Recommendations & Conclusions
9 items
11
Conclusion
56th Report - BBC Accounts and Trust St…
Acknowledged
In 2024–25, the BBC spent £166 million on collection of the licence fee, (equivalent to 4.3% of licence fee income), up from £143 million (4.0%) in 2023–24. It issued 60.2% of licences electronically, and around 40% paper licences.19 The BBC told us that postal costs were a significant component of …
Government response. The BBC will consider the regulatory aspects and practicalities of making an e-licence the default position and will give an update on this in the Licence Fee Trust Statement for 2025/26.
HM Treasury
15
Conclusion
56th Report - BBC Accounts and Trust St…
The BBC faced sustained financial pressures due to real-terms reductions in licence fee income, which rose only modestly to £3.8 billion in 2024–25, compared to £3.7 billion in 2023–24. The rise was due to an increase in the cost of a licence following two years of frozen pricing, despite rising …
HM Treasury
25
Conclusion
56th Report - BBC Accounts and Trust St…
Acknowledged
The BBC told us that it operated in an environment of “phenomenal competition” from global streaming platforms and social media, which had transformed audience behaviour.55 The BBC noted that younger audiences were increasingly fragmented in their media habits, with almost infinite choice, making it harder for the BBC to sustain …
Government response. The BBC is committed to delivering outstanding value to all audiences as a universal public service, and to serving younger digital-first audiences and making services available to unconnected audiences.
HM Treasury
26
Recommendation
56th Report - BBC Accounts and Trust St…
Acknowledged
The inability to maintain “universal, easy-to-access distribution” is one of the BBC’s principal risks.59 When we asked about how the BBC is preparing for the transition to online, the BBC told us that any move towards it must ensure “no one is left behind,” emphasising that the BBC had no …
Government response. The BBC is committed to delivering outstanding value to all audiences as a universal public service, and to serving younger digital-first audiences and making services available to unconnected audiences. The BBC’s digital-first strategy aims to serve all audiences, while keeping …
HM Treasury
27
Recommendation
56th Report - BBC Accounts and Trust St…
Acknowledged
The BBC cautioned that without universal provision of affordable broadband, a switchover would be “a self-inflicted wound” and reiterated the BBC’s commitment to maintaining significant broadcast services during the transition.62 It noted that, during the analogue switch off, it introduced solutions such as Freesat to address gaps in terrestrial coverage, …
Government response. The BBC is committed to delivering outstanding value to all audiences as a universal public service, and to serving younger digital-first audiences and making services available to unconnected audiences. The BBC’s digital-first strategy aims to serve all audiences, while keeping …
HM Treasury
28
Conclusion
56th Report - BBC Accounts and Trust St…
Acknowledged
We heard that the BBC is widely trusted, with the Chair highlighting the World Service as a clear illustration of the BBC’s global reach and reputation.65 At the same time, the BBC is also focused on strengthening its connection with audiences at home; it described its Across the UK programme …
Government response. The BBC agrees to communicate how its Across the UK programmes and other initiatives will lead to better representation of the UK’s local communities as part of its Annual Report and Accounts.
HM Treasury
30
Conclusion
56th Report - BBC Accounts and Trust St…
Acknowledged
We asked the BBC how the Across the UK programme and other initiatives would lead to better representation and connection for communities, beyond relocating staff and spend. The BBC told us it would measure change through audience perception within regions and regional economic impacts, citing as examples partnership agreements and …
Government response. The BBC agrees to communicate how its Across the UK programmes and other initiatives will lead to better representation of the UK’s local communities as part of its Annual Report and Accounts.
HM Treasury
31
Conclusion
56th Report - BBC Accounts and Trust St…
Acknowledged
The BBC highlighted its ongoing audience research and engagement, aiming to avoid institutions feeling “distant” from the people.75 The BBC also told us about persistent differences in engagement and the extent to which people across geographies and socio-economic backgrounds feel represented in 68 Q 73 69 Q 72; Committee of …
Government response. The BBC agrees to communicate how its Across the UK programmes and other initiatives will lead to better representation of the UK’s local communities as part of its Annual Report and Accounts.
HM Treasury
32
Conclusion
56th Report - BBC Accounts and Trust St…
Acknowledged
We asked whether choices labelled “local” are genuinely relevant to smaller communities, particularly in radio and local news. We underlined that local radio remains a “lifeline” for older audiences, and emphasised that, for example, “in Sheffield, local means Sheffield” rather than pooled content from larger hubs.77 The BBC agreed it …
Government response. BBC will share information on an annual basis as part of the BBC Annual Report and Accounts which identifies the level of investment in its content from the Nations and Regions of the UK as well as audience data; target …
HM Treasury