BBC Announces Major 10% Cost Cuts Amid Financial Pressures
The BBC is implementing significant cuts across the corporation, amounting to approximately 10% of its costs, as it grapples with substantial financial pressures. The broadcaster has conceded that savings must be achieved over the next three years, with anticipated sums rocketing into the hundreds of millions of pounds.
Financial Strain and Savings Targets
While a spokesperson refrained from specifying the exact sum required, the corporation's total public service expenditure last year exceeded £4 billion. These fresh cuts are on top of the £150 million still to be identified by March 2028 under an existing savings scheme. No additional information has been provided regarding which programmes or services will be impacted.
Departing director general Tim Davie, who steps down from the corporation in April, informed employees about the cost-cutting measures on Thursday, February 12. A BBC spokesperson stated: "Over the last three years, we have delivered more than half a billion pounds worth of savings, much of which we've been able to reinvest into our output across the BBC."
They added: "In a rapidly changing media market, we continue to face substantial financial pressures. As a result, we expect to make further savings over the next three years of around 10% of our costs. This is about the BBC becoming more productive and prioritising our offer to audiences to ensure we're providing the best value for money, both now and in the future."
Donald Trump Lawsuit Against the BBC
The revelation emerges as US President Donald Trump secured a court date for his $10 million (£7.5 million) lawsuit against the BBC. The hearing has been scheduled for February 15, 2027, as per legal documents. The Republican leader is suing the British broadcaster for defamation over the way two sections of a speech were edited together during a 2025 episode of Panorama.
Despite the corporation apologising to the 79-year-old politician for the edit, the President is pursuing damages for the edited speech, which his legal team argue was "false and defamatory".
Future Direction and Licence Fee Discussions
The BBC holds discussions with Government about its future direction, alongside that of the licence fee following the recent price increase, ahead of the renewal of its Royal charter at the end of 2027. Ministers recently launched a consultation seeking public views about the broadcaster's future and its funding model.
Currently, the corporation derives most of its revenue from the licence fee, though the number of TV licences purchased has been falling in recent years. The BBC has acknowledged that the licence requires reform, but insists any modifications must "safeguard the BBC as a universal public broadcaster".
