06 August 2007

UK - C4 phone line move to cost it £3m

(FT)
Channel 4 has responded to a spate of scandals over premium rate phone lines by announcing that it would no longer seek to make a profit from them – a decision that will deal a huge financial blow to the broadcaster. In a statement, Channel 4 said the move was an attempt to regain the trust of its audience and played down the financial impact, saying that it would cost the company only £3m in the current financial year. In fact, in the last full financial year, PRTS contributed "more than £10m" to overall pre-tax profits of £21.3m.