BBC chiefs can’t rule out further cuts as licence fee freeze stings
BBC chiefs have not ruled out further cuts to services as the broadcaster continues to feel the ramifications of the licence fee squeeze.
Speaking at a parliamentary committee meeting this morning, Director-General Tim Davie said it was possible that the broadcaster will need to be continue to make “painful decisions”.
The broadcaster has already said it would be merging BBC World News and the BBC News channel in a cost-cutting rampage, as well as axing Oxfordshire and Cambridgeshire’s dedicated news channels and local radio.
He agreed that he wouldn’t be cutting journalists, but would just be cutting programming in these areas.
Following news in January that the licence fee would be frozen at £159 per year for the next two years, the broadcaster predicted there would be an £285m income gap between 2021-28 that it would need to fill.
Davie told the committee that the Beeb remains under a “significant amount of pressure”, especially as inflationary pressure and energy set to worsen in coming months.
Nadine Dorries, who was vocal about her concerns about the BBC and pioneered the licence freeze, resigned this morning from her role as Culture Secretary.
On this, Davie said he would welcome a new Secretary of State, noting that he had seen ten politicians take the role in the last ten years.
City PM reported yesterday that the BBC had called in Bain & Co to review its funding strategy.
The world-leading consultancy will be helping the Beeb put together a wide-ranging blueprint for its future.
It is understood that Bain & Co’s work with the BBC got the green light before it was given a three-year ban from working on UK public sector contracts following claims that it facilitated “state capture and corruption by the South African government.”
A BBC spokesperson said: “The BBC on occasion seeks external support and they are helping inform work on future strategy.”