BBC Three - schedule of conditions

In this schedule references to the 'information from the BBC' means the letter of December 3 2001 from Caroline Thomson to Andrew Ramsay, together with all information provided by the BBC in support of its application for approval of the new digital television service to be known as BBC Three.

The Secretary of State's approval of BBC Three is on the basis of the requirements set out below. The purpose of the conditions is to reflect the BBC's intentions and set out the scope of the service within which the Corporation will be able to deliver and sustain a channel which is distinctively public service.

The BBC must observe the conditions in good faith, in accordance with their spirit. For the avoidance of doubt, where, for whatever reason, the service as delivered fails to comply with the spirit of the conditions, that will be taken, where appropriate, into account (together with any other relevant consideration), in deciding whether the Secretary of State should exercise, after consultation with the Corporation, any of the freestanding powers conferred by paragraph 16.2 of the Agreement in relation to the approval of the service.

Similarly, where anything contained in the information from the BBC has not been expressly incorporated in a condition, it should not be assumed that it has not been taken into account in the decision, or that any deviation from it would not be regarded as having the potential to be relevant to any decision which the Secretary of State may consider taking under paragraph 16.2 of the Agreement.

1. High general standards in all respects (and in particular in respect of content, quality and editorial integrity) will be maintained in relation to the service.

2. The BBC will deliver the format as proposed for the service and meet all the commitments set out in the information from the BBC. The fact that some aspects of the format and commitments to which the Secretary of State attaches particular importance form the subject of express conditions does not prejudice the more general effect of this condition in relation to the service. In reaching her decision, the Secretary of State has relied upon the BBC's commitments to particular levels of expenditure on independent productions, regional production and EU/EEA programming.

3. Within its defined scope the service shall stimulate, support and reflect the diversity of the UK.

4. Consideration will be given to promoting the understanding and enjoyment of the service by viewers with sensory impairments; and the BBC Governors will monitor the levels of subtitling, signing and audio description provided on each new service, and apply to those levels from time to time the same targets which they apply from time to time to existing BBC digital channels.

5. The BBC will maintain a vigorous campaign across the full range of its services to promote the uptake of digital television and radio services and equipment generally, and across all platforms.

6. The service must deliver a mixed schedule of programmes embracing drama, entertainment, news, current affairs, education, music, the arts, science and including coverage of international issues. The specific content commitments should be as set out in the information provided by the BBC, including the BBC's further commitment to other factual programming including 15 hours covering science, religion/ethics and business. The normal evening on BBC Three, including peak viewing hours, will reflect a mixed schedule throughout the year.

7. The specific commitments referred to in paragraph 6 must not be met at the expense of programmes on BBC One and BBC Two catering for the 25-34 age group and new programmes made for BBC Three must also be made available to enhance the provision of programming which will appeal to young adults on BBC One and Two.

8. (A) 25% of the service's output in terms of qualifying hours must be commissioned from the independent sector, with no reduction in the contribution made by other BBC channels to the BBC's overall 25% independent production quota; (B) The Secretary of State also welcomes the BBC's commitment to spend at least one quarter of the BBC Three programme budget on independent productions.

9. 90% of programme hours for the service, must be allocated to programmes made in the EU/EEA, for first showing in the UK. The Secretary of State also welcomes the BBC's commitments that such programmes will account for around 90% of BBC Three's expenditure on programmes and that, as part of the BBC's commitment to regional production, 33% of BBC Three's eligible budget will be produced from outside the M25 from 2004-5, with reasonable progress made towards that target in the preceding years.

10. Programming must be of a consistently innovative and risk-taking character. 80% of the service's output in terms of hours must consist of programmes specially commissioned for BBC Three and genuinely new to television. These programmes will develop untried talent on or off-screen. Equally, acquired programmes will concentrate on bringing new material and talent to the screen and not on competing for well established programmes. The Secretary of State welcomes the BBC's commitment that the normal evening on BBC Three will, across the schedule, reflect these objectives.

11. The BBC Governors will monitor the implementation of the service and report each year in their annual report on its delivery in line with the BBC's commitments and the conditions set.

12. The Secretary of State will review the service after two years for the purpose of satisfying herself that the BBC is acting in accordance with the facts and assurances on the basis of which the approval was given and these conditions have been complied with. The review will include an independent assessment, encompassing an assessment of the service's impact on the broadcasting market, and a public consultation. Its conclusions will contribute to the wider Charter review process.

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