The Times October 06, 2006

Tories give warning on Ofcom's Labour Party links

By Amanda Andrews

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CONSERVATIVES said yesterday that Ofcom’s Labour connections needed to be monitored after Ed Richards, a former senior adviser to the Prime Minister, was appointed chief executive of the communications watchdog.

Hugo Swire, the Shadow Secretary of State for Culture, Media and Sport, said that his party would “require assurances that Ofcom will be genuinely and consistently impartial and free from any influence from the Labour Party”.

Mr Swire added that “Ofcom now has even closer links to the Labour Party”. Lord Currie of Marylebone, the chairman of Ofcom, had Labour connections “and now the CEO has close connections with both Blair and Brown”.

John Whittingdale, chairman of the Culture, Media and Sport Select Committee, said he welcomed the appointment of Mr Richards but added that, because Lord Currie was a Labour peer, Mr Richards would need to make an extra effort to avoid criticism.

“I know Ed Richards and have a high regard for him and accept that he was the best candidate for the job,” Mr Whittingdale said. “However, there’s the fact that he was closely associated with the Prime Minister at Number 10 and the chairman of Ofcom was a Labour peer. They will both have to be aware that they will be vulnerable to criticism when making controversial decisions.”

Lord Currie, 59, sits on the cross-benches in the House of Lords.

Mr Richards, 42, who was Ofcom’s chief operating officer, has been viewed as the most likely candidate to take over from Stephen Carter as chief executive since Mr Carter’s departure in July after a three-and-a-half-year stint.

Mr Richards was recently sent on Harvard Business School’s ten-week advanced management programme, which provoked much speculation that he could be being groomed as Mr Carter’s successor.

Despite a long search process, which began in June, the Ofcom board is understood to have favoured Mr Richards from early on.

As chief executive he is expected to earn about £400,000 a year. Mr Carter’s most recent salary was £440,000, including benefits.

Although, unlike Mr Carter — who was formerly chief operating officer at NTL UK — Mr Richards has limited corporate experience, his time at Ofcom and his political background made him a favourite for the role.

Before he joined Ofcom he was controller of corporate strategy at the BBC. He also worked at London Economics, the consultancy.

Mr Richards spent yesterday talking to senior staff at Ofcom’s headquarters and is expected to travel to Ofcom offices in Belfast, Glasgow and Cardiff in the coming weeks. It is not known who will replace him as chief operating officer and if that role will remain.

Mr Richards joined the Ofcom board in March 2003. In July 2005 he was promoted to chief operating officer, in which role his responsibilities included strategy, research, consumer policy, business planning, finance and human resources.

In his former role at Number 10 he played a key role in shaping the Communications Bill, which led to the creation of Ofcom.

Mr Richards said: “This is a fascinating job in a fascinating and fast-changing area. We have a strong organisation, committed people and a track record that we intend to build on. I am thoroughly looking forward to the challenges." Mr Richards also worked earlier in his career as an adviser to Gordon Brown.

Mr Swire said: “Although he has no commercial experience Ed Richards brings a great deal of expertise to this role.

“However, given the concerns, post-Hutton, over the Government's potential to influence broadcasters, it is important that the correct measures are in place to protect journalistic independence.”

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