Selling off Channel 4 would cost jobs in the North, Labour warns

THE PROPOSED sell-off of Channel 4 will cost jobs in the North, Labour has warned, as the campaign to keep it in public ownership continues.

The Government announced plans to privatise the channel, which is funded by advertising, earlier this week.

Hundreds of thousands of people have signed petitions imploring the Government to U-turn on its decision, with some Conservative MPs publicly speaking out against the plans.

Analysis by the Labour Party revealed that there are five times more film and TV jobs in London and the South East than in the whole of the North and Midlands, with the party saying the privatisation will cause losses in the regions.

One member of the Shadow Cabinet attacked the Government for “fixating on Channel 4” rather than helping families to make ends meet due to the cost of living crisis.

A spokesperson for the party said: “A privatised foreign-owned Channel 4 would look for economies of scale and quickly concentrate funding back in London and the South East.”

Channel 4 has a headquarters in Leeds, which opened in 2019.

Shadow Culture Secretary Lucy Powell MP said: “At a time when families are seeing their energy bills rocket, it beggars belief that Conservative Ministers are fixating on Channel 4 instead of forcing a windfall tax on oil and gas producers to help families make ends meet.

“The Government’s vendetta against Channel 4 will sell out the North and Midlands, costing jobs and businesses dear.

“With increasing opposition to the sell-off, it’s clear that the Government has underestimated the value and importance of Channel 4. They should drop their plans and focus on tackling the cost of living and supporting British broadcasters and British content, not selling off our cultural crown jewels to the highest foreign bidder.”

Labour’s figures, taken fron the ONS Business Register and Employment Survey, show that one in six film and TV jobs are in the North and Midlands, compared with four out of six in London and the South East.

There are 50 times as many jobs in London than the North East and 30 times as many as in Yorkshire and Humber.

Ministers launched a public consultation into a potential change in ownership of the channel last July, which drew some 60,000 responses.

Announcing plans for the sale on Monday, Culture Secretary Nadine Dorries said that while Channel 4 held a “cherished place in British life” she felt that public ownership was holding the broadcaster back from competing against streaming giants like Netflix and Amazon.

She said: “I will seek to reinvest the proceeds of the sale into levelling up the creative sector, putting money into independent production and creative skills in priority

The Government has underestimated the value of Channel 4.

Shadow Culture Secretary Lucy Powell MP.

parts of the country – delivering a creative dividend for all.”

Plans for the sale will reportedly be set out in a White Paper later this month and will be included in a new Media Bill for next spring.

The broadcaster has been in public ownership since its creation in 1982, when it was created to focus on under-served audiences.

A Government defeat in the Commons is unlikely given Boris Johnson’s working majority of 77, but it might be a different story in the House of Lords as there is no Tory majority in the upper chamber.

DCMS was approached for comment.