BBC Trust

The Trust is seeking industry views on a set of principles for the future of the supply of BBC content across TV, radio and online. 

 A review and public consultation (Welsh version also available) has been launched by the Trust looking at the way that BBC programmes and content are supplied to the BBC by either independent production companies or BBC in-house production.

 This follows significant structural changes and consolidation in the independent production sector in recent years, and proposals set out by the BBC’s Director General Tony Hall in July 2014 to open up the content supply system to more competition.

The Trust has today set out six draft principles under which BBC content supply would operate in future, aiming to deliver the best results for licence fee payers and for the creative sector:

• Securing high-quality and creative content across all genres;
• Providing value for money to licence fee payers;
• Using a wide range and diversity of supply across all genres and from across the UK
• Securing a sustainable production supply, in terms of capacity and skills
• Retaining sufficient commercial value and control of content rights, to secure a return on investment for licence fee payers and ensure that both the BBC and the creators of content receive a fair share of the commercial value of content
• Maintaining appropriate separation between publicly funded BBC activity and its commercial services.

A public consultation is now seeking views from the industry and those interested in the supply of content to the BBC, on whether these are the right principles; how far the current arrangements deliver on them and whether this is likely to change; how the principles can best be fulfilled over the next ten years; and whether any programme genres or types of content justify a different approach.

BBC Trustee Suzanna Taverne said:

"What matters to audiences is that the best ideas and highest quality programmes get on air, regardless of who makes them.  It’s the right time to now take a broader look at what the best approach to content supply should be in future, taking account of all the changes we’ve seen in the production sector, so that the BBC can continue to deliver the very best for audiences and bring the next generation of Sherlocks, Strictlys and outstanding radio and online content."

The Trust is not specifically consulting on the Director-General’s proposals for content supply as the BBC is still developing the detail, although any initial views on what has been proposed so far are welcomed. Any proposed changes to the way in-house production operates by putting all or part of its activities on a commercial footing, would be subject to approval by the Trust.  When the Trust receives the BBC’s detailed proposals we will assess them against the six content supply principles and apply any other regulatory tests that may be appropriate.  

Notes to Editors

1. Currently 25 per cent of BBC TV production is guaranteed to independent producers, under the 2003 Communications Act; 50 per cent is guaranteed to BBC in-house producers, under the BBC Agreement that sits alongside the Charter; and 25 per cent is available to both in open competition, known as the ‘Window of Creative Competition’, also under the BBC Agreement.  For radio, the Trust requires the BBC to commission at least 10 per cent from independent suppliers, with a further 10 per cent open to competition between the BBC and independent sector.  For online, the Trust requires the BBC to commission 25 per cent of online content from independent suppliers.  Under the BBC Agreement the Trust also expects the BBC to ensure that 50 per cent of network TV production spend is outside London by 2016.

2. The Trust is required to review the operation of the Window of Creative Competition arrangements every two years; the last review was published in March 2013. For radio and online the Trust undertakes occasional reviews.  The last review of radio supply was in 2010 and the last review of online supply was in 2011. This year the Trust decided to broaden the scope of its scheduled review of the arrangements for television to conduct a fuller review of TV, radio and online production.