BBC News Braces for Major Round of Job Cuts in £500m Cost-Saving Drive
The BBC's Cost-Saving Drive
BBC News is braced for a major round of job cuts to be revealed within days, in an announcement that will kick off a brutal cost-saving drive designed to save £500m across the corporation.
The Expected Job Cuts
The cuts could come as soon as Wednesday, with staff already told to expect a high number of redundancies. Job losses could run into the hundreds.
- The news operation is braced for larger cuts than other departments.
- BBC News employs about a quarter of the corporation's 21,500 employees.
The Financial Impact
The plans for the cuts – the biggest at the broadcaster in 15 years – were already being drawn up before the arrival of the new director general, Matt Brittin. The corporation's leaders are negotiating with ministers over its future funding.
- The BBC has to save an additional £500m from annual operating costs of £5bn over the next two years.
- Job numbers would fall by up to 2,000.
The Industry Impact
The cuts will show a willingness from the BBC's leadership to make tough calls as they negotiate over the future of the corporation with ministers, as part of the talks over its royal charter.
Both sides are examining whether the licence fee would be extended to include anyone who watches private streaming services. Currently, a licence fee is only needed if someone is watching live TV on any platform.
The Future Outlook
However, many insiders argue the streaming revolution has made that definition outdated. Philippa Childs, the head of the Bectu union, said: "News of impending cuts across the BBC brings the importance of a sustainable funding model into sharp focus."