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BBC to make significant cuts to programmes and services

BBC

BBC to make significant cuts to programmes and services

The BBC is on course to deliver £951m of a £1bn savings target by March 2022.

However, with more to be done – and ‘back-office’ ways of reducing spend exhausted – significant cuts to programmes and services are expected – some £408m worth.

A newly-published report titled BBC Value For Audiences states that “In order for the BBC to deliver its public service commitments, support the creative industries and continue to invest in high-quality, world-class, distinctive content for UK audiences, it will have to do more with less income to spend on programmes and services.”

The broadcaster said it had seen a 30% reduction in its income over the last ten years due to increased funding obligations and a frozen licence free between 2010-2015. It has previously brought costs down by dropping the youth-focused BBC Three as a linear channel, surrendering sports rights and reducing its daytime spend on BBC Two.

Spend on on-screen talent has been reduced by 31% to £145M since 2010 while the senior management pay bill has been brought down from £73.3M to £44.2M.

The Beeb said that teaming up with other content providers on commissions – such as The Serpent, it’s co-production with Netflix – was a way of providing affordable content and that it would do more of this.

The cuts are being spearheaded by the corporation’s new Director General Tim Davie as the BBC faces uncertainty over the future of the licence fee after 2027. One of its biggest challenges remains luring in viewers in the 16-34 demographic who are trending more towards streaming services such as Netflix and Amazon Prime.

“The financial challenges and competition we face continue to evolve and while we have demonstrated we can deliver, I want us to adapt and reform further to safeguard the outstanding programmes and services that our audiences love for the future.” – Tim Davie

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