Select Committee · Public Accounts Committee

BBC Digital

Status: Closed Opened: 28 Nov 2022 Closed: 27 Jun 2023 4 recommendations 26 conclusions 2 reports

The BBC has an ambition of extracting more value from its online presence and sees accelerating digital as essential to its success. To achieve this, the BBC is undertaking a digital transformation. The BBC is also seeking to enhance its digital portfolio, which includes iPlayer, Sounds, News and Sports. This inquiry is based on the …

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Reports

2 reports
Title HC No. Published Items Response
BBC Response to Public Accounts Committee: BBC Digital Fort… 3 Jul 2023 0
Forty-Sixth Report - BBC Digital HC 736 28 Apr 2023 30 Responded

Recommendations & Conclusions

13 items
5 Recommendation Forty-Sixth Report - BBC Digital Not Addressed

Review BBC data collection and storage policies, ensure minimum data collection and safety.

The BBC has developed its approach to data security since 2019 but is not yet doing enough to manage the risks arising from increased access to users’ personal data. The BBC needs to collect and hold some audience data to help it to compete in the digital space, and crucial …

Government response. The government response provided addresses a recommendation to the Department for Business and Trade regarding fraud and error in COVID-19 grant schemes, which is entirely unrelated to the committee's recommendation concerning the BBC's data collection and storage policies.
HM Treasury
1 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

Committee receives evidence regarding BBC's digital transformation plans.

On the basis of a report by the Comptroller and Auditor General, we took evidence from the BBC about its plans for digital transformation.1

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about the committee taking evidence.
HM Treasury
6 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC shows limited strategic planning for wholesale move from traditional broadcasting.

In December 2022, the BBC’s Director-General followed up on the May announcement, describing the BBC’s vision for where it should aim to be by the 2030s and setting out plans to move to an internet future with greater urgency.6 He stated that the BBC would be active in future in …

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about the BBC's planning for switching off traditional broadcasting.
HM Treasury
8 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

Reversal of BBC Three's digital-only move highlights risks of premature switchover.

BBC Three was taken off air as a traditional linear broadcast channel and was made an internet-only channel in 2016. Six years later that decision was reversed on the grounds of it having reduced the BBC’s impact with younger audiences, particularly those who still watched broadcast TV.11 We raised this, …

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about BBC Three.
HM Treasury
15 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC announced £500 million digital-first investment plan funded through savings and commercial income.

In May 2022, the BBC announced a £500 million investment plan, in support of its digital-first ambitions. The BBC plans for this to come from £200 million a year in spending reductions as well as £300 million a year from redistributing money within the organisation and increased commercial income.24

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about the BBC's £500 million investment plan.
HM Treasury
16 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC acknowledges £500 million digital investment plan might be insufficient, requiring difficult decisions.

We asked whether the BBC considered £500 million would be enough for its investment plan. The BBC said that pressure on the £500 million had increased and it would have to “box very clever”.25 It said it had already taken some tough decisions, it would have to focus, and stop …

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about the sufficiency of the BBC's investment plan.
HM Treasury
17 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC needs more capital for technology investment but rules out subscription services for funding.

On financial plans, the BBC also said it thought it would have to find ways of attracting more capital into its technology investment.28 But it made clear that there is no plan in the UK to add subscription services, as people have already paid the licence fee.29

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about the BBC's financial plans and subscription services.
HM Treasury
18 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC's digital investment plan lacks sufficient detail on savings and financial contingencies.

We raised a concern about the lack of sufficient detail to support the BBC’s digital investment plan, for example around how savings will be achieved, what happens if savings targets are not met, or whether additional borrowing would be required.30 The BBC said it was helpful to have had those …

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about the detail of the BBC's digital investment plan.
HM Treasury
19 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC faces a shortage of specialist digital staff due to lower comparative pay levels.

Although the BBC has managed to successfully recruit and retain a number of highly skilled individuals to lead its digital teams, overall it has a shortage of specialist digital staff. In common with other organisations, the BBC has experienced technology staffing shortages and high turnover of staff. This is partly …

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about the BBC's shortage of specialist digital staff.
HM Treasury
20 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

High staff turnover in BBC's digital product group is hindering technical development.

The product group in the BBC—responsible for developing and delivering the BBC’s audience-facing digital products—accounts for 5.7% of the total BBC public service pay bill.35 In its product group the BBC had 23% staff turnover as of June 2022. This high number of vacancies has slowed technical development. The number …

Government response. The government states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing this specific conclusion about staff turnover in the BBC's product group.
HM Treasury
26 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC aims to develop unique recommendation algorithms reflecting its public service values.

The BBC also told us that it needed to build something different to a commercial algorithm, saying that there are many commercial models that lead you to where you do not want to be. Whereas, the BBC also has its public service values, and wants to educate and entertain. “We …

Government response. The government's response states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing the substance of the committee's conclusion.
HM Treasury
27 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC's increased use of personal data for personalisation poses reputational risks.

To build a more personalised experience for its users, the BBC will need to increase its use of their personal data. The BBC plans to use these data to support commissioning decisions and to make tailored content recommendations, and needs to meet best practice and transparency in data-handling. There is …

Government response. The government's response states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing the substance of the committee's conclusion.
HM Treasury
28 Conclusion Forty-Sixth Report - BBC Digital Not Addressed

BBC affirms no plans to commercialise or sell user data, despite future increased collection.

The BBC told us it had no plans to commercialise the data it holds on viewers, assuring us categorically that it had no plans to use or sell UK subscriber data to any other party for commercial purposes. It said that it collected the least amount of personal data that …

Government response. The government's response states that the BBC will write directly to the Committee regarding the recommendations in the report, without addressing the substance of the committee's conclusion.
HM Treasury

Oral evidence sessions

1 session
Date Witnesses
12 Jan 2023 Leigh Tavaziva · BBC, Storm Fagan · BBC, Tim Davie CBE · BBC View ↗

Correspondence

2 letters
DateDirectionTitle
30 Jan 2023 Correspondence from Tim Davie, Director-General, BBC, re BBC Digital Update, da…
23 Jan 2023 Correspondence from Leigh Tavaziva, Group Chief Operating Officer, BBC, re BBC …