Ofcom has axed plans to launch a regional television station in Bangor after only one company showed an interest in the area – and findings revealed it would be unlikely to sustain decent advertising revenue.
The media regulator took the decision not to award a licence for the local TV service for Bangor on digital terrestrial TV following the Broadcast Licensing Committee deciding that the applicant ‘would not be able to maintain the proposed service over the licence period with the funding model it proposed’.
In reviewing the application the Broadcast Licensing Committee noted the inherent challenges of the Bangor area, which has a coverage of only 16,000 households. The committee was concerned, Ofcom note, that the assumptions made by the one bidding company in terms of the advertising revenue per household would be unlikely to be achievable.
No alternative, sustainable funding stream was offered to make up a potential shortfall. In the Broadcast Licensing Committee’s view, the applicant would not be able to maintain the proposed service over the licence period and therefore decided not to award the licence for Bangor. – Ofcom
One application was received to run the local service from Bay TV Gwynedd. Ofcom has so far awarded 25 local TV licences, as well as the multiplex licence. The first local TV channel began broadcasting on DTT in Grimsby on November 26th 2013.
Originally the ITV network was set-up as a regional structure of local and national output with currently only STV, which operates two regions in Scotland, and UTV, for Northern Ireland, remaining in the original local structure with the rest of England, Channel Islands and Wales part of ITVplc which offers a limited regional output.
Pictured: Some of the old regional ITV companies.