Showing posts with label deregulation. Show all posts
Showing posts with label deregulation. Show all posts

Sunday, 20 April 2014

THE BRITISH BROADCASTING CONSPIRACY


It's April 14, 1976, and Metro Radio's James Whale presents the station's late night phone-in programme, Night Owls. Metro Radio was one of the first nineteen commercial radio stations to gain an IBA licence following the demise of the North Sea pirate station in the late sixties. It's on air date was July 15, 1974.
ANDY FLEMING analyses how over the past thirty years freedom of speech, innovation, personality, choice and
imagination have been sacrificed within Commercial Radio, in favour of maximising company shareholder value and franchise revenue streams for the government. And politicians are once again the culprits! Our airwaves have been sold to the highest bidder without a thought for local public service or quality content.

Do you have a long memory? Do you remember how after her General Election victory in May, 1979, Margaret Thatcher 'transformed' the economic landscape of Britain with her 'resolute approach'? It was a defining moment in the social, political and economic history of our country. Because until that date all previous governments whether Conservative or Labour subscribed to the so-called social democratic consensus. In other words the British economy would not be comprehensively exposed to the vagaries of the free market, and neither at the same time would it be a full blown command economy as per the Eastern Bloc with all the limitations in terms of individual freedom such collectivisation would entail. Capitalism was to be the economic system rather than socialism, but the worst excesses of the free market would be excluded by a collectively provided welfare state.
So the UK was dragged into the modern world with a National Health Service, a free education system for all, benefits for the elderly, disabled and those unfortunate enough to be unemployed, a properly integrated public transport system and of course, 'homes for those returning heroes' from fighting Nazi Germany. Britain was going to be a more pleasant, fairer society where opportunities were going to be accessible to everyone without the exploitation and poverty of the inter war years. The Gold Standard was dropped and this new social democratic consensus was to be underpinned with Keynesian economics. The government would regulate capitalism by stimulating the economy in a recession with capital projects and would restrict the money supply when the economy overheated in one capitalism's cyclical booms. That was the theory at least, and until the late sixties and an ever increasing balance of payments deficit the mixed economy model seemed to be a practical compromise.

Regulation seemed to work, whether it was in employment, unemployment, housing, transport, and telecommunications or as especially applicable here, the media. However with the devaluation of sterling crisis in 1967 and then a major world oil price shock in October 1973 as a direct result of an Arab-Israeli war western economies had been hit by an economic tsunami. And it was one from which Keynesianism was not to recover sparking as it did political and industrial strife including three day weeks and Winters of Discontent. With another oil shock in 1979 as a result of the Iranian revolution, the last government of the old social democratic order and the last true Labour government led by Jim Callaghan was swept away by a new Conservative Party in government led by Prime Minister Margaret Thatcher. Her government was totally different to those of the preceding four decades, espousing as it did, a return to 'monetarism' to reduce inflation (restricting the money supply) as propounded by her economic guru Milton Friedman and Friedrich von Hayek before him.

Thatcher's policies were socially brutal and divisive. Whole state industries were to be privatised and closed if not profitable irrespective of the country's strategic needs, or if the result led to mass unemployment. Inflation was to be reduced at all costs as was taxation; but just income tax and mainly the rates for top earners. VAT was doubled, and from the outset there was a re-distribution of wealth from the poor to the rich. Benefits were slashed in an effort to cut state spending and regulations across business, including in the media were cut to maximise profits. State 'red tape' to protect the consumer was apparently strangling private enterprise. Infact, Thatcher's whole philosophy could be summed up succinctly as state equals bad; private equals good. Period. But what would the effect of these gargantuan economic changes be on the media, and radio in particular?