£200 million each year on content distribution: BBC to undergo ‘value for money’ review

A review has been commissioned by the BBC Trust to examine whether the way in which the BBC distributes its content provides good value for money for licence fee payers.

The commission comes not long after the announcement that the BBC will be making certain programmes available to stream on iPlayer before they hit television screens in a bid to increase viewership.

Specialist media company Mediatique will be administering the review, which intends to examine whether the BBC is meeting obligations for distribution and whether this is being done in a cost-effective way. They will analyse the corporation’s television, radio and online platforms whist carrying out the review.

Lead BBC Trustee Anthony Fry has revealed that the BBC spends some £200 million a year on distribution, which is 6% of the corporation’s total budget.

He added that “In a changing landscape, with increasing numbers of people accessing content online or on mobile and tablet devices, it is vitally important that we look at how and where the BBC is spending money on distribution, to ensure it is making the best use of its resources and securing value for money.”

The review will conclude this summer and is to be presented in a written report to the BBC Trust before going to Parliament.

It will then be published on the BBC Trust website, available for the public to read.