Are ‘grubby’ chat channels the real target of phone-in clampdown?

New rules tightening the regulation of television and radio programmes that rely heavily on premium-rate telephone services have been proposed by Ofcom as the broadcast industry aims to put a year of embarrassment behind it.

The media regulator launched the consultation – its second on the subject in less than a year – last week. It proposes that new Broadcasting Code rules ensure programmes that invite viewers and listeners to interact or participate are not vehicles for promoting commercial, revenue-generating services. Ofcom says the rules will make sure viewers are “adequately protected” and that advertising is kept separate from editorial content, as required under European legislation.

But there are fears the rules will have a “disproportionate” effect on adult chat and psychic channels.

Harvest Media Group chief executive Edward Boddington says there is a suspicion the regulator is being opportunistic in looking to limit such services, following the surge of publicity about the shortcomings of premium rate competitions and quizzes on shows such as Richard & Judy and I’m A Celebrity… Get Me Out Of Here.

“Adult and chat channels have been around for a long time. Why should they move to encrypted channels?” says Boddington. “I’d like clear evidence that consumer harm is there, rather than simply lumping these channels together with participation TV. There is a feeling that perhaps the tail is wagging the dog.”

He believes that although Ofcom’s toughened stance follows a precedent set in the European Court of Justice late last year, there is not enough evidence to say the mooted measures are “proportionate”.

Wider effects

“I would like to look at the economic impact and job losses such a move would bring,” says Boddington, who is also an industry board member of PhonepayPlus, the premium rate regulator previously known as Icstis and subsumed into Ofcom last year. “Regulation has to be proportionate and consistent.”

Another industry executive says: “This seems like an attempt to rid the industry of channels it sees as ‘grubby’ or undesirable.”

However, an Ofcom spokeswoman says the proposed rules follow long-held concerns that such content is “very much like advertising rather than editorial”.

The industry faced a broadside of criticism for abusing viewer trust in pursuit of revenues from lucrative TV quizzes after a string of revelations erupted from February last year.

Channel 4, ITV, Five and the BBC were among those dragged into allegations of fraud, abusing viewer trust and ineptitude because of their handling of phone-in competitions and TV quizzes, the use of which had grown quickly as broadcasters saw a lucrative revenue stream.

Ofcom initially consulted on stronger rules for the sector after it published a report by Richard Eyre, a non-executive member of Ofcom Content Board and ex-deputy chief executive of BBC News, in July last year, which revealed a “systematic failure” by broadcasters using premium-rate phone-in features in television programmes.

The regulator has since fined Channel 4, GMTV and Five and is judging the case against ITV, with a bumper fine expected. Service providers and broadcasters must also adhere to stricter “licensing” rules.

Premium rate fall

At the start of last year there were 23 channels broadcasting premium rate shows, including the now axed ITV Play. Now there is just a handful. Five is the only mainstream broadcaster affected by the new rules with its Quiz Call strand. It would not comment on Quiz Call’s future, although it is expected to be changed or dropped.

Boddington says: “It was a passing fad that was never invested in properly – many were surprised it lasted the three-odd years it did.”

The same cannot be said for “grubby” adult and psychic services, but they must change radically or face extinction.