VOD Services Must Pay £375,000 To Be Regulated

UK video-on-demand providers must pay a combined £375,000 to two bodies that will regulate their industry.

The Association for Television On Demand (ATVOD) was last week confirmed by Ofcom to co-regulate, along with it, the VOD sector under last year’s UK implementation of the European Commission’s 2007 Audio-Visual Media Services directive.

But the pair of bodies say running costs for December 2009 to March 2011 are £426,388, and that the VOD providers themselves should pay fees totaling £375,000 between them to finance the operation for the 2010/11 fiscal year (the rest is from taxes).

Ofcom says 150 VOD services must pay the fees – but, despite reviewing the sector last year, it has not published a list identifying the companies affected.

Indeed, singling out those services which fall under the joint Ofcom-ATVOD auspice is tricky. The EC directive applies to “TV-like” services, which it says “must not contain any incitement to hatred based on race, sex, religion or nationality