Skip to content
CityAM
Main navigation
  • News
    • News
      • Latest Business News
      • Economics
      • Politics
      • Tech
      • Banking
      • FTSE 100 Live
      • Retail
      • Insurance
      • Legal
      • Property
      • Transport
      • Markets
    • From our partners
      • AON
      • Bayes Business School
      • Canada BIDs
      • Central London Alliance CIC
      • Destination City
      • Halkin
      • Olympia
      • Inside Saudi
      • Tottenham Hotspur Stadium
      • Santander X
      • YEAR SIX Dividend
    • Featured

      Ministers open door to phased Heathrow third runway plan

      Heathrow Airport terminal bustling with travelers and staff, showcasing modern architecture and international flight activity

      Submit a story

      Tell us your story.

      Submit
  • Opinion
  • Sport
    • Latest Sports News
      • Sport
      • Sport Business
    • From our partners
      • The Morning Briefing: SBS x CityAM
      • Aramco Team Series
      • LIV Golf
    • Featured

      Concern as gambling black market set for £40m Royal Ascot boost

      GettyImages 2282074836 showing a significant event with key figures in a professional setting, highlighting a major develo...

      Submit a story

      Tell us your story.

      Submit
  • Life&Style
    • Life&Style
      • Life&Style
      • Toast the City Awards
      • The Magazine
      • Travel
      • Culture
      • Motoring
      • Wellness
      • The RED BULLETiN
      • Do it with Shared Ownership
      • Media Speak Hub
    • Featured

      Mexican Michelin stars arrive in the Square Mile at Ned pop-up

      The Ned Los Felix Mexican restaurant interior with vibrant decor and patrons enjoying authentic Mexican cuisine

      Submit a story

      Tell us your story.

      Submit
  • Investec
  • Events
  • Latest Paper
Thursday 28 March 2024 5:00 am  |  Updated:  Wednesday 27 March 2024 4:32 pm

Why the BBC must stay publicly funded

By: Will Cooling

Add as a preferred source on Google
BBC faces £100k libel trial by top Tory donor over Panorama story on Pandora Papers
The savings drive is aimed at cutting hundreds of millions of pounds

The licence fee needs to change, but only taxpayer funding can ensure a distinctively British voice in domestic and global media, says Will Cooling

Ronald Reagan once joked that the scariest words in the (American) English language were “I’m from the government, and I’m here to help”. It increasingly feels like the modern British version is, “I’m from a public service, and I’m here to consult”.

It will soon be the BBC’s turn to combine our national pastimes of whingeing and bureaucracy, with its director general promising that 2025 will see the “biggest-ever consultation exercise” on how the corporation is funded. And yet before a single survey or focus group has been completed, Tim Davie has all but revealed his preferred outcome; a higher licence fee mitigated by free licences for those on extremely low incomes.

There has always been a tension between the understandable envy the BBC’s commercial rivals feel towards the corporation’s guaranteed income and the knowledge that if the BBC was ever unchained from the licence fee it would be free to gobble up the advertising budgets and subscription spending that smaller outlets rely upon.

However, the problem both the BBC and its commercial rivals face is that increasingly it is the computer and phone screen through which people access content. That puts the BBC into direct conflict with newspapers and magazines, thus adding previously sympathetic outlets to its long list of commercial rivals.
But it also creates problems for the BBC’s critics, because it makes the corporation the one British media company that can truly compete with the multinational monoliths that control social media. Whereas once ITV or Sky would be have been the beneficiaries of a BBC cut down to size, now such cuts would just be ceding even more space to YouTube, Netflix and TikTok. Only taxpayer funding ensures a distinctively British voice in domestic and global media.

That taxpayer funding could however be delivered in ways better suited to the modern age. As more and more of the BBC’s content is delivered through mobile and home internet connections, you could transition to funding the BBC through a surcharge on people’s data packages, collected from the internet providers themselves. That would not only save the BBC the hassle of chasing individuals for payment or erecting paywalls around its online content, but would also mean that those who consume more online content, pay more towards the BBC.

That income could also be used in different ways. Since the 1990s, the BBC has been forced to meet quotas for how much of its television content is produced by external partners. This has ensured that a taxpayer hegemony coexists with a thriving eco-system of independent production studios. That model needs to be applied to online content, rather than the BBC crowding out smaller providers. The BBC commissioning outlets to conduct investigations, produce longform essays, and record podcasts on its behalf would not only ensure a diversity of voices continued to be heard, but would also provide for better quality content than online advertising can support, and avoid such content being hidden behind a paywall.

That Russell T Davies, the superstar writer behind Doctor Who, is telling audiences that the BBC’s death is inevitable, should persuade the Corporation that now is not the time for safety-first tactics. Taxpayer funding is the only way Britain can sustain a broadcaster with the depth and breadth of the BBC, but the source of that funding must evolve to reflect changes in how we consume media. And the BBC must recognise that these changes have made it part of a much broader marketplace for online content. It’s once again time for a BBC that’s both bigger, and more cooperative.

Read more

America wants what Britain does best: Creativity

British filmmaking scene with directors and actors collaborating on a movie set, showcasing vibrant UK film industry.

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • Opinion

Categories

  • Opinion

Related Topics

  • BBC

Trending Articles

  • More Big Four blues as Deloitte plans to slash UK audit roles

  • Rathbones to suspend thousands of client account inflows after FCA probe deals £530m blow

  • As it happened: Stocks sink after Fed and Bank of England opt for hawkish hold; Oil price tumbles

  • Rolls-Royce shares surge as SMR unit bags multi-billion pound Swedish nuclear contract

  • Baillie Gifford in line for Anthropic windfall just months after £3.6bn SpaceX bonanza

More from CityAM

  • America wants what Britain does best: Creativity

    Opinion
    British filmmaking scene with directors and actors collaborating on a movie set, showcasing vibrant UK film industry.
  • Outernet CEO: Profiting from art shouldn’t be shameful

    Opinion
    Portrait art display at Outernet London showcasing vibrant contemporary designs in a public urban setting
  • BBC News faces hundreds of job cuts in major downsizing drive

    Media
    BBC faces £100k libel trial by top Tory donor over Panorama story on Pandora Papers
  • Jenrick vows to partly undo Reeves’ £25bn employer NICs rise – for Britons

    Politics
    UK politician Robert Jenrick announces new tax cut policy at a press conference, standing at a podium with a flag backdrop.
  • Bunq: Revolut rival eyeing up UK banking licence bid

    Fintech
    Ali BU21 engaging in business discussion, highlighting strategic insights amidst dynamic corporate environment
  • Brent Hoberman: We need a ‘British dream’ – and more talented immigrants

    Economics
    Brent Hoberman speaking at a business conference, addressing industry trends and innovation strategies.
  • Starmer weighs cut to EU student fees in bid for Brexit reset

    Politics
    Prime Minister Keir Starmer speaks at a press conference addressing future leadership rumours, wearing a navy suit and tie.
  • Richard Desmond hit with £40m bill over ‘fanciful’ lottery feud

    Legal
    Richard Desmond's legal battle against Gambling Commission opened at High Court. Photo by Peter Macdiarmid/Getty Images

CityAM Canada — business, markets and opinion for Canadian readers.

Sections

  • Business
  • Markets
  • Tech
  • AI
  • Economics
  • Opinion
  • Cities

Company

  • About
  • Contact

Legal

  • Terms of Use
  • Privacy Policy
  • Cookie Policy
© 2026 CityAM Canada. All rights reserved.
Terms · Privacy · Cookies