Source · Select Committees · Culture, Media and Sport Committee

Recommendation 6

6 Accepted

Access to more philanthropic funding could help ensure the sustainability of the local news sector.

Recommendation
Access to more philanthropic funding could help ensure the sustainability of the local news sector. Many, though not all, local news publishers would benefit from charitable status, but this is currently very difficult for news organisations to achieve. We recommend that the Government, in its response to us, indicates what options it might consider to make it easier for local news organisations to achieve charitable status. We also recommend that the Government assess ways to encourage more philanthropic donations to local news publishers for whom charitable status would not be appropriate. (Paragraph 62) Local Television and Radio
Government Response Summary
The government agrees with the Review’s conclusions as to the vital local service that the community radio sector provides, and are committed to supporting its continued growth. Uplifts have been applied to the Community Radio Fund in each of the last three financial years.
Government Response Accepted
HM Government Accepted
As noted in the report of the joint government / industry Digital Radio and Audio Review, the community radio sector has gone from strength to strength since the first stations were licensed in 2002 under the ‘Access Radio’ pilot scheme. We agree with the Review’s conclusions as to the vital local service that the sector provides, and are committed to supporting its continued growth. While the wider economic context did not, in the light of other competing demands on taxpayer funding, provide scope for an increase to the Community Radio Fund in the most recent Spending Review, targeted uplifts have been applied to the Fund in each of the last three financial years, in reflection of the huge contribution that community radio stations make within their localities. The Fund has also recently been externally evaluated, with the report (published in March 2022) highlighting the excellent work being done in the sector. That evaluation, in addition to the recommendations of this inquiry, will inform future discussions about the level of the Fund and its priorities in supporting the community radio sector. In addition, Ofcom- licensed community radio stations (as well as commercial and BBC services) will benefit from the provisions in the draft Media Bill supporting UK radio’s access to its listeners via smart speakers and other connected audio devices.