As a result of this Act, the Independent Broadcasting Authority was abolished, and replaced by two new 'light-touch' regulators: the Independent Television Commission (ITC) and the Radio Authority. The small Cable Authority was also abolished, its powers transferred to the ITC. The act also changed the system of licence allocation for the franchises now legally known as Channel 3: the previous system where applicants needed to show good programming ideas and fine financial controls was replaced by highest-bidder auctions to determine the winner of each ITV regional franchise. This element of the ITV franchising process was very controversial; the press and the existing ITV companies lobbied to have it changed and the ITC agreed to introduce a 'quality threshold' to prevent high bidders with poor programme plans from joining the system. Another safeguard was the 'business plan' which determined if a bidder could maintain the payments due and still retain money for programme making.