A penalty of £4.2 million was imposed on broadcasters like BBC and ITV by the Competition and Markets Authority for unlawfully fixing pay rates for freelancers involved in sports coverage. Companies such as BBC, ITV, BT, and IMG admitted to engaging in cartel-like behavior in the production of sports events. Sky also confessed to the offense but avoided a fine by reporting its involvement prior to the investigation's initiation.
The misconduct revolved around the broadcasters' utilization of freelance workers, such as camera operators and sound technicians, for various sports tournaments. The CMA identified 15 instances where companies shared sensitive pay information unlawfully, aiming to regulate freelancer payments across the industry. Collaborative actions were evident, like agreeing on fixed rates to avoid bidding wars and presenting a united front against competitors.
Juliette Enser from the CMA emphasized the importance of fair payment for behind-the-scenes production teams in the sports broadcasting industry. She stressed the significance of competitive pay rates, enabling workers to receive fair compensation and promoting economic growth. Companies were advised to independently set their pay rates to ensure fairness and prevent workers from being financially disadvantaged.
Fines were reduced as all companies admitted guilt and cooperated in resolving the case, with BT, IMG, and ITV receiving lower penalties due to their collaboration. The CMA decided to close the investigation into collusion in freelancer contracts for non-sports programming, focusing on specific production companies like Hat Trick, Hartswood Films, and Sister Pictures. The BBC assured its compliance with competition laws and cooperated with the CMA throughout the investigation process.