Recommendation 19

The BBC told us that its ability to effectively carry out long-term budgeting and strategy planning is hampered by the FCDO’s funding approach. For example, the BBC noted that, at the time of our evidence session on 8 January, it did not yet have its funding settlement from the FCDO for the new financial year starting in April.37 The BBC explained that although it was able to manage the risk associated with uncertain funding 35 C&AG’s Report, paras 1.10-1.11, 2.4, Figure 4 36 C&AG’s Report, para 1.13, Figure 6 37 Q 5 13 levels through planning for different scenarios, shorter lead times lead to a lower quality of decision making.38 However, the BBC was optimistic that its next settlement from the FCDO would be for a longer-term settlement.39