BBC to cut up to 2,000 jobs in biggest downsize in 15 years
TL;DR
The BBC plans to cut up to 2,000 jobs, affecting about 10% of its workforce, in its largest downsizing in 15 years. The cuts are part of a £600m cost-cutting plan announced earlier this year.
Key points
- BBC to cut up to 2,000 jobs
- Affects about 10% of 21,500 staff
- Largest downsizing in 15 years
- Part of a £600m cost-cutting plan
- Tim Davie is the outgoing director general
Mentioned in this story
The BBC is to cut as many as 2,000 jobs in the biggest down-sizing of the public service broadcaster in 15 years.
Staff are set to be informed of the cuts, which will affect about 10% of the BBC’s 21,500 staff, at an all-staff meeting on Wednesday.
The job cuts, which are being set in motion before the arrival of former top Google executive Matt Brittin as director general next month, represents the biggest round of job cuts since 2011.
The BBC announced a £600m cost-cutting plan in February, warning that it would result in job cuts and the end of some programming.
Tim Davie, the outgoing director general, said at the time that the BBC would need to cut 10% of its approximately £6bn annual cost base over the next three years.
Davie departed the BBC on 2 April, having announced his resignation in November after controversy over coverage of issues including Donald Trump, Gaza and trans rights.
Rhodri Talfan Davies, the BBC’s interim director general, is leading the all-staff meeting, first reported by the Financial Times, and will continue to head the corporation until the arrival of Brittin on 18 May.
The BBC is now in negotiations with the government over the renewal of its royal charter, which expires at the end of next year, including the licence fee funding mechanism.
The corporation saw the licence fee increase in line with inflation on 1 April, increasing from £174.50 to £180 annually.
It made £3.8bn from the collection of the licence fee last year from 23.8 million households, plus a further £2bn from commercial activities and grants.
However, licence fee paying households decreased by 300,000 year-on-year amid an increase in evasion and a rise in audiences switching to just watching rival digital platforms such as Netflix and Disney.
In February, Davie said the BBC was “holding our own” despite the challenges posed by the rise of streaming services and the huge impact of YouTube.
Last year, Ofcom, the media regulator, warned that public service television – made by the BBC, ITV and Channels 4 and 5 – is becoming an “endangered species” in the streaming era.
The BBC is seeking to expand its iPlayer service, including announcing a content deal with YouTube in January.
The BBC has previously said: “Over the last three years we have delivered more than half a billion pounds’ worth of savings, much of which we’ve been able to reinvest into our output across the BBC.
“In a rapidly changing media market, we continue to face substantial financial pressures. This is about the BBC becoming more productive and prioritising our offer to audiences to ensure we’re providing the best value for money, both now and in the future.”
Q&A
Why is the BBC cutting 2,000 jobs?
The BBC is implementing job cuts as part of a £600m cost-cutting plan to reduce its annual cost base by 10% over the next three years.
When will BBC staff be informed about the job cuts?
BBC staff will be informed of the job cuts during an all-staff meeting on Wednesday.
Who is the new director general of the BBC?
The new director general of the BBC is Matt Brittin, a former top Google executive, who will take over next month.
