UK presses ahead with market regime for broadcast spectrum

Ofcom is to introduce a market-based pricing system for digital TV and radio, rejecting claims that this is economically inefficient, will damage programming and prolong uncertainty over broadcasters' funding.

Ofcom, being Europe's leading spectrum liberaliser, has long held the view that the market is the best way of ensuring the efficient use of the airwaves. They are keen to apply this principle to broadcasting, a sentiment endorsed first by the milestone 2002 Cave report on spectrum liberalisation, and then by the government. Broadcasters, however, have been as dubious about the implications of liberalisation as Ofcom has been enthusiastic.

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