GMG Radio puts £1m into programming

LONDON - GMG Radio has promised to spend £1m on commissioned programming in a bid to compete with the BBC on quality of content.

GMG claimed the budget is significantly bigger than the amounts other commercial radio groups spend on outside commissions, and said it will lift the reputation of the advertising-funded broadcast sector.

GMG's move breaks with the tradition of independent producers supplying content to broadcasters for free in return for the ability to profit from selling ads around it. Independent producers and media agencies are hoping other commercial radio companies will follow suit.

GMG has invited independent producers to submit proposals for commission across its four radio brands -- Smooth, Real, Century and Rock -- and 11 stations.

John Myers, GMG Radio chief executive, said: "This is the most significant programming investment in recent years. The unique ownership structure of GMG is one of the main reasons we are able to deliver this level of investment outside of our normal programming needs."

GMG is part of the Guardian Media Group and owned by the Scott Trust, which has a mission to use GMG's profits to sustain the journalism of The Guardian and is less driven by short-term targets than other media organisations.

John Walker, head of radio at OMD UK, welcomed GMG's investment.

He said: "Programming that 'pulls' listeners to commercial radio away from the competition is invaluable to advertisers and this investment from GMG shows a real belief in what they are doing and a real commitment to the future.

"For the sake of the commercial radio industry we can only hope this is a success for GMG and it encourages the other groups to follow suit."

Simon Cole, chief executive of UBC Media, which owns radio producers Unique and Smooth Operations, said: "For 12 years, the commercial radio sector has watched the BBC commissioning programmes which have won both audiences and Sony Gold Radio Awards.

"This move by GMG is a very welcome initiative and they join Channel 4 in recognising that commercial radio could also benefit from the creativity which is available in the independent production sector."

Channel 4 Radio has already turned to independent producers to create podcasts for its website and it will offer them more work across its three stations on the second national digital radio multiplex to launch next year.

Rough estimates of Radio 2's budget suggest it spent in the region of £31m on BBC-produced content and around £5m on content from independent producers, in the BBC's 2006/2007 financial year.

An industry source believes the latter figure is closer to £3m and that the BBC spent a total of £12m on independent commissions in 2005.

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