Four of the UK's biggest sports broadcast and production companies have been fined £4.24m by the Competition and Markets Authority (CMA) for illegally colluding on freelance pay rates.
The UK's competition regulator fined the BBC, BT, IMG and ITV for sharing sensitive information about fees for freelance workers including camera operators and sound technicians.
Sky also admitted breaking the law but avoided a fine after alerting the CMA to its involvement before the investigation began.
Freelancers are regularly hired by the five companies to help produce and broadcast sports content such as major football games and rugby tournaments.
The CMA found 15 instances where a pair of companies unlawfully shared sensitive information about pay with each other, including about day rates and pay rises.
In most cases, the aim was to coordinate how much to pay freelancers. For example, 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 it wanted to “present a united front” with its competitor.
BT and IMG were each fined £1.7m, while the BBC must pay £424,000 and ITV received a £340,000 fine.
The CMA said 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.
Juliette Enser, the CMS’s Executive Director for Competition Enforcement, 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.”
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