BBC3 and BBC4 provide 'poor value for money'

In a stinging review of the BBC's new digital channels, BBC3 and BBC4 have been found to be "providing poor value for money" to the licence fee payer, as well as doing little to connect the BBC with viewers or drive digital take-up.

According to a major independent review of BBC3, BBC4, CBeebies and CBBC, led by Patrick Barwise, Professor of Management and Marketing at London Business School, BBC3 and BBC4 should be reclassified as mainstream mixed-genre channels, as opposed to "audience-targeted" (BBC3) and "special interest" (BBC4).

The root cause of BBC3's low viewing figures was the corporation's obsession with the 25-34 age group – which was described as a "creative straitjacket from which BBC3 should be released".

The report - which will play a part in the BBC's charter review in 2006 - also called for BBC3 to dispense with its 7pm news programme as it "achieves nothing and attracts tiny audiences".

By redeploying resources towards other factual programming, such as current affairs, science and business, the channel could "start the evening with strong programming rather than trying to compete with Channel 4 News and Five News".

BBC4 should also produce wider-interest programming and be more selective about showing arts and other programmes "which virtually no-one watches", the study found.

The review concluded that there should be no further channel launches or major repositionings, and the BBC should rebalance its portfolio of channels to ensure that all are part of regular viewing patterns.

Patrick Barwise said: "What people want from the BBC is more good programmes with broad appeal, that cover a range of genres. I recommend the BBC to stop thinking of BBC3 and BBC4 as niche channels and start treating them as mainstream channels, like BBC1 and BBC2 but smaller and more innovative."

However, the report deemed both CBeebies and CBBC as successes - although this was somewhat qualified by criticisms of the tone and branding of the CBBC.

CBeebies was "a triumph and an exemplary PSB service for preschool children", and CBBC was a "distinctive service with high quality UK-produced content free from advertisements, covering a wide range of genres and with a high proportion of original production", the report found.

Jana Bennett, Director of Television and responsible for BBC3 and BBC4, said: "We will carefully consider the substance of the review, together with the interesting recommendations and criticisms he has made, before the Governors formally respond in November."

Alan Yentob, Creative Director and responsible for CBeebies and CBBC, said: "I welcome the review's support of both CBeebies and the CBBC Channel as distinctive public service channels, with a range of high quality UK-produced programmes."

Culture Secretary Tessa Jowell said that Mr Barwise's "considered report" had raised "important issues" about how the BBC can develop its digital product, while staying true to its public service aims and maintaining an awareness of their impact on an increasingly competitive market.

Ms Jowell also today published a report into the market impact of the BBC's digital services, following a review carried out by Ofcom. The report concluded that the BBC's new services have contributed to digital take-up – although the scale of the contribution may have been over-stated in the analysis presented by the BBC, she said.

The BBC Governors will make a full response to the Barwise recommendations in November.

(gmcg/mb)