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<p>Local radio stations are a vital part of the communities they serve, providing
trusted news, entertainment and companionship to listeners in different communities
in all parts of the UK. In recognition of this, we have committed to bring forward
a package of changes to update the rules on commercial radio licensing, including
strengthening local news and information requirements. We intend to bring forward
legislation in this area when Parliamentary time allows.</p><p>The community radio
sector also provides an important service, with around 300 Ofcom-licensed stations
having been launched since 2005. The Government continues to make funding available
to support the growth of the sector, by way of the Community Radio Fund (CRF). The
Fund distributes £400,000 on an annual basis to help fund the core costs of running
licensed community radio stations and enable the sector to move towards self-sustainability.
Furthermore, in the last two financial years, we have supported the CRF to go beyond
this core funding, with significant uplifts targeted on tackling loneliness and to
reflect the sector’s important contribution to the Government’s ambitions on levelling
up.</p><p>Local newspapers also play an invaluable role in the fabric of our society
- in supporting communities and local democracy, holding power to account, keeping
the public informed of local issues and providing reliable, high-quality information.
They remain uniquely placed to undertake the investigative journalism and scrutiny
of public institutions, including local councils and our courts, that is vital to
helping ensure a healthy democracy at a local level. And Government-commissioned research
into the importance of newspapers to local communities found that changes in news
provision and consumption over time had a direct impact on participation levels in
local elections in England.</p><p>The Government has taken a number of steps to support
this vital sector, including through the extension of business rates relief for local
newspapers in England for an additional five years; the investment of £2 million in
the Future News Fund; the zero-rating of VAT on e-newspapers; the 2021 publication
of an Online Media Literacy Strategy; and our work through the Mid-Term Review of
the BBC Charter, exploring how the BBC seeks to act as a complement, rather than a
substitute for, local commercial news outlets.</p><p>The Government was also pleased
to see the BBC conduct a thorough review of the Local Democracy Reporting Service
in 2020, and we would support any efforts by the BBC to grow the scheme. Most importantly,
we are introducing a new, pro-competition regime for digital markets. The regime,
which aims to address the far-reaching power of the biggest tech firms, will help
rebalance the relationship between publishers and the online platforms on which they
increasingly rely. This will make an important contribution to the sustainability
of the press at both local and national level. We continue to consider all possible
options in the interest of promoting and sustaining the sector.</p><p> </p>
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