---

Community Radio (Amendment) Order 2010

My Lords, I thank both noble Lords for their contributions to this debate and for the general welcome that they have given to the order. There is no disagreement between us on the value of community radio or on the value of the small local commercial stations which feel that they are in competition with it. I will not go over the points that the noble Lord, Lord Luke, covered when he effectively endorsed what is in the order and which I covered in my speech. However, I will attempt to address the questions that he asked, particularly about the proposal to allow community radio in areas of 50,000 or fewer where a commercial station is already in existence. This is indeed in contradiction to one of the majority views in the consultation. The proposals set out in the draft order have been made following significant discussions with the commercial radio sector, and it was a recommendation of the former chief executive of GMG Radio that this change should be made. The advertising and sponsorship restrictions that will apply to all the community radio stations with audience potential of up to 150,000, including the newer stations that will come in with this order, will, we believe, provide the protection for the commercial stations that the noble Lord is seeking and to which the noble Lord, Lord Clement-Jones, also referred. I will return to the question of the impact assessment in a moment. The noble Lord, Lord Luke, asked about the future of community radio after the digital switchover. The intention is that the digital radio upgrade programme will retain a proportion of FM to help what one might call the ultra-local stations to stay in existence and continue to provide community radio. In practice, we believe that the vacated spectrum will allow for a greater number of community radio stations in future, particularly in areas where stations have been limited by a lack of spectrum. The noble Lord, Lord Clement-Jones, referred to the funding of community radio through the community radio fund. He raises a good point. The availability of funding is committed until 2010-11. Decisions beyond 2011 have still to be taken but the Government have been working closely with Ofcom and the community radio sector to ensure that we make the best use of the funding that is available by promoting best practice and employing fund raisers. In addition, the Minister for Creative Industries has met representatives of the community radio sector to discuss the future of the community radio fund. He has agreed to write to other government departments to highlight the benefits of community radio in delivering wider government objectives and to seek a financial contribution from them to the fund. On the impact assessment, we accept that there is little evidence which qualifies the impact of community radio on small commercial stations. However, we are not aware of any commercial station that has closed as a result of the licensing of a community station. Ofcom is required to consider the impact of a community radio station on a commercial station before a community licence can be granted. I understand that Ofcom’s watch on this will be maintained and, if there is an impact on commercial radio stations, Ofcom will intervene and act on it. I hope that I have answered the questions raised by both noble Lords in this brief debate. If I have missed anything I shall, of course, write to them. Motion agreed.