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Public service broadcasting measures threatened by free trade agreement
2 December 2002
Public service broadcasting measures threatened by free trade agreement. A report published today by international trade campaigners, the World Development Movement (WDM), reveals the danger posed to public service broadcasting by a far-reaching, but little understood international trade agreement currently being negotiated at the World Trade Organisation.WDM's report is the first ever survey of the UK's commitments under the General Agreement on Trade in Services (GATS), and its potential impact on UK services. It is published exactly one month before the end of a DTI consultation on which services the UK will offer for further liberalisation in GATS negotiations starting in April. WDM's Director Barry Coates today said: "The Communications Bill aims to liberalise and deregulate UK broadcasting and media, opening the sector to increased foreign ownership and reducing public service obligations. This will be locked in and made "effectively irreversible" if the UK Government concedes to pressure by other countries and media multinationals to sign-up the broadcasting and communication sectors to the free market rules of GATS. We know that the UK communications and broadcasting sector is a major target for the USA in these negotiations." The Campaign for Press and Broadcasting Freedom (CPBF) today echoed WDM's concerns. Chair, Julian Petley said: "It is now clear that many of the rules of GATS are incompatible with public service broadcasting. The Government has kept us in the dark about this far-reaching and potentially damaging agreement. The Communications Bill marks the biggest ever shake-up of how the media is governed. GATS is a crucial part of the liberialisation jigsaw, yet it is entirely absent from the current debate. This must change before the UK signs up to something it regrets is unable to reverse." WDM today said that measures seen by many as crucial to delivering high quality public service broadcasting could be challenged under GATS rules. These include: Local content and regional production rules, limits on cross media ownership, restrictions on foreign media ownership, public service obligations and rules on the maximum number of commercial radio stations licensed in a region. This would leave the UK with the choice of facing trade sanctions or scrapping these rules. Public service broadcasting regulations, such as these, left out of a Communications Act could not be introduced at a later date even if a future government deemed them necessary. The UK has received demands in GATS negotiations for liberalisation of radio and television services, including production and broadcast transmission. The DTI consultation reveals that the UK has received a request to "remove discriminatory subsidies" in the sector. WDM is concerned that this is a reference to the BBC -though the DTI is refusing to release the full text of the request and has made no attempt to explain the full implications of GATS. Barry Coates said: "GATS commits countries to engage in progressive rounds of liberalisation negotiations. Even if the UK Government were to commit broadcasting to GATS with limitations and exemptions this time round, these will be targeted for removal in a future round. We need an immediate halt to GATS negotiations and fundamental rethink of the aims of trade rules generally." ENDS Notes for editors: WDM's report, Serving Up The Nation: A guide to the UK's commitments under the WTO General Agreement on Trade in Services (130pp) is available in both hard copy and electronically on request. WDM has also produced a guide for organisations wishing to submit responses to the DTI GATS consultation. Britain signed up to the GATS in 1994. Accelerated negotiations to extend the agreement are taking place at the World Trade Organisation. The agreement applies to all levels of government - local, regional and national, covering 160 service sectors. It extends the free trade principles of the WTO from trade in goods to services. The EC's website describes GATS as "first and foremost an instrument for the benefit of business." The WTO Secretariat has described GATS commitments as "effectively irreversible". GATS rules could limit the ability of government to provide public services and regulate in the public interest by banning laws or regulations to: - Stipulate a not-for-profit service provider. - Limit private sector involvement in a service sector or enforce a public monopoly. - Discriminate in awarding subsidies to public bodies. - Discriminate in favour of UK companies over those from another country. WDM has been campaigning on the threat posed by GATS to international development for the past three years. Over this period it has become increasingly aware of the impact the agreement could have on public services in the UK. WDM has joined growing voices in the UK calling for greater transparency and assessment of GATS. These include motions passed by many major trade unions and the TUC, an Early Day Motion signed last year by 262 MPs and motions passed in 19 local authorities. Contact: Dave Timms, WDM Press Officer, 020 7274 7630 or 07711 875 345
Last modified: Monday, March 14, 2005
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