The culture secretary, John Whittingdale, has spoken out in favour of the privatisation of Channel 4, arguing that the commercially funded, state-owned broadcaster could be “better off” in private hands.

Despite saying no decision would be made until after discussions over the future of the BBC’s charter renewal, Whittingdale’s comments to the House of Lords communications committee on Tuesday were overwhelmingly in favour of a move into private ownership.

Whittingdale said: “There is an argument that Channel 4 would have a stronger future if it has a private sector partner who has deep pockets and was willing to invest in the growth of the business.”



He suggested that such a move would be in Channel 4’s interests rather than the Treasury’s: “This is not about raising money for the government [but] about trying to find a model to sustain Channel 4.”

Asked which companies would be potential buyers, the man who tried to privatise Channel 4 in 1996 said: “I talk to a large number of media companies and I think there is no shortage of potential interest.”

Adding that private ownership could improve the quality and quantity of the channel’s public service content, he said: “When we come to look at potential options, commitment to invest in new programming is an important issue.”

When Labour peer Lord Hart asked how the government would avoid potential buyers reneging on promises made before acquisitions, mentioning the takeover of Cadbury’s as an example, the culture secretary said media regulator Ofcom would have the power to check.

Channel 4 is firmly opposed to privatisation, arguing it would make public service content such as the news harder to justify. Its former chair Lord Burns had proposed the mutualisation of the broadcaster.



Whttingdale said of this proposal: “I’m not sure it addresses the problems really.”

He said private ownership would not dilute the remit governing Channel 4’s public service requirements, which he believes should, if anything, be strengthened whatever the ownership structure. If a future owner tried to water down these requirements – by broadcasting less news and current affairs for example – then the regulator should say no, he said.

He added that the government was “looking at every option” to guarantee the future of the broadcaster set up during Margaret Thatcher’s first parliament, but committee members said afterwards that “the direction of travel is clear” if Whittingdale survives an expected cabinet reshuffle after the 23 June referendum.



Despite denying that the issue of ownership was even “under debate” in August 2015, a government official was photographed entering Downing Street with a document setting out options for a sell-off just a month later.

