BBC Prepares to Protect Funding

JULY 3, 2009
BBC Prepares to Protect Funding
Politicians Suggest License Fees Should Be Shared With Struggling Rivals

The British Broadcasting Corp. is preparing an aggressive defense against a plan to redistribute some of its funding to struggling commercial rivals -- the opening salvo in a broader budget struggle over one of the world's wealthiest state broadcasters.

The outline of a law proposed by the ruling Labour Party this week would allocate £125 million ($200 million) of the BBC's £4.4 billion annual budget to rival media outlets to provide television news. While the proposal involves a fairly small portion of the BBC's budget, it could open the door to more sweeping attempts to tap into the BBC's rich ...