Mark Thompson confirms BBC’s strategic review

The BBC’s director general Mark Thompson has unveiled the corporation’s much-anticipated strategic review.

The review claims that the BBC will cut £100 million a year from overhead costs, reducing them to £300 million, and will free up £600 million a year to be reinvested in high-quality content.

Today’s announcement confirms speculation that the BBC plans to close BBC 6 Music and Asian Network, cut its online budget by 25% as well as spending on imports by 20% and cap sports rights spending.

Thompson has also confirmed that the BBC is looking into offloading its magazine operation, which includes titles such as Top Gear.

In addition, the review will impact BBC Worldwide, which will be made to focus on international operations with a target of generating at least two-thirds of its revenue from global markets by 2015.

However, the proposals, which could affect as many as 600 staff, will still be subject to a 12-week public consultation by the BBC Trust.

Sir Michael Lyons, chairman of the BBC Trust, said: “The public pick up the bill for the BBC and it is right that it constantly evolves to meet their expectations.  We welcome the general direction of this report, although we will want to test and consider how it is delivered.

“We are clear it heads towards a more disciplined and sharply focused BBC. That will mean some difficult choices. But we will not shrink from those choices where they are in the interests of licence fee payers.”

Click here to read the ‘BBC’s Strategy Review’.