BT, IMG, ITV and BBC fined £4.2m for colluding on freelancer rates

BT, IMG, ITV and BBC have agreed to pay fines totalling £4,240,356 after they admitted to breaking the law by colluding on rates of pay for freelancers.

An investigation by the Competition and Markets Authority (CMA) found sports broadcast and production companies in the UK shared sensitive information about fees for freelance workers such as camera operators and sound technicians.

Sky, which also admitted to colluding on rates of pay, is exempt from a financial penalty as it alerted the CMA to its involvement before the investigation had been launched.

The CMA found 15 instances where a pair of companies unlawfully shared sensitive information about pay with each other, including on day rates and pay rises.

The CMA said that in most cases, the explicit aim was to coordinate how much to pay freelancers. It gave the examples of, on one occasion a business told another they have “no intention of getting into a bidding war” but “want to be aligned and benchmark the rates”. In a separate instance, a company said they wanted to “present a united front” with its competitor.

The fines take into account discounts received by all four companies because they admitted to breaking the law and settled the case.

For BT, IMG and ITV the fine is also lower than it would have been because, after they became aware of the investigation, they came forward about their involvement and assisted the CMA in its investigation under its leniency programme.

The CMA’s findings for each company are:

Sky (10 infringements between March 2014 and January 2021) – no fine (as it was the first to report its involvement in the conduct, before the investigation started)

BT (6 infringements between August 2014 and September 2021) – £1,738,453 (includes a 15% leniency discount and a 20% settlement discount)

IMG (6 infringements between April 2016 and October 2021) – £1,737,820 (includes a 40% leniency discount and a 20% settlement discount)

ITV (5 infringements between March 2014 and May 2018) – £339,918 (includes a 42.5% leniency discount and 20% settlement discount)

BBC (3 infringements between July 2016 and October 2021) – £424,165 (includes a 20% settlement discount)

Fines imposed by the CMA are transferred to the UK Treasury.

CMA executive director for competition enforcement Juliette Enser said: “Millions watch sports on TV each day, with production teams working behind the scenes to make this possible – and it is only right they are paid fairly.

“Labour markets are important for economic growth as a whole. Good recruitment and employment practices help people access the right jobs where they’re paid appropriately and make it easier for businesses to expand and find the workers they need.

“Companies should set rates independently of each other so pay is competitive – not doing so could leave workers out of pocket. Employers must ensure those who hire staff know the rules and stick to them to prevent this happening in the future.”