RNZ-TVNZ merger scrapped

8th February 2023
Work towards the long-mooted merger is to “stop entirely” as part of cuts to government’s work programme and a renewed focus on cost-of-living crisis.
RNZ and TVNZ buildings
RNZ and TVNZ. Credit: RNZ/123RF

After 18 months of preparation, plans to create a new public media entity – a merger of Radio New Zealand and TVNZ – have been scrapped. The ambitious new, consolidated multi-platform public media entity, Aotearoa New Zealand Public Media (ANZPM), had been due to come into being as soon as 1 March 2023.

The decision comes as the country’s new Prime Minister, Chris Hipkins, looks to make a series of policy changes and cut costs to refocus government efforts on the cost-of-living crisis.

The potential merger was welcomed by many in the industry – including the Public Media Alliance (PMA) – as a way of futureproofing public media in New Zealand and enabling it to better adapt to changing audience habits and the digital environment.

In an announcement on 8 February, Hipkins said: “Support for public media needs to be at a lower cost and without such significant structural change”. However, the Prime Minister affirmed that RNZ would receive a funding boost of around NZ$10million to ensure its sustainability, with further options to improve its reach to underserved audiences.

Read more: ANZPM: Public media “for a volatile world”

RNZ management welcomed the “clarity” given by today’s announcement after months of uncertainty.

In a press release, RNZ Chair Dr Jim Mather welcomed the recognition of RNZ’s role, but warned of the ongoing challenges posed by the cost of local content, competitive pressures globally and the spread of mis- and disinformation.

“Those issues have not gone away, and significant challenges remain – not just for public media but for the whole New Zealand media industry,” Dr Mather said.

Despite the change in direction, RNZ CEO and PMA President Paul Thompson welcomed the recognition of the public broadcaster’s mandate and funding announcement:

“RNZ provides an essential service which needs investment to address legacy infrastructure issues but also to reach more diverse audiences which aren’t well served by what we do now. Our ability to collaborate with others means we are very well positioned to provide a resilient and comprehensive media service to connect and inform New Zealanders while also supporting the wider sector.

“In addition, RNZ provides vital emergency management services critical to the nation, along with connections to nations across the Pacific.

While there is no confirmation of the final amount RNZ might receive in additional funding, Hipkins said that scrapping of the merger could result in funds being made available ahead of the Budget in April. According to Stuff, the merger was expected to cost in the region of NZ$370 million.

While PMA welcomes the political recognition of the role of sustainable and well-funded public media made today, there must now be a concerted effort by the government to live up to commitments and not let the knowledge gained over the past 18 months go to waste.

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PRESS RELEASE

RNZ Responds to Government Announcements on the Aotearoa New Zealand Public Media Bill.

Dr. Jim Mather, Chair of the Board, RNZ

The Government’s announcement today about the future of the ANZPM Bill has provided clarity around the important role RNZ plays in the public media sector, Board Chair Dr Jim Mather said. 

“As New Zealand’s oldest public broadcaster and its most trusted media entity RNZ has always supported initiatives to strengthen public media here and around the world,” Dr Mather said. 

“Media in New Zealand is being challenged by rapidly changing commercial models, the rise of international media giants and foreign content, the increasing cost of local content, and the spread of misinformation and disinformation. 

“Those issues have not gone away, and significant challenges remain – not just for public media but for the whole New Zealand media industry.” 

RNZ CEO Paul Thompson said that much of the work done by the Stronger Public Media Establishment Board would now be picked up by RNZ and the announcement of better funding would enable that to occur. 

“RNZ’s mandate remains incredibly important – a fact recognised by nearly everyone involved in the debate around ANZPM,” Mr Thompson said. 

“It’s also good that there’s broad political acceptance for the need to properly fund RNZ. 

“RNZ provides an essential service which needs investment to address legacy infrastructure issues but also to reach more diverse audiences which aren’t well served by what we do now. Our ability to collaborate with others means we are very well positioned to provide a resilient and comprehensive media service to connect and inform New Zealanders while also supporting the wider sector. 

“In addition, RNZ provides vital emergency management services critical to the nation, along with connections to nations across the Pacific. 

“We look forward to working together with others to ensure the broader media sector that underpins a healthy democracy flourishes.”