BBC set for sweeping cuts

[khurramdar]

BBC set for sweeping cuts

The BBC is reportedly poised to slash its foreign acquisitions budget by 25%, close down half of its websites, teen operations Switch and Blast and several digital-only radio stations.

The moves come as part of a far-reaching strategic review that will be announced by director general Mark Thompson next month, according to a report in today's Times newspaper.

BBC2 will get a budget hike of £25m (US$38m) and be encouraged to "go upmarket," according to the report, though this is likely come at the expense of future US imports.

The channel is the home of series such as Heroes and Mad Men but the BBC's overall acquisitions pot will be cut from its current £100m to £75m. The BBC's governing body, the BBC Trust, is said to be pushing for more - a 33% cut.

The corporation's multiplatform operations are also set for major change. The number of BBC web pages will be halved, with 25% of staff left without jobs. The current £112m web budget will also be trimmed by 25%.

One insider told US: "There's a feeling among management that now they have the iPlayer they don't need anything else."

Earlier this month, the BBC was named in a report by Content Economics Research as the biggest individual spender on original web content in the UK in 2009 - something that raised eyebrows among staff fearful of anticipated cuts to come.

Teen operations BBC Switch and BBC Blast - both of which have significant online presences - are also set for the chop, as are digital radio stations 6 Music and Asian Network. Digital TV channels BBC3 will endure, claimed the Times, despite calls for its closure by commercial rivals.

The BBC's spending on sports broadcasting rights will be capped at 8.5% of the annual £3.6bn licence fee that funds the pubcaster. These steps are being taken under the expectation that the licence fee will be frozen from 2013 and will see £600m redirected into higher quality content.

The Times named BBC director of policy and strategy, John Tate, as author of the strategic review. A BBC spokeswoman refused to comment.

The National Audit Office yesterday slammed the corporation for going £100m over budget and four years overdue on the refurbishment of its Broadcasting House central London HQ. It also criticised BBC management for allowing other building projects totaling £2bn to run out of control.