Source · Select Committees · Public Accounts Committee
Recommendation 2
2
Accepted
Compare current and forecast Across the UK delivery against original plans, refreshing analysis ongoing.
Conclusion
The BBC has not assessed how the changes it has made to the scope of Across the UK will affect the overall shape of the programme and the benefits it is intended to deliver. Since the BBC’s announcement in March 2021, it has changed the composition of projects that make up the Across the UK programme. For example, it has removed from the scope of the programme its original plan to build a network of 100 digital community reporters, as well as the planned relocation of the BBC Concert Orchestra outside London. The BBC will need to find other ways to move its audio spend in order to compensate for these decisions and hit its target to spend 50% of its audio expenditure outside London. But the BBC did not understand well enough the risks and impacts of these changes in scope and so the nature of the expenditure it moves outside London by the end of the programme could look quite different from what it planned at the outset. Changes the BBC is making to services locally could also disadvantage certain groups. In particular, and although no longer part of Across the UK, we are concerned that the BBC’s reallocation of budgets from local radio to local online services and more sharing of weekday programmes will, in effect, reduce services for people who are older or less able to access digital online platforms. Recommendation 2: Where the BBC has made changes to Across the UK by bringing activities in and out of scope, it should compare current delivery and future forecast delivery against its original plan so that it can spell out any differences in the overall benefits to be delivered. It should refresh this analysis on an ongoing basis.
Government Response Summary
The BBC agrees, stating that ATUK programme benefits are updated monthly as part of programme reporting, with significant changes managed through a control process and all forecasts and actuals compared to a programme baseline.
Government Response
Accepted
HM Government
Accepted
The BBC agrees with the Committee’s recommendation. Recommendation implemented (subject to NAO approval) The BBC will continue to review any material changes to the programme to ensure these do not impact delivery of our strategic objectives. Changes are taken through the Programme Board, Programme Steering Committee and group-level Operations Committee, with additional oversight of the programme also provided via the Audit and Risk Committee. The former Committee note the BBC had made changes to the programme following its original public announcement in March 2021. This is correct, but the ATUK programme business plan and baseline – including programme benefits – was only set once the decision had been made to remove Local and Nation’s journalism commitments from the programme scope and deliver them as part of a separate programme of work. This was agreed and set in October 2021. Since this time, BBC Local and Nations initiatives have been delivered by BBC Nations. Since the programme baseline was set in October 2021, the nature and extent of overall programme expenditure moved outside of London has only changed subtly. The most material was the decision not to relocate the BBC Concert Orchestra outside London, which had a £23 million impact on the forecast financial benefit of the programme. This gap has now been closed as a result of additional activity included in the Radio & Music business case approved in May 2024. The BBC Concert Orchestra has also agreed a partnership with Nottingham and the East Midlands to ensure that much of the audience-facing benefit of the original proposal is still delivered. ATUK programme benefits are updated on a monthly basis as part of programme reporting, with significant changes managed through a change control process. The BBC has already achieved its 60% of network production spend outside London and the M25 ahead of plan, creating a cumulative financial upside that more than covers any other scope changes and reductions to date. All forecasts and actuals are compared to a programme baseline as part of this process. The BBC has submitted evidence to the NAO to confirm that it has acted on the NAO’s recommendations and await the NAO’s response on this. All previous evidence to demonstrate action against NAO recommendations has been approved.