Neil has a point, AM is a dying medium. Radio today is so different from yesteryear. Today's audio offering needs to be multi platform. Caroline on AM makes sense, a lot of the listeners will have memories from it's time at sea and would have also followed it on land where it's been on the air more than it was at sea.
What Caroline needs is publicity, it's signal on AM I believe is fine for us anoraks. Others who have passing interest in music radio may stumble upon it with increasing closures of AM. But any increase in power would only be beneficial in the short term and as Peter says Ofcom is very slow. Plus their next priority for radio is to get the SSDAB up and running. I would suggest it's probably better to put money into the larger conurbation SSDAB, but even these are over a year away.
Therefore I think the main concentration in the short term needs to be publicity and a huge celebration of the 60th anniversary and an expansion of the Caroline Flashback programming to continue the money raising for the ship so that the public have a clear choice of programming when getting this publicity. But the Album service should remain and publicised as the main service.