Press Release - Preparations for Digital Switchover
27 February 2008
The National Audit Office has found that a good start has been
made in preparing for the replacement by 2012 of the analogue
television service with a digital one. Eighty-five per cent of
households have already switched from analogue to digital TV for
their main set. However, consumers will have to convert or replace
another 26 million television sets if they wish to continue
watching television on those sets after the switchover to
digital.
The Government estimates that the programme will cost the UK
economy £4.6 billion, of which £3.8 billion is the cost to
consumers of converting or replacing television sets. The
Government estimates the benefits will be £6.3bn, largely through
extending the geographical availability of existing services for
consumers and the opportunity for new services.
A help scheme for the switchover which offers assistance to
specified groups is being administered by the BBC and funded with
up to £603 million ring-fenced by the Government in the licence fee
to 2012-13. The first switchover in Copeland had some distinctive
features which mean it may not be representative of future areas,
but if national take-up were to mirror the lower than expected
take-up in Copeland, then the funding requirement would be
significantly lower than the ring-fenced amount. It is currently
too early to draw firm conclusions on how much the scheme is likely
to cost.
Over two thirds of the population is aware of what they need to
do in order to continue watching television broadcasts after
switchover. However, 31 per cent of people do not understand that
they will need some form of digital equipment in order to continue
to receive broadcast television. Understanding among some sections
of the community – particularly Ethnic Minority and non-English
speaking groups - is significantly lower.
In the first seven months of 2007, 45 per cent of all
televisions sold in the UK were analogue, even though televisions
are replaced on average every seven years. The Government
introduced a ‘digital tick’ scheme to inform consumers about
television services and equipment that will work through
switchover, but 25 per cent of people do not know what the tick is,
and in a mystery shopping exercise, around half of retail staff
could not explain it satisfactorily.
Tim Burr, head of the National Audit Office, said
today:
“The Government’s digital switchover programme will
affect almost every home in the UK and most of the costs will be
met by consumers. Helping consumers through the switchover process
requires strong and coordinated working between Government and
delivery agencies.
“Progress so far is encouraging, but there is a long way
to go with almost one third of licence fee payers still not
understanding switchover, up to 26 million analogue television sets
yet to be replaced or converted and nearly 1,200 transmitter sites
to be upgraded.”
Notes for Editors:
- Digital switchover policy is the joint responsibility of the
Department for Culture, Media and Sport and the Department for
Business, Enterprise and Regulatory Reform.
- The Departments have secured the BBC’s agreement to take a lead
role in switchover, including arranging funding for the BBC of £200
million to fund Digital UK’s communications activities and part of
its operating costs and £603 million for the delivery of the
Digital Switchover Help Scheme, with these amounts ring-fenced
within the licence fee settlement to 2012-13.
- The Digital Switchover Help Scheme offers assistance to people
who are aged 75 or over, qualify for certain disability allowances
or are registered blind or partially sighted. Eligible people are
entitled to apply for help with acquiring and installing a digital
receiver as the scheme run by run by Digital Switchover Help Scheme
Ltd, a subsidiary of the BBC. Eligible people have to pay £40
towards the cost of assistance if they are not in receipt of income
support, income based jobseeker’s allowance or pension credit.
- Press notices and reports are available from the date of
publication on the NAO website, which is at www.nao.org.uk. Hard
copies can be obtained from The Stationery Office on 0845 702
3474.
- The Comptroller and Auditor General, Tim Burr, is the head of
the National Audit Office which employs some 850 staff. He and the
NAO are totally independent of Government. He certifies the
accounts of all Government departments and a wide range of other
public sector bodies; and he has statutory authority to report to
Parliament on the economy, efficiency and effectiveness with which
departments and other bodies have used their resources. Mr Burr
took up post on 1 February 2008.
Press Notice 12/08
All enquiries to Phil Groves, NAO Press Office: Tel: 020 7798
5339
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