Product placement gets green light
By Ian Dunt
Product placement is on its way to British TV after the government gave the go-ahead today.
In a written statement, media secretary Ben Bradshaw said product placement would be introduced in a way which provides “meaningful commercial benefits to commercial television companies and programme makers while taking account of the legitimate concerns that have been expressed”.
The decision, which followed a lengthy consultation, brings the UK into line with most other EU countries, with the exception of Denmark, who have all agreed to allow product placement as a means of driving investment towards programme making.
The idea previously held little traction with lawmakers, but the financial crisis has hit the media hard and government ministers have found themselves attracted to the easy revenues that would follow from reforming the law.
British audiences will be used to product placement from Hollywood movies or US TV drama, but it is the first time products will be featured on domestic television.
There will be restrictions on the placement of alcohol and food and drinks high in fat, salt or sugar, however.
Mr Bradshaw insisted the government had taken heed of concerns that the change could impact on the editorial independence of broadcasters and said the proposals would safeguard against such worries.
It will be some time before the changes take effect, however.
The government will lay regulations under section 2 of the European Communities Act 1972, giving legal effect to the requirements of the EU Audiovisual Media Services Directive on TV product placement.
Their effect will be to allow regulator Ofcom to permit product placement under its code regulating the content of TV programmes. Ofcom will need to run a public consultation on the detailed changes to this code before these can come into effect.
Ofcom will monitor broadcasts to ensure placements do not affect editorial independence, be unduly prominent, or directly encourage purchases.
