BBC set to explain its digital spend

State broadcaster grows strong as commercial sector flails

By Tony Hallett, 17 July 2002 08:00

NEWS The BBC will have to justify the proportion of the licence fee it is setting aside for digital services - often those competing with content from small private sector companies - when it sits before a House of Commons select committee later today. In the year ending 31 March, the corporation spent £278m on digital services, up 40 per cent annually, and there are those who consider such investment at a time when many start-ups and the private sector are struggling unjustifiable. Today's FT quotes one MP as saying: "This is an astonishingly large figure to spend on channels which are hardly watched at all." Much of BBCi's operations are due to be consolidated in premises close to London's Tottenham Court Road, away from BBC Television Centre in White City and other locations.

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