HC Deb 07 December 1960 vol 631 cc1261-3
33. Mr. Mayhew

asked the Postmaster-General if he will so amend the Television Act, 1954, as to prevent changes in the nature of shareholdings in programme companies without the approval of the Independent Television Authority.

34. Mr. Frank Allaun

asked the Postmaster-General if he will take steps so to amend the Television Act, 1954, as to ensure that changes in the shareholdings of programme companies cannot be made without the approval of the Independent Television Authority.

39. Mr. Donnelly

asked the Postmaster-General if he will introduce legislation to make it essential for all concerns in receipt of a commercial television licence to be associated with a bona fide newspaper or published periodical.

Mr. Bevins

I am informed by the Authority that changes in the voting shares of programme companies cannot be made without its approval. The further question whether some similar provision should be made with regard to the control or the nature of companies which are shareholders in a programme company, is one to be looked at when the renewal of the Television Act is under consideration in the light of any recommendations from the Pilkington Committee. That will also be the time to consider what qualifications or disqualifications the Act should lay down as to the make-up of programme companies.

Mr. Mayhew

Are we to assume in the meantime that Daily News Ltd. will go on receiving these profits on shareholdings which it should never have been granted in the first place? Has the attention of the Postmaster-General been drawn to the rebuke given to the Independent, Television Authority by the Home Secretary in the House on 24th November, when he said that its shareholding should never have been granted except on condition that Daily News Ltd. continued to own the News Chronicle and the Star? Will he therefore assure us that this holding will not continue?

Mr. Bevins

I can give the hon. Gentleman no such assurance. It would be quite wrong for the House to jump to the conclusion that the Tyne Tees contract was given to the programme company by virtue of the fact that the News Chronicle and the Star were owned by Daily News Ltd. I am told by the I.T.A. that the virtue of that particular contract lay in the fact that it came into being as a result of the initiative of a group of local residents in the Tyne Tees area. That programme company was shaped by them from the beginning, and it is still predominantly owned by them. After all, Daily News Ltd. has only a 21 per cent. interest in this programme company.

Mr. Allaun

Are not there dangers in making already powerful newspapers into T.V. companies also? However, if the I.T.A. is doing this, why should not Reynolds News, whose applications have been refused, be allowed to take over the ex-News Chronicle share in Northern T.V.? Will the right hon. Gentleman put this point to the I.T.A.?

Mr. Bevins

All this is a matter for the Independent Television Authority. When it is awarding a contract it has no special regard to whether or not newspaper interests are represented in a programme company. It has regard to the qualifications and suitability of the programme company to provide good television.

I am bound to confess that I do not know quite where the Opposition stands in this matter, because when the Television Bill was debated in 1954 it was made perfectly clear that the Labour Party was opposed to newspapers being included in programme companies.

Mr. Donnelly

Is the right hon. Gentleman aware that his statements are totally unsatisfactory? He cannot get away with this sort of prevarication in the House. Tyne Tees Television submitted an application for this licence. It was granted the licence on certain terms. The terms which then existed no longer exist. In short, it was a false prospectus.

Mr. Bevins

I am trying to be helpful to the House. What I am saying is that the Independent Television Authority must give prior approval to the transfer of voting shares in programme companies. That is clear. The Authority makes that administrative provision because it wishes to ensure that the general direction and policy of the programme companies are to its satisfaction. Whether Daily News Ltd. holds voting shares or non-voting shares in Tyne Tees is quite irrelevant because, notwithstanding the disposal of its newspaper interests, it is still a holder of shares in Tyne Tees television.

Mr. Gaitskell

Is the Postmaster-General aware that his supplementary answer on the policy of the I.T.A. was wholly unconvincing? Can he deny that there are no fewer than five newspaper-owning groups with interests in different television companies? We on this side were opposed to the policy of allowing newspaper-owning groups to have shares in television companies, but once the Independent Television Authority started this it was bound to go on and allow other newspapers in? Now that Daily News Ltd. no longer controls any newspaper, it has no right to retain shares in Tyne Tees.

Mr. Bevins

I entirely agree with the right hon. Gentleman that there are a number of programme companies which include newspaper interests among their shareholders. It is equally true, as the right hon. Gentleman knows, that there are a number of programme companies with no Press elements whatever. I see no reason why it should be considered essential that a programme company should contain newspaper interests.

Mr. Mayhew

In view of the unsatisfactory nature of the replies, I beg to give notice that I shall raise this topic on the Adjournment at the earliest possible moment.