Ofcom

Last updated

Office of Communications
AbbreviationOfcom
Formation29 December 2003;20 years ago (29 December 2003)
Type Statutory corporation
Legal statusCreated by Office of Communications Act 2002 [1]
Purpose Regulator and competition authority for broadcasting, postal services, telecommunications and radiocommunications spectrum
Headquarters London, England
Location
Region served
United Kingdom
Official language
English, Welsh
Chairman
 Michael Grade [2]
Chief Executive
 Melanie Dawes
Main organ
Board of Directors
Staff902 (full-time equivalents) (in 2019)
Website www.ofcom.org.uk OOjs UI icon edit-ltr-progressive.svg

The Office of Communications, commonly known as Ofcom, is the government-approved regulatory and competition authority for the broadcasting, telecommunications and postal industries of the United Kingdom.

Contents

Ofcom has wide-ranging powers across the television, radio, telecoms and postal sectors. It has a statutory duty to represent the interests of citizens and consumers by promoting competition and protecting the public from harmful or offensive material. [3] [4]

Some of the main areas Ofcom regulates are TV and radio standards, broadband and phones, video-sharing platforms online, the wireless spectrum and postal services.

The regulator was initially established by the Office of Communications Act 2002 and received its full authority from the Communications Act 2003. [1]

History

On 20 June 2001, the Queen's Speech to the UK Parliament announced the creation of Ofcom. The new body, which was to replace several existing authorities, was conceived as a "super-regulator" to oversee media channels that were rapidly converging through digital transmission. [5]

On 29 December 2003, Ofcom launched, formally inheriting the duties that had previously been the responsibility of five different regulators: [6]

In July 2009, Conservative Party opposition leader David Cameron referenced Ofcom in a speech against the proliferation of quangos:

With a Conservative government, Ofcom as we know it will cease to exist… Its remit will be restricted to its narrow technical and enforcement roles. It will no longer play a role in making policy. And the policy-making functions it has today will be transferred back fully to the Department for Culture, Media and Sport. [7] [8]

Under Cameron's subsequent premiership of the 2010 UK coalition government, the Public Bodies Act 2011 did remove or modify several of Ofcom's duties, although it did not substantially reduce Ofcom's remit. [9]

On 1 October 2011, Ofcom took over responsibility for regulating the postal services industry from the Postal Services Commission (Postcomm). [10]

In April 2015, Ofcom announced that telephone companies would have to provide customers with a set charge for the cost of calling numbers starting with 084, 087 and 09. The streamlining of these charges must be printed in each customer's contract and monthly bills. The change came into force on 1 July 2015 and affected over 175 million phone numbers, making it the biggest overhaul of telephoning in over a decade. [11]

On 1 January 2016, the regulation of video on demand was transferred to Ofcom from ATVOD, the Authority for Television on Demand. [12]

The Digital Economy Act 2017 extended Ofcom's remit and powers. Ofcom were given powers concerning the minimum broadband speed provided by Internet service providers, the ability to financially penalise communications providers for failing to comply with licence commitments and the power to require public service broadcasters to include a minimum quantity of children's programming made in the United Kingdom. The act also transferred to Ofcom the regulation of the BBC, a duty previously undertaken by the BBC Trust, [13] [14] and updated the Ofcom Electronic Communications Code to make it easier for telecommunications companies to erect and extend mobile masts. [15]

Following a consultation over the Online Harms White Paper published by the UK government in April 2019, the government announced in February 2020 that it intended Ofcom to have a greater role in Internet regulation to protect users from "harmful and illegal content". [16]

In July 2022, Ofcom received additional tools to prevent, identify and remove any content that depicts child sexual abuse and exploitation. These tools will be introduced through an amendment to the Online Safety Bill. Ofcom will be allowed to penalise those tech firms that do not comply, either by fines up to £18m or by 10% of the company's annual turnover, whichever amount is higher. [17]

News International phone hacking scandal

In July 2011, in the wake of the News International phone hacking scandal, Ofcom came under pressure to launch an inquiry into whether the parent company of News International, News Corporation, was still the "fit and proper" owner of a controlling stake in the satellite broadcasting company British Sky Broadcasting (BSkyB). On 13 July former Prime Minister Gordon Brown urged Ofcom to launch an investigation. [18] [19] On 15 July the Deputy Prime Minister Nick Clegg stated that the Government would launch a review of laws on what constituted a "fit and proper" owner for broadcasting companies in the United Kingdom, and that anyone found not to meet that standard can be forced to give up their current holdings in a company. [20]

On 22 July 2011, it was reported that Ofcom had begun an investigation into whether the phone-hacking scandal may have changed BSkyB's status as the "fit and proper" holder of a UK broadcasting licence. [21] On the same day Ed Richards, the then chief executive of Ofcom, replied to Simon Hughes MP, Don Foster MP and Tim Farron MP following a letter which they had written to him on 8 July concerning News Corporation's shareholding in BSkyB. [22] In the letter Richards confirmed that Ofcom considers that News Corporation's current shareholding of 39.14% in BSkyB does give it a material influence over the company; that Ofcom is not precluded from acting by ongoing police investigations; and that Ofcom's process is not dependent upon a criminal conviction being secured. [22]

In April 2012, Ofcom's probe moved from a monitoring phase to an "evidence gathering" phase. [23]

Timeline of communications regulators

RegulatorsDates
Television British Broadcasting Corporation
(BBC)		 BBC Board of Governors 1 January 192731 December 2006
BBC Trust 1 January 20072 April 2017
BBC Board (governance)Office of Communications
(Ofcom) (regulation)		3 April 2017present
Independent Television
(ITV)		 Independent Television Authority ITA4 August 195411 July 1972
Independent Broadcasting Authority IBA12 July 197231 December 1990
Independent Television Commission ITC1 January 199128 December 2003
Office of CommunicationsOfcom29 December 2003present
Channel 4 Independent Broadcasting AuthorityIBA2 November 198231 December 1990
Independent Television CommissionITC1 January 199128 December 2003
Office of CommunicationsOfcom29 December 2003present
Sianel Pedwar Cymru
(S4C)		 S4C Authority 1 November 1982present
Channel 5 Independent Television CommissionITC30 March 199728 December 2003
Office of CommunicationsOfcom29 December 2003present
Radio Independent Local Radio Independent Broadcasting AuthorityIBA12 July 197231 December 1990
Radio Authority 1 January 199128 December 2003
Office of CommunicationsOfcom29 December 2003present
Spectrum General Post Office GPO19041 October 1969
Ministry of Posts and Telecommunications MPT*1 October 19691974
Home Office 19741983
Department of Trade and Industry DTI19831990
Radiocommunications Agency 19902003
Office of CommunicationsOfcom29 December 2003present
Digital Television Cable Television Cable Authority 1 December 198431 December 1990
Independent Television CommissionITC1 January 199128 December 2003
Office of CommunicationsOfcom29 December 2003present
Satellite Television Independent Broadcasting AuthorityIBA11 December 198631 December 1990
Independent Television CommissionITC1 January 199128 December 2003
Office of CommunicationsOfcom29 December 2003present
Television on Demand Authority for Television on Demand ATVOD18 March 201031 December 2015
Office of CommunicationsOfcom1 January 2016present
Taste, Decency and Complaints Complaints Broadcasting Complaints Commission 1 June 198131 March 1997
Broadcasting Standards Commission 1 April 199728 December 2003
Office of CommunicationsOfcom29 December 2003present
Taste and Decency Broadcasting Standards Council 16 May 198831 March 1997
Broadcasting Standards Commission 1 April 199728 December 2003
Office of CommunicationsOfcom29 December 2003present
Telecommunications Telecommunications Office of Telecommunications Oftel1 October 198428 December 2003
Office of CommunicationsOfcom29 December 2003present
Postal Services Post Postal Services Commission Postcomm200030 September 2011
Office of CommunicationsOfcom1 October 2011present
EngineeringTransmittersIndependent Television AuthorityITA4 August 195411 July 1972
Independent Broadcasting AuthorityIBA12 July 197231 December 1990
National Transcommunications Limited NTL1 January 199129 July 2005
Arqiva 29 July 2005present

* Ministry of Posts and Telecommunications [24]

Activities

Television and radio

Ofcom licenses all UK commercial television and radio services in the UK. Broadcasters must comply by the terms of their licence, or risk having it revoked. Ofcom also publishes the Broadcasting Code, a series of rules which all broadcast content on television and radio must follow. [25] The Broadcasting Code requires that content inappropriate for children should not be broadcast between the hours of 5:30 a.m. and 9:00 p.m. Premium-rate film services may broadcast content equivalent to a BBFC 15 certificate at any time of day provided a PIN-protected system is in place to restrict access to those authorised to view it. [26] The broadcasting of pornography with a BBFC R18 certificate is not permitted. [27] In 2010 Ofcom revoked the licences of four free-to-air television channels for promoting adult chat services during daytime hours and transmitting content that was too sexually explicit. The companies involved were fined £157,250. [28] Ofcom's jurisdiction does not cover television and radio channels which are broadcast in the UK but licensed abroad. In 2012 Ofcom lodged a complaint with the Dutch media regulator regarding the content of adult chat television channels which are broadcast in the UK but licensed in the Netherlands. [29] Based on a survey of 200 British respondents, Ofcom published in 2016 a list of about 50 words classified in four grades of offensiveness, from "milder" to "strongest". [30]

Telephone and broadband

Ofcom regulates the UK telecoms sector, defining and enforcing the conditions by which all mobile and fixed-line phone and broadband companies must abide. These 'general conditions' are wide-ranging rules relating to matters such as telephone numbering, emergency services, sales, marketing and interconnection standards. Ofcom's investigation unit monitors compliance with the conditions and resolves disputes between providers.

Ofcom is also the competition authority for telecoms, enforcing remedies in markets where it believes dominant operators may have a potentially harmful influence on competition or consumers. One of its most high-profile interventions was to require BT to split its wholesale and retail arms into separate companies, bringing about the creation of Openreach which supplies wholesale services to both BT Retail and competing providers. [31]

On 1 July 2015, Ofcom made a number of changes to the way phone calls to UK service numbers would be charged. Under the new legislation, which was promoted by an information campaign entitled UK Calling, [32] call charges must be clearly stated on all materials that advertise a service number. The changes came after research found that callers are often confused about service call charges, and thus can avoid calling these numbers. The July 2015 changes also saw 'freephone numbers' 0800 and 0808 become free to call from both mobiles and landlines. [33]

In March 2016, Ofcom launched an interactive "Mobile coverage and fixed broadband checker", [34] allowing people to check mobile coverage and broadband speeds via their post code.

Spectrum licensing and protection

Ofcom is responsible for the management, regulation, assignment and licensing of the electromagnetic spectrum in the UK, and licenses portions of it for use in television and radio broadcasts, mobile phone transmissions, [35] private communications networks, wireless devices and so on. The process of licensing varies depending on the type of use required. Some licences simply have to be applied and paid for; other commercial licences are subject to a bidding process. Most of the procedures in place have been inherited from the systems used by the previous regulators. However, Ofcom may change some of these processes in future.

Ofcom protects the radio spectrum in a number of ways:

Postal services

In October 2010 the government announced plans for Ofcom to inherit the functions of Postcomm as part of a wider set of public service sell-off measures. [37] Following the Postal Services Act 2011 regulatory responsibility for postal services transferred to Ofcom on 1 October 2011, with its primary duty to maintain the UK's six-day-a-week universal postal service.

Consultations

Ofcom makes extensive use of consultations with industry and the public to help it make decisions based upon the evidence presented. Consultation processes begin with publishing documents on its website, [38] asking for views and responses. If the document is perceived to be long and complicated, a plain English summary is usually published as well. A period, usually of 10 weeks, is allowed for interested persons, companies or organisations to send in their responses to the consultation.

After this consultation period, Ofcom publishes all the responses on its website, excluding any personal or confidential information. Ofcom then prepares a summary of the responses received, and uses this information as a basis for its decisions. [39]

Leadership

Current

Michael Grade, Baron Grade of Yarmouth was appointed as chairman of Ofcom for a four-year term from 1 May 2022. [40]

The current Chief Executive is Melanie Dawes who was appointed on 12 February 2020. [41]

Historical

The first chairman of Ofcom (2002–2009) was David Currie, Baron Currie of Marylebone, Dean of Cass Business School at City University. The first chief executive (2003–2007) was Stephen Carter, Baron Carter of Barnes, formerly a senior executive of JWT UK and NTL and subsequently a Minister for Communications, Technology and Broadcasting. [42]

Colette Bowe was appointed Ofcom chairman with effect from 11 March 2009. [43] [44] [45] She was the founding chairman of the Telecoms Ombudsman Council, and chaired Ofcom's Consumer Panel from its inception in 2003 to December 2007.

Dame Patricia Hodgson was appointed as chairman of Ofcom for a three-year term from April 2014. She was a member of the Ofcom board from July 2011 and became deputy chairman in January 2012. [46] On 18 July 2016, it was announced that her term would be extended for a further year until 2018. [47]

Sharon White was Ofcom's chief executive from 2015 to 2019, having replaced Ed Richards in the role. [48]

After Sharon White was appointed the Chief Executive of John Lewis in June 2019, [49] the office of Chief Executive remained open until Jonathan Oxley was appointed as Interim Chief Executive. [50] In February 2020, it was announced that Melanie Dawes would become the new Chief Executive. [51]

On 15 March 2016, it was announced that Steve Gettings would become Corporation Secretary in succession to Graham Howell. [52]

Key personnel

Ofcom's key personnel are: [53]

Ofcom publishes a register of disclosable interests of the Ofcom board. [55]

Chairman of Ofcom

Status
  Denotes Acting Chairman
No.PortraitName
(Birth–Death)		Term of officeHonour(s)Prime MinisterMonarch
(Reign)
1 Lord Currie of Marylebone 2014.jpg David Currie, Baron Currie of Marylebone
(1946–)		29 December 200311 March 2009 Tony Blair Elizabeth II
(1952–2022)
Gordon Brown
2 Colette Bowe.jpg Colette Bowe
(1946–)		11 March 200931 March 2014
David Cameron
3 Patricia Hodgson.jpg Patricia Hodgson
(1947–)		1 April 201431 December 2017
Theresa May
4 Official portrait of Lord Burns crop 2.jpg Terence Burns, Baron Burns
(1944–)		1 January 201831 December 2020
Boris Johnson
– Mrs Margaret Carver.jpg Maggie Carver
(1964–)		1 January 202130 April 2022
5 Official portrait of Lord Grade of Yarmouth crop 2.jpg Michael Grade, Baron Grade of Yarmouth
(1943–)		1 May 2022Incumbent
Liz Truss
Charles III
(2022–)
Rishi Sunak
Keir Starmer

Chief Executive Officer of Ofcom

Ofcom committees

Ofcom has a number of committees and advisory bodies which inform the Ofcom Board and Executive. These include: [56]

UK hate speech regulation

Since 1 January 2021, Ofcom has defined hate speech as "all forms of expression which spread, incite, promote or justify hatred based on intolerance on the grounds of disability, ethnicity, social origin, sex, gender, gender reassignment, nationality, race, religion or belief, sexual orientation, colour, genetic features, language, political or any other opinion, membership of a national minority, property, birth or age." [57] However, there is concern that Ofcom's broad definition of hate speech can easily result in the unjustified censorship of controversial opinions, however legitimate they might be. [58]

Controversies

Expenditure

Ofcom has received criticism for incurring unnecessary costs as a result of "extravagant Thames-side offices" and a "top-heavy salary bill", [59] for inflexibility in its regulation of commercial radio, [60] and for "poor service". [61] In response to ongoing expenditure concerns, Ofcom made the following statement regarding the 2017/2018 budget: "Ofcom has delivered 12 consecutive years of like-for-like real-terms budget reductions, and we will continue to reduce spending wherever we can." [62]

Al Jazeera

The Qatar-based news media outlet was reported [63] to Ofcom in January 2017, following an exposé about Israeli diplomatic [64] corps irregularities and influence peddling amongst political and student groups in the UK. After investigations exceeding eight months, Ofcom reported that Al Jazeera was in line with journalism standards and cleared the filmmakers of the allegations. [65]

Press TV

In May 2011, Ofcom ruled that Press TV, an Iranian English-language satellite channel, was responsible for a serious breach of UK broadcasting rules and could face a fine for airing an interview with Maziar Bahari, the Newsweek journalist arrested covering the Iranian presidential election in 2009, that was obtained by force while he was held in a Tehran jail. Press TV said that Bahari did not "dispute the truth and accuracy" of the extract of the interview, so it made "no logical sense" to require his consent. [66]

Sitefinder database and freedom of information

The Sitefinder database is a national database of mobile phone base stations in the UK. [67] In September 2007, an Information Tribunal ruled that the public should have access to the database under the Freedom of Information Act 2000. [68] However, as Ofcom has no legal power to force mobile phone operators to add information to the database, UK mobile phone operators consequently ceased updating it. [31] Ofcom appealed against the Freedom of Information Act ruling, together with one UK mobile operator – T-Mobile. [69] This has led to accusations of the organisation's complicity with the mobile telecommunications industry in keeping information about mast locations secret. [70] Ofcom's stated reasons for the appeal have ranged from "preventing terrorist attacks" on the sites of phone masts to "protecting the intellectual property" of the mobile telecommunications industry. [69]

In April 2008, the High Court found in favour of the Information Commissioner's Office and over-ruled Ofcom's objections. Ofcom appealed to the Supreme Court, who in turn referred a point of law to the European Court of Justice, and then in October 2011 ordered that the matter should be remitted to the Information Rights Tribunal to reconsider the public interest balancing exercise. [71] On 12 December 2012, the Information Rights Tribunal upheld its decision of 4 September 2007. [72]

Deryn Consulting controversy

In 2017, Ofcom's advisory committee for Wales awarded Deryn Consulting a contract to monitor the National Assembly for Wales and Welsh Government. It was subsequently reported that the contract had not been put out to tender and that Huw Roberts and Nerys Evans held positions for both Deryn and Ofcom. [73] [74] The contract was terminated [75] and Ofcom concluded that it had broken its own procurement rules. [76]

Abu Dhabi TV

Abu Dhabi TV, owned by the Abu Dhabi Media state enterprise, was condemned by Ofcom for broadcasting a televised interview of the confessions made by a Qatari citizen, Dr. Mahmoud Al-Jaida, while he was detained arbitrarily in the Abu Dhabi prisons in 2013. The National Human Rights Committee of the State of Qatar welcomed Ofcom's decision. Under the decision, it was stated that on 28 June 2017, the Abu Dhabi TV channel, which is affiliated with Abu Dhabi Media Company P.J.S.C "ADMC", licensed under Ofcom had broadcast an interview recording titled "Mahmoud Al-Jaidah and the clandestine organization in UAE". According to the decision, the aired interview was recorded against the consent of Dr. Al-Jaidah, who was physically tortured during his time in the Abu Dhabi prison. The activity had constituted a serious breach of the principles of fairness and privacy detailed in the Ofcom Broadcasting Code. [77] [78]

CGTN

In 2019, Ofcom began an investigation into the Chinese international channel CGTN, owned by state broadcaster China Central Television (CCTV), following allegations that a forced confession from British former journalist Peter Humphrey was broadcast on the channel. [79] In addition, it also received four formal complaints over similar alleged confessions. [80] In November, Hong Kong activist and former UK consulate worker Simon Cheng filed a complaint to Ofcom a week after CGTN released a video of him admitting to "soliciting prostitution", which Cheng said he was forced to make. [81]

In early 2021, Ofcom revoked the UK broadcasting licence of CGTN. In a statement, it noted that the licence holder for the channel, Star China Media Ltd., did not have editorial responsibility over the channel, which was against legal requirements. It was also unable to hand over the licence to a corporation called "China Global Television Network Corporation" (CGTNC), on the grounds that the company was "ultimately controlled by the Chinese Communist Party, which is not permitted under UK broadcasting law". [82] [83] Ofcom later fined CGTN £225,000 for "breaching rules on fairness, privacy and due impartiality". [84]

Following the revocation, both the Chinese government and state media began targeting the BBC, accusing it of producing "fake news" in its coverage of the COVID-19 pandemic in mainland China and the Xinjiang internment camps. [85] CGTN itself claimed that Ofcom was "manipulated by extreme right-wing organizations and anti-China forces". [83]

Criticism of Michael Grade

In June 2022, the BBC's historian, Jean Seaton, publicy said that Michael Grade "is too lazy, too old, and has too many conflicts of interest," according to The Guardian . She called his appointment as chairman a means of "bullying" the BBC. [86]

GB News

Ofcom has been criticized by some for being seen as too lenient on GB News, which has breached Ofcom rules on a regular basis. Despite having found GB News in breach of Ofcom rules 11 times in a year, [87] Ofcom has refused to levy any fines or penalties against the network, instead preferring to simply issue warnings. Ofcom has previously also stated that GB News can use sitting politicians as presenters on its network. [88] Andrew Neil, the founder of GB News who has since left, has said that Ofcom needs to "grow a backbone and quick” regarding letting politicians host TV programmes. [89]

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  30. ↑ Will Butler (3 October 2016). "Ofcom Have Officially Ranked Every British Swear Word". Look Magazine.
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  40. ↑ "Lord (Michael) Grade". DCMS. 1 April 2022.
  41. ↑ "Ofcom Selects Melanie Dawes As Chief Executive". The Guardian. 12 February 2020.
  42. ↑ "Lord Carter of Barnes". Department for Business, Information and Skills. 6 November 2009. Archived from the original on 14 July 2009. Retrieved 2 May 2012.
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  44. ↑ Colette Bowe Institute of Competition Law. Retrieved 9 July 2011.
  45. ↑ Sweney, Mark (17 December 2008). "Colette Bowe appointed as Ofcom chair". The Guardian. Retrieved 10 August 2017.
  46. ↑ "Dame Patricia Hodgson DBE". Ofcom. 1 February 2012. Archived from the original on 21 April 2014. Retrieved 20 April 2014.
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  48. ↑ "Ofcom Board appoints Sharon White as Chief Executive". Ofcom. 16 December 2014.
  49. ↑ "Sharon White Leaves Ofcom to Join John Lewis Partnership". The Guardian. 6 June 2019.
  50. ↑ "Jonathan Oxley Appointed Interim Chief Executive". Ofcom. 12 February 2020.
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  57. ↑ "Ofcom broadens definition of hate speech to include trans intolerance". Yahoo Sports. 2 January 2021.
  58. ↑ Tettenborn, Andrew (24 September 2020). "Ofcom is a menace to our freedom of speech". The Critic.
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  60. ↑ Plunkett, John (5 June 2007). "Ofcom accused of 'Nero approach'". The Guardian. London.
  61. ↑ "Poor Service from OFCOM". Letsfixbritain.com. Archived from the original on 3 November 2004. Retrieved 2 May 2012.
  62. ↑ "Ofcom confirms priorities for 2017/18". ofcom.org.uk. 30 March 2017.
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  73. ↑ Private Eye, March 9th, 2018. p13.
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  76. ↑ Martin Shipton (23 October 2017). "Ofcom admits it broke its own rules in giving contract to lobbying firm run by its own advisors". Wales Online.
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  89. ↑ Harding, Laura (23 April 2024). "Andrew Neil: Ofcom needs to grow a backbone over regulating GB News". The Independent. Retrieved 24 April 2024.
Communications regulation
Preceded by Regulation of the BBC
3 April 2017–present		Incumbent
Preceded by Regulation of ITV
29 December 2003–present
Regulation of Channel 4
29 December 2003–present
Regulation of Channel 5
29 December 2003–present
Regulation of Satellite Television
29 December 2003–present
Regulation of Cable Television
29 December 2003–present
Preceded by Regulation of Independent Local Radio
29 December 2003–present
Preceded by
Radiocommunications Agency
 Regulation of use of the Radio Spectrum
29 December 2003–present
Preceded by
Broadcasting Standards Commission
 Monitoring of 'Taste and Decency'
29 December 2003–present
Preceded by Monitoring of Telecommunications
29 December 2003–present
Preceded by Regulation of the Postal Services
1 October 2011–present

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