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<p>There are two separate regimes for the licensing of commercial radio stations.
National and local analogue stations, carried on FM or AM, are licensed by Ofcom under
the Broadcasting Act 1990. Digital radio stations, carried on digital multiplexes,
are licensed by Ofcom under the Broadcasting Act 1996. Analogue licences are issued
for a fixed period; however, an analogue licence holder who also provides a digital
radio service may apply for an automatic renewal.</p><p><strong> </strong></p><p>Ofcom
does from time to time advertise analogue licences to prospective bidders where an
existing commercial frequency is vacated or where a commercial station chooses not
to renew. However, since 2007, Ofcom has prioritised new services for the development
of community radio when advertising these frequencies. There are around 300 community
services currently operating across the UK and the sector is likely to expand further
with the start of small-scale DAB multiplex licensing by Ofcom later this year.</p><p><strong>
</strong></p><p>New services seeking to obtain an analogue sound programme licence
or digital sound programme licence from Ofcom must be based in the UK and must satisfy
Ofcom that the applicant is a fit and proper person to hold such a licence. Local
analogue sound programme licence holders’ services must also meet the character of
service set out in the station’s licence application, and satisfy the requirements
for local news and production as set out in guidance published by Ofcom under s314
of the Communications Act. There are no equivalent requirements on digital radio services,
which have always been subject to a lighter touch regime.</p><p> </p>
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