business‎ > ‎

BBC shrinks as it shares UK's pain

posted 6 Oct 2011, 08:24 by Mpelembe   [ updated 6 Oct 2011, 08:25 ]

The world's biggest broadcaster is to axe 2,000 jobs in response to a 20 percent cut to its annual budget imposed by the government a year ago.

UK-BBC JOBS - The world's biggest broadcaster is about to become "significantly smaller".

The BBC - which is paid for with public money - is to axe 2,000 jobs over the next 5 years.

It's cutting its budget by 20 percent.

It's responding to harsh cuts imposed on them by the government

Mark Thompson is the BBC's Director General.

 Mark Thompson, Director General of BBC, saying

"Of course it's not just the BBC but every public institution in the country and infact the whole British economy is going through quite difficult times and I think in the end it's reasonable that the national broadcaster should be going through the same experience that the rest of the British public are."

The changes will see the BBC share content across its services, show more repeats and sell some of its London properties.

Stewart Purvis, a Media professor, says the government got what they wanted.

Stewart Purvis, Professor of Television Journalism, City University London, saying (English):

"It there are winners out of this announcement today I think in some ways it's the government. I mean they told the BBC we're going to freeze your license fee and in return you get guaranteed revenues for a few years but we don't want you to shut any services and that's what's happened."

The BBC have eight national TV channels, 50 radio stations and an extensive website.

There are no plans to shut any services and Purvis believes they will be few noticeable changes on screen.

Stewart Purvis, Professor of Television Journalism, City University London, saying (English):

"I think there will be followers of Formula One who will notice that not every race will be on BBC. People who watch BBC 2 in the afternoon will notice some difference but by and large I don't think viewers and listeners will notice enormous change in their favourite programs."

Unions condemned the cuts calling it a "watershed moment" in the BBC's history.

The plan will be phased in over the next 5 years and should save the corporation around £670 million pounds a year.

Hayley Platt, Reuters.