ITV boss Carolyn McCall prepares to appear before a special committee on culture, media and sports for questioning
Ladies Carolyn McCall, ITV chief executive, under pressure, by now familiar with putting out fires.
For a tumultuous five-year tenure at the helm of the broadcaster, fire from MPs floundering in tough interrogations about the death of contestants on the reality shows Love Island and The Jeremy Kyle Show ”.
Now another speech in Parliament looms amid outrage over ITV's treatment of This Morning host Philip Schofield, who left the channel after his affair with a much younger male colleague was revealed .
Hearing to be held again ITV's defenses are in question, a nasty distraction for McCall as she fights to guide the broadcaster through a turbulent transition into the streaming era.
As both public and political As pressure builds on the Schofield scandal, more questions are being raised about the extent of the problems McCall faces and her future at the company.
The future of This Morning is in doubt after the Schofield scandal. Photo: This Morning
«It's one of those things where, if she didn't disappear from the news or, God forbid, there was another development in the story, the board of directors thought maybe now is the right time to change leadership,» says one industry observer.
«Let's say I'm the chairman, I think the share price has dropped over 60% since the CEO came in, shareholders are unhappy, is this a potential opportunity to clean-up management and start all over again?
«If anything happens, it's because of these underlying issues.»
Schofield's ignominious departure from This Morning dominated the headlines for weeks amid questions about what and when senior bosses knew ITV. There are also questions about whether the company has done enough to protect employees and how it handles complaints.
Adding fuel to the fire is that the saga has drawn outright criticism from former hosts, including Eamonn Holmes and Dr. Runge, who have accused the broadcaster of creating a «toxic» work environment and inciting cover-ups.
In a letter to the Minister culture Lucy Fraser last week McCall said that ITV had commissioned a lawyer to conduct an external review of how it handled the case.
Now the ITV boss is preparing for a closer scrutiny by the culture department, media and sports committee , and MPs are expected to question her on Wednesday about how long the bosses knew about the affair, how they responded to complaints, and whether any non-disclosure agreements were used.
ITV Schofield clashes
So far, ITV appears to have escaped any financial ramifications of the controversy. Its share price, although down nearly 60% over the past five years, has changed little over the past week.
Arnold Clark, This Morning's main sponsor, has confirmed he will not renew the agreement when it expires in the fall, as previously planned. But for investors, any blow to advertising is not much of a concern, given the low visibility of the show during the daytime.
What's more, analysts argue that talk shows like This Morning owe much more of their popularity and longevity to the format. rather than the presenters.
“The show will turn 35 this October and its hosts have come and gone,” says Alice Enders of Enders Analysis. «It's the format that attracts the audience.»
An ITV insider downplayed the scandal, saying that the broadcaster often attracted public attention because of its popularity.
They said: «We make shows that people watch and talk about, so we're different from Channel 4 and the BBC.»
However, McCall's interrogation threatens to generate unwanted publicity and adds to the list of recent problems in public broadcasting.
In addition to the reality TV scandals, the broadcaster had to manage Ant McPartlin's drunk driving. accident, Piers Morgan's dramatic departure from Good Morning Britain, and Jeremy Clarkson's uncertain future in Who Wants to Be a Millionaire? Jeremy Clarkson as Who Wants to Be a Millionaire? The presenter doubted the implications of his Meghan Markle column. Photo: ITV Picture Desk
This week, former X Factor contestant Rebecca Ferguson accused ITV of «abuse of power» when she spoke of her «traumatic» experience on a talent show. .
One TV industry official says the Philip Schofield controversy harbors «seeds of disaster,» adding that it could be as damaging as the 2007 phone scandal.
ITV was fined a then-record £5.7m by Ofcom for defrauding viewers of millions of pounds through rigged phone contests.
For McCall, however, the gravity of the latest scandal may largely depend on her speech to the deputies.
During her rocky first appearance, the broadcaster had the supportive hand of Sir Peter Bazalgette, then chairman of ITV. , next to her. However, he resigned last September and was replaced by Andrew Cosslett, who does not have much broadcast experience.
ITV has hired FGS Global, an urban PR firm founded by Remain campaigner Roland Rudd, to provide media training prior to the hearing.
McCall may consider offering a sacrificial lamb to satisfy what Enders describes as «a very British way of demanding scalps.»
One TV industry figure ironically refers to the BBC's inside joke that «if there's a crisis, the deputies have to go.»
«I don't know. I don't think it's a BBC exclusive,» adds the insider.
One of the main targets blamed would be Kevin Ligo, the 65-year-old director of the channel. One of the most famous figures in the industry, Laigo has been with the company since 2010, having previously held a senior position at Channel 4.
Ligo denies any mistakes made in handling the Schofield crisis. . But after a lot of controversy in ITV's programming, the longtime boss may find it difficult to sell the line to MPs.
Martin Frizell, This Morning editor and daytime managing director Emma Gormley, could also be at risk.
The pressure on management is heightened by reports that Schofield's co-host Holly Willoughby has reconsidered her positions. heads to take their complaints directly to McCall. ITV denies this.
Any attempt to shift the blame to other executives risks causing internal backlash and creating a creative vacuum at the heart of the broadcaster.
Instead, analysts and investors say McCall's fate is will be decided by more fundamental considerations.
The CEO's tenure has been hampered by ITV's low share price and the failure of BritBox, its joint venture with the BBC.
Management welcomed a strong start to new streaming service ITVX, which is a key part of the company's goal of reaching 750 £1m digital revenue and 2.5m subscribers by 2026.
However, ITV has been slow to fully embrace streaming and McCall's decision to invest £180m in the new venture just as how the decline of the advertising market alarmed investors.
“There is a lot of pressure on the top line of broadcast activity for economic, cyclical reasons,” says Enders. “How to handle this situation is a really difficult situation.”
The company is reportedly considering selling a stake in its thriving manufacturing division to stabilize its balance sheet.
Ultimately, for the chairman Cosslett, a bigwig from the City who also heads the Rugby Union and owner of B&Q Kingfisher, it's the financials that will be on his mind as he considers the future of ITV's management.
One Major ITV shareholder says: In terms of the main factors influencing the share price and shareholder views on management are the decline in advertising and how to overcome it, the launch of ITVX and the cost of the production business.»
An ITV insider insisted that McCall had the full support of the board directors. However, if Cosslett is looking for an excuse to shake things up, the Schofield saga might give him that opportunity.
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