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Contract Rights Renewal undertakings review

11 June 2009

Download the non-confidential version of the OFT's advice to the Competition Commission (pdf 728 kb)

29 May 2009

The OFT has today advised the Competition Commission to consider changes to ITV’s Contract Rights Renewal (CRR) Undertakings. These were introduced as a condition for the merger of Carlton and Granada in 2003. The OFT’s advice follows a review and consultation into CRR, conducted with the assistance of Ofcom.

Download Review of the Contract Rights Renewal Undertakings: Executive Summary (pdf 158 kb) and a non-confidential version of the full report will be available on the website shortly. 

The OFT found that whilst ITV1’s market position has declined, it remains almost the only provider of very large commercial audiences, which are of particular value to some advertisers. Thus, whilst the detrimental effects of the merger on the advertising market appear to have reduced, they seem not to have been eroded completely. CRR is, however, not without costs and disadvantages and the OFT recommends that the CC should consider whether any alternatives to the current remedy would now be effective or if CRR should stay as it is.

There have been changes in the way the ITV1 programme schedule is delivered, including the development of a high definition channel and a potential time shifted (+1) channel. These changes mean that if the CRR remedy remains in place, the CC should consider updating it to take account of new forms of delivering the ITV1 schedule.

See press release 

See Questions & Answers (pdf 49 kb)

6 February 2009

In response to requests from stakeholders, OFT has published an Addendum to the CRR consultation document providing further information on the methodology of a survey submitted by ITV in the course of the review.

Download Addendum to the CCR consultation (pdf 104 kb).

15 January 2009

The OFT has published its consultation document setting out our preliminary views in relation to the CRR review.

See press release.

Download Review of the Contract Rights Renewal Undertakings (pdf 475 kb).

The OFT has also published a series of modified supplementary frequently asked questions (pdf 61 kb) for the CRR review consultation.

15 December 2008

The OFT is preparing a consultation document setting out our preliminary views in relation to the CRR review. This is due to be published in early January 2009. To facilitate the consultation process, the OFT plans to hold a presentation of the document on 20 January for advertisers, media buyers and their trade and professional bodies.

The OFT will shortly be contacting relevant stakeholders who have been involved in the review with further details. If you are eligible to attend and do not receive an invitation email within the next few days please send an email to events@oft.gsi.gov.uk to request one.

13 February 2008

The OFT has published a statement of issues (pdf 84 kb) concerning the Contract Rights Renewal undertakings review.

30 January 2008

The OFT and Ofcom have formally launched a review of the Contract Rights Renewal (CRR) undertakings. The review will be conducted by the OFT and Ofcom in partnership and is expected to take around one year.

See press release.

For more information see the joint statement on scope of the CRR review (pdf 66 kb).

The OFT has also published a series of frequently asked questions (pdf 73 kb) for the CRR review.

ITV has prepared a short summary (pdf 43 kb) of its reasons for requesting the CRR review.

Background

The CRR undertakings were accepted by the Secretary of State in November 2003 following a finding by the Competition Commission (CC) that a proposed merger of Carlton and Granada would be expected to be contrary to the public interest. Among other things, the CC found the merger would have an adverse effect on competition for the sale of advertising airtime. The CRR undertakings were intended to directly address the CC's concerns about increased market power following the proposed merger.




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