This is logic on the same scale that is applied to BBC Radio, where it was decreed that Radio 1 needed to focus on younger audiences because the commercial sector was complaining they couldn't compete.
That's like me opening a gym and complaining about the competition from the council funded leisure centre down the road.
You can't come in as a competitor to something that is well established and moan about the competition having an unfair advantage.
If it was 1983 and he was complaining that the BBC's launch of Breakfast Time as a spoiler to TV-am was a bit underhand, he might well have a point, but this is just blatant anti BBC nonsense from a Minister whose prejudices make him unsuitable for the job.
Write that down in your copybook now.