UK commercial broadcaster Channel 5 and the Producers Alliance for Cinema and Television (Pact) have finalized the terms of a trade agreement for independent production companies working with Channel 5.
The agreement takes effect for a period of three years starting today (Sept. 11) and aims to strike a fair deal with producers on commissioned programming, reflecting industry developments, audience expectations and the wider commercial landscape for content.
The deal secures UK exhibition rights for Channel 5 on its main public service channel along with secondary channels and the pay-TV and free channels of Viacom International Media Networks in the UK and Ireland and across associated VOD services and other platforms.
For producers, the agreement offers clear and transparent terms and promises a shorter holdback position in Ireland and on VOD than previously. It also offers greater music ownership and publishing revenue participation, along with enhanced VOD royalty payments.
The terms apply solely to fully-funded commissions from qualifying indie producers for the main channel (Channel 5).
“Independent production companies are the lifeblood of Channel 5, so it is vital we operate a Terms of Trade that benefit broadcaster and producer alike,” said James Tatam, VP of commercial, digital and operations at Channel 5, in a statement.
“Pact’s recent Census showed that Channel 5 is a significant commissioner of programming from smaller producers from around the UK,” added Pact chair Sara Geater. “They – along with other qualifying indies commissioned by Channel 5 – will benefit greatly from these new terms of trade that are easy to understand and reward success.”