By Kate Hanaghan, 18 July 2002 09:30
NEWS The BBC has been blasted by MPs for its hefty increase in spending on digital television. Last year the BBC's boss, Greg Dyke, sanctioned plans to plough £278m of licence fee money into new digital services and channels. The Beeb allocated £100m of this to its internet operations. The total sum amounts to 13 per cent of the organisation's £2.53bn income from licence fees. But an annual report released yesterday showed that digital channels have so far failed to gain popularity. Only about one in 50 people watch the channels. One Labour MP told today's Financial Times the BBC is in breach of its promise to cap spending at 10 per cent.
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