BBC To Slash A Thousand Jobs

The BBC is to cut 1,000 jobs because of a budget gap in its licence fee income.

An unexpected increase in the number of households saying they do not watch live TV so do not pay for a licence has been blamed for the shortfall.

Many cuts are to come from professional and support areas, while management structures will be streamlined.

BBC director general Tony Hall says this will save around $78M a year so more cuts will come.

Hall said the BBC was facing "difficult choices" because of the tough financial climate.

He said more than one million fewer people had a television set than was predicted in 2011, when another round of efficiency savings were implemented, so extra savings had to be found.

In announcing more than 1,000 jobs cuts, Hall said he recognized "this is a tough message".

The BBC reports the four key areas for making the savings are:

• Merging divisions, bringing together teams in BBC and BBC Worldwide
• Cutting out management layers, reducing management levels from 10 to seven
• Reducing management roles, bringing down the number of senior positions
• Simplifying procedures in professional areas including legal, marketing and finance

The BBC licence fee has been frozen for seven years.