Out-Law News 1 min. read

Ofcom extends consultation to allow for TV product placement


Media and telecoms regulator Ofcom has extended a review of product placement in television and radio programmes following a Government announcement that it backed a change in the law.

Product placement, which is the practice of featuring goods in programmes in return for a payment, is not permitted in programmes made by and for UK broadcasters. The Government announced last month, though, that it would consult on changing that and allowing some product placement.

Ofcom has now said that it will hold off producing new versions of its guidelines to incorporate the Government's wish to legalise product placement in UK broadcasting.

The Communications Act gives Ofcom the job of maintaining a Broadcasting Code which governs TV and radio. Sections nine and ten of that Code deal with sponsorship and commercial references and it will be these sections that will need to be changed to make way for product placement.

"[We are not] interested in regulation for regulation’s sake, which is why I want to change our approach on product placement," said Culture Secretary Ben Bradshaw in September. "We’ll consult on this shortly and would hope to have any change in place in the New Year."

"In light of this announcement, Ofcom will now take the opportunity to extend its review of Code Sections Nine and Ten," said Ofcom in a statement. "Revisions to Sections Nine and Ten of the Code will not be issued by the end of the year."

"The extended review will allow us to take into account not only the outcome of the Government’s forthcoming consultation on product placement, but also the wider implications of any change in this area on other rules relating to commercial references in television and radio programming, including the rules relating to sponsorship," said the statement.

An exception to the rule will be children's television. The European Commission's Audio Visual Media Services Directive, which replaces the Television Without Frontiers Directive, bans product placement on children's programmes.

"All Ofcom licensees should be aware that product placement will be prohibited in all children’s programmes produced after 19 December 2009 (whether produced in the UK or acquired from outside the UK)," said Ofcom.

"All Ofcom licensees should note that, until further notice, they must continue to comply with all of the existing rules in Sections Nine and Ten of the Broadcasting Code," said Ofcom.

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