Following on from the news on the Government’s decision to continue with the privatisation of Channel 4, the Advertising Association has issued a statement warning of the “many implications.”

Published on the association’s website by Stephen Woodford, CEO, the response said: “The Government’s decision to press ahead with the privatisation of Channel 4 will have many implications for the shape of the UK advertising market. Public Service Broadcast services remain hugely important to advertisers wanting to reach large and diverse audiences, and maintaining a competitive advertising market should be a key plank of emerging media policy across the board.

“We strongly propose that the Government publish a comprehensive impact assessment, in line with Better Regulation principles, to take into account the impact of privatisation on the TV advertising market.”

Channel 4 currently relies on 90% of its £1bn annual revenues on brand advertising, with the money it makes reinvested in commissioning and buying programmes from TV production companies based in the UK. It was launched in 1982 by Margaret Thatcher’s Conservative Party as an alternative to BBC One, Two and ITV.