Channel 4 welcomes Government decision to fund switchover costs

Channel 4 has welcomed today's announcement by the Secretary of State for Media, Tessa Jowell, that the channel is to receive financial help meeting the costs of digital switchover and that the Government is bringing forward its proposed review of funding for public service broadcasting (PSB).

In a speech to the Royal Television Society to be delivered today, the Secretary of State confirms that she is activating a proposed measure that involves the BBC meeting Channel 4's capital costs associated with building out the digital terrestrial TV transmitter network in the run-up to digital switchover. Provision for the BBC to meet those costs was included in its recent licence fee settlement.  

The Secretary of State also confirmed that the Government is bringing forward its proposed review of funding for public service broadcasting so that it begins immediately after Ofcom has completed its next review of public service broadcasting provision. Ms Jowell said the two reviews would "provide the right context for considering the medium to long-term solutions for Channel 4."

Responding to the announcement, Channel 4's Chief Executive, Andy Duncan, said: "We're delighted the Secretary of State has agreed this measure to meet Channel 4's capital costs of switchover. This is important transitional help that will underpin our public service contribution while we work with Ofcom and the Government to identify the most appropriate forms of medium- to long-term intervention. We believe the decision to bring forward the Government's review of PSB funding demonstrates the priority being given to securing Channel 4's public service future.

"Our board is committed to articulating a bold new public service vision for Channel 4 and we welcome such a strong endorsement from the Secretary of State of our public purposes including the vital role we play in maintaining plurality of PSB provision and our significant contribution to the health and breadth of Britain's creative industries."

Note to editors

• Over the next six years, the total sum involved in the BBC meeting Channel 4's DSO costs is expected to be around £14 million.