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EU probes state grant to Channel 4 in UK

3 April 2008 19:27 by James "Dela" Delahunty | 3 comments

EU probes state grant to Channel 4 in UK The European Commission is to probe a state grant to Channel 4 in the United Kingdom. An assessment will be made on whether the grant distorts competition in the UK TV market. While Channel 4 does not receive public funding, it will receive a £14 million grant to aid its transition to all-digital broadcasting.

However, a commercial rival has complained that Channel 4 does not need to receive tax payers month, since it had sufficient cash to meet the capital costs. Channel 4 is a public service broadcaster, and so needs to be able to transmit its high quality material as such. This is how the hand-out has been justified.

"The information provided so far by the UK does not enable the commission to assess whether, given the costs of its digital switchover obligations and taking into account its commercial revenues, Channel 4 will have in the short term a net public service cost which would allow it to receive state aid," the EC said today.

The corporation ended 2005 with an annual profit of £99 million on sales of £894 million.


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    Discuss this article! 
    DXR88 (Member) 3 April 2008 20:33 Send private message to this user   
    Samething has happened to Channel 3 here in the US.

    I grew up watching CH.3 Sesame Street, Power Rangers.

    thats how i remember it, to bad it has gone under.

    if you ask me they should give it a grant.
    H0bbes (Junior Member) 4 April 2008 0:42 Send private message to this user   
    I think the EU and the UN both should keep their fingers out of a lot of things, but thats just my two cent's worth.
    taysider (Newbie) 5 April 2008 2:57 Send private message to this user   
    And what about the mighty BBC`s annual cash grab from the tax-payer £3.5 billion and rising year on year,at least channel four dont threaten people with court appearences and imprisonment if you dont chip in to their finances,not a fucking word said about the BBC from Europe,the same BBC that borrows cash from the EU and promotes Europe at every opportunity,and incidently channel four make far better programmes than the BBC,they are truly a public service broadcaster going places that the politicaly correct assholes that run the BBC would never dare go in case they upset their masters in Europe.
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