to put this at further risk of decline by privatising Channel 4.

As well as the money that ALCS distributes, the current Channel 4 business model ensures that all surplus revenue generated is reinvested into UK television production, which was recorded at £74million in 2020. The creative workforce has taken a considerable hit in the past two years with the pandemic and stability within the sector is necessary for recovery, an upheaval to the broadcasters business model is a controversial and risky change.

ALCS figures show that from one education income stream alone, directly from Channel 4, we were able to distribute nearly half a million pounds, £434,110.07, to our writer members in 2021.

Barbara Hayes, Deputy CEO, commented: “The Government’s recent announcement has caused concern within the culture sector as Channel 4 is a stable public broadcaster that has made considerable efforts to invest outside of London, create local jobs and support the up-and-coming talent pipeline.

ALCS hopes that ahead of the Media Bill, parliamentarians across the political spectrum, will seriously consider the potential negative effects that privatisation could have on British writers, many of whom have been responsible for programmes and films we love and enjoy.”

The Writers’ Guild of Great Britain (WGGB) is encouraging authors to contact their local MPs on the matter so that we have a chance to properly hold the Government to account on their reasoning behind this decision.

Contact your MP using the organisation’s template letter to show your concern. A joint briefing on Channel 4 and the risks posed by privatisation can be found here. If you have any questions or queries, please contact advocacy@alcs.co.uk.