The BBC says its Licence Fee income declined year-on-year after half a million households opted not to pay the annual £169.50 fee.
In its Annual Report, the BBC said at £3,660 million in 2023/24, the Licence Fee remained its largest source of income with the “vast majority” of our audiences committed to paying the charge.
One of the arguments for the decline is that younger audiences are drifting away from the BBC in favour of streamers including Netflix and YouTube, but according to the BBC quoting Barb data audiences spent 5hrs 44m watching BBC TV/iPlayer on average per week – more than all the big SVOD streamers combined.
“Such global providers are not associated with programmes that reflect the lives of people in the UK – for example, 16% of UK adults feel Netflix shows these, and this is the highest-ranking tracked SVOD service on this measure,” says the report. “In comparison, the figure for BBC TV/iPlayer – the highest-ranking tracked provider – is four times higher at 64%. As the largest UK media brand for the young, we want to make sure UK storytelling remains integral to the media diets of the UK public of all ages.”
£323 million of savings have so far been made by the BBC, with £287 million completed in 2023/24. A further £200 million of annual savings are required by 2027/28. A deficit of £492 million is forecast across BBC Group as the BBC continues its “digital transition”.
Despite this £3 billion was invested into public service content, more than any other organisation.
Tim Davie, BBC Director-General, said: “This year’s Annual Report shows how we are transforming at pace to deliver for all audiences in the digital age.
“We remain firmly focussed on prioritising our resources into building a BBC for the future that can deliver crucial benefits for the UK at a critical time – and help support a healthy democracy, a thriving creative economy, and a strong society.”
Mr Davey also addressed the controversy surrounding Saturday night show Strictly Come Dancing, saying the organisation “will never tolerate unacceptable behaviour” and that “the line should never be crossed”.
It follows the departure of two male professional dancers over claims of their treatment of female celebrity contestants.
The Annual Report also lists the salaries of its highest-paid stars – unsurprisingly those topping the list are those who present the most high profile shows. However, among them was newsreader Huw Edwards, despite the fact he was off air for most of the year.
