I withdraw my remark. I also thank him for his congratulations to the officials in the department on the work they have done and the document that he received.
The noble Lord mentioned a number of different points. Once again, if I do not cover them all, I will ensure that I write to him. He mentioned a number of points relating to when the Government will make a decision on when the switchover will actually take place. He felt that it would be far better if we made a firm decision on that. Our position on the switchover decision remains the same. A decision about the timetable for a future switchover will be considered only once the listening and coverage criteria have been met; for example, when at least 50% of all listening is through digital, national DAB coverage is comparable to FM, and local DAB reaches 90% of towns. The noble Lord also asked when that stage will be reached. According to the radio industry source, on current trends digital listening should reach the 50% threshold sometime in late 2017 or 2018. We have always linked switchover to listener take-up and that has not changed.
The noble Lord also commented on the research commissioned from Value Partners and its findings. The research we commissioned on the various options for addressing the expiry of analogue licences was extremely useful as a starting point for a more detailed consideration of the future of radio licensing. However, we believe its conclusions are only partially developed, particularly when it comes to assessing the level of interest there will be around contesting commercial
analogue radio licences in the open market. We concluded that the wider disruption caused by a major licensing round would outweigh the benefits of new entrants to the market. There is scope, as the noble Lord mentioned, for new entrants, through acquisition of existing stations or the development of services on DAB online. The launch of the second national multiplex in March 2016 will open the way to new providers coming into the UK radio market.
The noble Lord also asked why we are not setting a firm date for 2022 or 2023. We have always said that a switchover must be listener-led. If progress with listener take-up of digital radio continues, it is quite possible to envisage a scenario where a switchover takes place in the early 2020s, although the exact timing and process is something that will need to be carefully considered by the radio industry and the Government. I stress that we will not be in a position to commit to a switchover unless or until listeners are ready.
The noble Lord also mentioned the situation of smaller radio stations following a switchover. The Government recognise the vital role that local stations play in supporting the communities they serve. That is why we have always said that, in the event of a future switchover, part of the FM spectrum will be retained for smaller, independent local and community radio stations for as long as it is needed. At the same time, we recognise that some smaller stations want more
choice in terms of broadcasting on the DAB platform and are concerned about being left behind as more radio goes digital. That is why DCMS has provided £500,000 to Ofcom to support further feasibility work on small-scale DAB solutions to enable smaller stations to broadcast on digital.
The noble Lord, Lord Stevenson, also asked why we are afraid of an open licence competition. We agree that there is a difficult balance. Stations can start on digital and online and broaden the market that way. He also drew attention to Ofcom as a resource that could undertake a licence reapplication process. Not at all—relicensing will create a period of instability for radio and this will make a future switchover decision harder.
The noble Lord, Lord Stevenson, also said that subject of the order is not of constitutional significance. That is why we have opted for the smallest possible change: a five-year renewal. The scrutiny committee of both Houses, as I said, agree that it is not of constitutional importance. We are not seeking to restrict access to news or radio. I thank the noble Lord for his contribution, all the same. He certainly raised a number of important points. I commend the order to the Committee.