The Digital Britain report published yesterday has recommended putting money from the licence fee into the Channel 4 to help the commercial broadcaster sustain the production of content for older children as well as teens.
The report said that Channel 4 must bring upon key changes in its remit, so as to undertake “a solid commitment to children's content, with priority given to older children - the area of greatest market failure”.
It also mentioned that a consultation will be introduced into making a “contained contestable element” of the BBC's licensing fee after 2013; this is likely to cause concern at the corporation.
The fund, which would constitute around 3.5 percent of the licence fee, would be made by carrying forward the estimated £130 million a year, a sum that had been allotted to help digital switchover scheme.
The report admitted that the children's content is significant for cultural reasons, but it's not commercially impressive, and quoted its responsibility for the same by saying, “We accept the need to consider a wider perspective on children's media content than has previously been the case”.
The initiative follows an overwhelming decline in children's shows in the UK, with ITV is closing its Granada kids division and bringing down the hours of UK-made kids programmes it broadcasts.
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BBC saving C4, who could have believed it! That said, one can be sure that the BBC won't be giving that money without some serious fight. The license fee is also going to help ITV to maintain its regional TV shows as well.