BBC World Service Cuts International Output

BBC World Service has released details of its response to a cut to its Grant-in-Aid funding from the UK's Foreign & Commonwealth Office - with fewer language services as a result.

BBC World Service is to carry out a fundamental restructure in order to meet the 16% savings target required by the Government's Spending Review of 20 October last year.

To ensure the target is achieved and other unavoidable cost increases are met BBC World Service is announcing cash savings of 20% over the next three years.

This amounts to an annual saving of £46m by April 2014, when Grant-in-Aid funding comes to an end as BBC World Service transfers to television licence fee funding, agreed as part of the domestic BBC's licence fee settlement announced on the same day.

In the first year, starting in April 2011, the international broadcaster will be making savings of £19m on this year's operating expenditure of £236.7m (2010/11).

The changes include five full language service closures and the end of radio programmes in seven languages, focusing those services on online and new media content and distribution and a phased reduction from most short wave and medium wave distribution of remaining radio services.

BBC Global News Director Peter Horrocks said: "This is a painful day for BBC World Service and the 180 million people around the world who rely on the BBC's global news services every week.

"We are making cuts in services that we would rather not be making. But the scale of the cut in BBC World Service's Grant-in-Aid funding is such that we couldn't cope with this by efficiencies alone.

"What won't change is the BBC's aim to continue to be the world's best known and most trusted provider of high quality impartial and editorially independent international news. We will continue to bring the BBC's expertise, perspectives and content to the largest worldwide audience, which will reflect well on Britain and its people," he said.

BBC World Service also plans spending reductions and efficiencies across the board, targeted in particular in support areas where there will be average cuts of 33%.

BBC World Service also expects to generate additional savings from the new ways of working after the move to the BBC's London headquarters at Broadcasting House in 2012, and also by the transfer of BBC World Service to television licence fee funding in April 2014.

Under these proposals 480 posts are expected to close over the next year.

By the time the BBC World Service moves in to the licence fee in 2014/15 we anticipate the number of proposed closures to reach 650.

Some of these closures may be offset by new posts being created during this period.

It is expected that audiences will fall by more than 30 million from the current weekly audience of 180 million as a result of the changes this year.

The changes have been approved by the BBC Trust, the BBC Executive and, in relation to closure of services, The Secretary of State for Foreign and Commonwealth Affairs, William Hague, as he is required to do under the terms of the BBC's agreement with the Foreign and Commonwealth Office.

(BMcC/GK)