The BBC has announced plans to cut up to 2,000 jobs, representing about 10% of its 21,500-strong workforce, in the biggest reduction in 15 years. The move comes as the corporation faces significant financial pressures and ahead of Matt Brittin, a former Google executive, taking over as director general next month.
Staff were informed of the cuts at an all-staff meeting on Wednesday, led by interim director general Rhodri Talfan Davies. In an email to employees, Talfan Davies said the gap between costs and income was growing, driven by high production inflation, pressure on licence fee and commercial income, and a turbulent global economy. He stated that the BBC needs to save an additional £500m from its £5bn annual operating costs over the next two years, with the bulk of savings required in 2027-28.
The job losses are part of a £600m cost-cutting plan announced in February by outgoing director general Tim Davie, who left the BBC on 2 April. Davie had said the BBC would need to cut 10% of its approximately £6bn annual cost base over three years. The corporation is also negotiating with the government over the renewal of its royal charter, which expires at the end of next year, including the licence fee funding mechanism.
Talfan Davies said the BBC would introduce tighter controls on recruitment, travel, management consultancies, and spending on conferences and events. Divisions are also looking at reducing duplication and stopping some activities. Spending plans for each division for 2027-28 will be shared with staff in September.
Philippa Childs, head of the union Bectu, said cuts of this magnitude would be devastating for the workforce and the BBC as a whole, warning they would damage its ability to deliver on its public mission. She called on the government to ensure charter renewal puts the BBC's funding on a more secure, long-term pathway.
The licence fee increased to £180 annually on 1 April, with the BBC making £3.8bn from 23.8 million households last year. However, the number of licence fee paying households fell by 300,000 year-on-year, amid rising evasion and competition from streaming services such as Netflix and Disney.
