And privatized Channel 4 could lose the UK economy up to £ 3 billion ($ 3.8 billion) over the next decade and support 4,000 fewer jobs, according to It is a sin an alternative to networking privatization a proposal voiced to journalists today.
Channel 4 CEO Alex Mahon publicly sent out this morning to discuss network failure 4: Next episode a plan that was presented to Culture Minister Nadine Doris in February as an alternative to privatization with a detailed cost-benefit analysis. This was vehemently rejected, as noted in the UK Government’s White Paper on the Future of British Television.
According to an analysis built into 4 Next episode, which also included a series of proposals on the reformed state channel Channel 4, the privatization of the network will lead to £ 8 billion to £ 10 billion for the UK economy over the next 10 years compared to £ 11 billion if it is reformed and remains open until property.
Thus, the most extreme scenario will lead to a gap of £ 3 billion, which will only slightly mitigate the cost of selling the government around £ 500 million.
In countries and regions, the privatized Channel 4 is estimated to bring in 1-2 billion pounds compared to 3.5 billion pounds in state ownership. The number of jobs supported in the case of the sale of Channel 4 was projected at 9,000 to 11,500 compared to 13,000 in public.
In addition, Channel 4 said that British export IP technology “will no longer be a priority for the organization” for a new buyer, while the reformed government operation could create 100,000 jobs and 500-1 billion pounds of the UK manufacturing sector for export IP over the next decade.
Rumor has it that potential buyers of Channel 4, such as ITV, Discovery, Paramount and Sky-owner Comcast, as well as external bets such as BBC Studios or European giants including Vivendi and Bertelsmann.
4 Next episode outlined Channel 4’s groundbreaking plan to set up a joint venture with an outside investor that would order British content and allow the network to retain the rights to its shows for the first time in its 40-year history. The plan was traced in Financial Times a few weeks ago.
Channel 4 said the plan had already started to arouse interest and would bring £ 1bn investment in British content over the next 5-10 years, “setting up a single window to fund independent manufacturing companies and reinvest IP resale in launching domestic content”. Over the same period, commissioning costs will increase by 300 million pounds, according to Channel 4.
“The JV will invest in British creative content, combining the experience of launching Channel 4, the distinctive British flavor and the” showcase “of curatorial content with private capital,” the proposal added.
“These reforms will open up capital that will lead to a significant increase in Channel 4’s public contribution, spreading opportunities for people and parts of the country that are underrepresented in our cultural institutions and on our screen.”
Much of the debate around the privatization of Channel 4 has focused on its unique model in the British broadcasting landscape as a publisher-broadcaster, meaning it cannot create its own shows and retain rights. The government is seeking to reform this model and introduce a quota of only 25% of the show needed for third-party producers, which will lead to a fundamental change in the landscape.
Innovative 4 Next episode The JV plan was developed together with many other proposals to improve the Channel 4 proposal in the UK, including:
- Commitment to order at least 50% of content from outside London.
- By 2025, the number of roles outside of London will double to 600.
- Optimize London’s presence by creating a London base that “supports our new ways of working”.
- Help 100,000 young people in the creative industries by expanding the 4Skills school.
However, it seems the government has no plans to change its mind about the future of Channel 4.