The privatisation of Channel 4 has been scrapped in a major reversal of plans by Boris Johnson.
Culture Secretary Michelle Donelan today announced the station will remain in public ownership, where it has been for 40 years. It comes a day after her draft decision was leaked.
Mr Johnson, humiliated when the station replaced him with a melting ice block in a 2019 debate and a senior figure called him a “known liar”, had planned to flog Channel 4.
Tory Nadine Dorries also tried to push through the sale when she was Culture Secretary, after wrongly claiming it was "in receipt of public money".
But their plan prompted a furious backlash - and was ‘re-examined’ when Liz Truss took power. Rishi Sunak and his new Culture Secretary have now decided to scrap it.
Ms Dorries lashed out at the leaked decision yesterday, fuming on Twitter : "Three years of a progressive Tory government being washed down the drain. Levelling up, dumped. Social care reform, dumped. Keeping young and vulnerable people safe online, watered down.
"A bonfire of EU leg, not happening. Sale of C4 giving back £2b reversed. Replaced with what?"
Shadow Levelling-Up Secretary Lisa Nandy told Sky News: “It’s the right decision, and it’s an enormous relief that the government has dropped these crazy plans to try to flog Channel 4 off to the highest bidder.
“Channel 4 is one of the crown jewels in terms of having a presence in all of our nations and regions, supporting the independent production sector in this country, and making sure every part of this country is reflected in our national story.
“It would have been a huge act of economic vandalism to sell it off to the highest bidder, and it’s a relief that the government has finally seen sense and backed down.”
Channel 4 is publicly owned and non-profit but receives no taxpayer cash, instead being funded entirely through its commercial activity.
Instead of privatisation, reforms will "eventually allow Channel 4 to make and own some of its content", the government said.
This will include slowly raising Channel 4’s 25% quota of shows that are independently produced.
Channel 4’s board will have a legal duty to ensure "long-term sustainability" of the station amid competition from Netflix and Prime.
And the firm will double roles outside London from 300 to 600 by 2025 including in Leeds, Glasgow, Manchester and Bristol.
The government said the channel's regional programme-making quotas - 35% of hours outside London - will remain unaffected.
