The Association for Television on Demand

ATVOD fees frozen for 2014-15

News article: 13 June 2014


Decision follows three consecutive years in which average fees fell

The television on demand regulator has frozen the fees which pay for consumer protection in the fast-growing media sector. The decision to freeze fees follows three consecutive years in which average fees have fallen.


While the fees paid by 116 UK operators of on-demand  TV will not rise, the Authority for Television on Demand has promised enhanced protection for consumers, by devoting more resources to investigating potential breaches of  statutory rules.


The co-regulator today announced its fee tariff for the year ending 31 March 2015, following a public consultation.


The new tariff, approved by Ofcom, retains the progressive banded structure first adopted for 2011-12.  The biggest operators pay most, and the structure offers concessionary rates for micro-scale, small-scale and non-commercial service providers.


 The key outcomes are:


    - Fees frozen in all tariff bands

    - Concessionary rates of £91 - £96 for non-commercial service providers

    - Concessionary rates of £137- £145 and £183 - £193 for commercial service providers with turnover below £50,000 and  £100,000 respectively

    - A three band standard tariff based on the turnover of the service provider, with rates set at £732 - £771, £4,740 - £6,151, and £9,480 - £12,302

    - A cap of £25,000 on the total fees paid by any single provider


Commenting on the decision, ATVOD Chief Executive Pete Johnson said:


“The proposals we set out in the consultation took account of the work we had done in partnership with the industry through a joint working party and were endorsed by the majority of respondents.  


“We are very pleased to be able to freeze fees after three consecutive years in which average fees have fallen. The outcome demonstrates the effective operation of a co-regulatory arrangement which allows statutory rules to be rigorously enforced in a manner which minimises the impact on compliant services.”

Kerry Kent, Chair of the VOD Industry Forum said:


“A key element of any successful co-regulatory system is a fair system of funding. ATVOD’s decisions to both retain the progressive fee structure and freeze fees are extremely welcome.”