Channel 4 supports 22,000 jobs, adds 2 billion to the economy

4 April 2007

• Uses more independent producers than any other British broadcaster
• Greater commitment to the regional production than rivals

 

Channel 4 makes a £2 billion contribution to the British economy and supports an estimated 22,000 jobs in the creative industries, according to a new report from PriceWaterhouseCoopers published today.

The report, commissioned by Channel 4, looks into the channel's impact on the UK's independent television production sector and the wider creative industries. It concludes that "the majority of the channel's off-screen impacts [are] unique".

Apart from the overall economic impact of Channel 4 and its commissioning programme, the report shows that Channel 4 uses a more diverse base of independent producers than any of its larger rivals. In 2005 the channel used 311 external suppliers, almost two and a half times as many as ITV (126) and five (132) and significantly more than even the BBC (274) despite the corporation's substantially higher volume of output. The report highlights the effect this has had on the creative industries, enabling a large number of independent production companies to set up and thrive in the UK.

The commitment to finding and developing new talent continues. In 2005, Channel 4 worked with no fewer than 50 suppliers new to television and its IdeasFactory training scheme continues to provide young people with the skills they need to enter the creative industries.

In addition the report shows that Channel 4 has a greater commitment to independent production in the regions than other broadcasters. It praises its Creative Cities programme in particular for stimulating the development of the independent production sector outside London. In 2005, it shows that the channel spent £108 million on content produced outside the London area, including £65.5 million in the North of England.

The report concludes with a look at what the British television industry would look like without Channel 4, or if Channel 4 lost its unique not-for-profit status. It suggests that creativity would be stifled, there would be increased consolidation among independent producers and fewer production companies, a renewed focus on London as the centre of the industry, and increased barriers to entry in the industry as a whole.

"Going forward the importance of Channel 4's strategy to helping the UK's independent production sector flourish in an increasingly uncertain broadcasting environment should not be overlooked," it concludes.

Andy Duncan, Channel 4's Chief Executive commented: "This report highlights the powerful contribution Channel 4 makes to Britain's creative industries and the wider economy. At Channel 4 we seek out and nurture the wealth of new talent in Britain's television industry and do all we can to ensure that it reaches an audience. Creativity and innovation lie at the heart of our remit, and we could not fulfil it year after year without tremendous support from the independent sector."

Channel 4's Director of Nations and Regions, Stuart Cosgrove, added: "Channel 4 has always pioneered creativity and worked with talent from across the UK. It is not an obligation for us but an opportunity; many of our most successful programmes and most recognisable faces have come from cities outside London."

Copies of the report are available from the Channel 4 press office