With commercial free-to-air television and radio networks facing increasing cost pressures, the Coalition welcomes the government’s belated announcement to suspend the Commercial Broadcasting Tax for two years.
Given the exemption from the tax expires in early June, it is regrettable it took the Minister for Communications, Anika Wells, so long to provide media companies with much needed certainty.
Commercial TV and radio broadcasters play a crucial role in informing and entertaining Australians.
In the face of increasing competition from the multinational tech giants, the free-to-air broadcasting of Australian news, sport, information, and drama is more important than ever before.
With this $55.65 million annual tax hanging over its head, the sector deserves better than last minute suspensions and piecemeal announcements.
Yet, this is part of a broader pattern of dysfunction. Labor’s decision to tear down the Coalition’s News Media Bargaining Code, a vital lifeline for Australian journalism, has cost news organisations, including regional newspapers, millions of dollars in lost revenue.
Rather than get tough against tech giants such as Meta for publishing Australian news content without payment, the government sat on its hands for more than two years. Australian media companies have paid a very heavy price.
The government has also talked a big game on holding the digital platforms to account with its under-16 social media ban, yet the scheme is riddled with defects and uncertainty.
An estimated 70 per cent of children are circumventing the ban including by bypassing age verification and shifting to other platforms. It is still unclear which services will be covered, compounded by a legal challenge in the High Court and Labor’s refusal to be transparent with Australian families.
The media sector deserves a government willing to vigorously back local journalism, support regional media, hold global tech platforms to account and recognise the essential role free-to-air broadcasters play in informing, connecting and protecting Australians.