±«Óãtv

±«Óãtv World Service gave details of its response to a cut to its Grant-in-Aid funding from the UK's Foreign & Commonwealth Office today.

±«Óãtv World Service is to carry out a fundamental restructure in order to meet the 16 per cent savings target required by the Government's Spending Review of 20 October last year.

To ensure the 16 per cent target is achieved and other unavoidable cost increases are met ±«Óãtv World Service is announcing cash savings of 20 per cent over the next three years. This amounts to an annual saving of £46m by April 2014, when Grant-in-Aid funding comes to an end as ±«Óãtv World Service transfers to television licence fee funding, agreed as part of the domestic ±«Óãtv's licence fee settlement announced on the same day.

In the first year, starting in April 2011, the international broadcaster will be making savings of £19m on this year's operating expenditure of £236.7m (2010/11).

The changes include:

• five full language service closures;
• the end of radio programmes in seven languages, focusing those services on online and new media content and distribution; and
• a phased reduction from most short wave and medium wave distribution of remaining radio services.

±«Óãtv Global News Director Peter Horrocks said: "This is a painful day for ±«Óãtv World Service and the 180 million people around the world who rely on the ±«Óãtv's global news services every week. We are making cuts in services that we would rather not be making. But the scale of the cut in ±«Óãtv World Service's Grant-in-Aid funding is such that we couldn't cope with this by efficiencies alone.

"What won't change is the ±«Óãtv's aim to continue to be the world's best known and most trusted provider of high quality impartial and editorially independent international news. We will continue to bring the ±«Óãtv's expertise, perspectives and content to the largest worldwide audience, which will reflect well on Britain and its people."

±«Óãtv World Service also plans spending reductions and efficiencies across the board, targeted in particular in support areas where there will be average cuts of 33 per cent.

±«Óãtv World Service also expects to generate additional savings from the new ways of working after the move to the ±«Óãtv's London headquarters at Broadcasting House in 2012, and also by the transfer of ±«Óãtv World Service to television licence fee funding in April 2014.

Under these proposals 480 posts are expected to close over the next year.

By the time the ±«Óãtv World Service moves in to the licence fee in 2014/15 we anticipate the number of proposed closures to reach 650. Some of these closures may be offset by new posts being created during this period.

It is expected that audiences will fall by more than 30 million from the current weekly audience of 180 million as a result of the changes this year.

The changes have been approved by the ±«Óãtv Trust, the ±«Óãtv Executive and, in relation to closure of services, The Secretary of State for Foreign and Commonwealth Affairs, William Hague, as he is required to do under the terms of the ±«Óãtv's agreement with the Foreign and Commonwealth Office.

The changes in detail are:

Full language service closures
There will be the complete closure of five language services – Albanian, Macedonian, Portuguese for Africa and Serbian languages; as well as the English for the Caribbean regional service.

End of radio programming
±«Óãtv World Service will cease all radio programming – focusing instead, as appropriate, on online, mobile and television content and distribution – in the following languages: Azeri, Mandarin Chinese (note that Cantonese radio programming continues), Russian (save for some programmes which will be distributed online only), Spanish for Cuba, Turkish, Vietnamese, and Ukrainian.

Reductions in short wave and medium wave radio distribution
There will be a phased reduction in medium wave and short wave throughout the period.

English language short wave and medium wave broadcasts to Russia and the Former Soviet Union are planned to end in March 2011. The 648 medium wave service covering Western Europe and south-east England will end in March 2011. Listeners in the UK can continue to listen on DAB, digital television and online. Those in Europe can continue to listen online or direct to home free-to-air satellite via Hotbird and UK Astra. By March 2014, short wave broadcasts of the English service could be reduced to two hours per day in Africa and Asia.

±«Óãtv World Service will cease all short wave distribution of its radio content in March 2011 in: Hindi, Indonesian, Kyrgyz, Nepali, Swahili and the Great Lakes service (for Rwanda and Burundi).

These radio services will continue to be available for audiences by other means of distribution such as FM radio (direct broadcasts and via partners); online; mobiles and other new media devices.

Short wave broadcasts in remaining languages other than English are expected to end by March 2014 with the exception of a small number of "lifeline" services such as Burmese and Somali.

English language programmes
There will be a new schedule for World Service English language programming – a focus on four daily news titles (±«Óãtv Newshour, ±«Óãtv World Today, ±«Óãtv World Briefing, and ±«Óãtv World Have Your Say); and a new morning programme for Africa. There will be a new daily edition of From Our Own Correspondent; and an expansion of the interactive World Have Your Say programme.

There will be a reduction from seven to five daily pre-recorded "non-news" programmes on the English service. This includes the loss of one of the four weekly documentary strands. Some programmes will be shortened. Titles such as Politics UK, Europe Today, World Of Music, Something Understood, Letter From…, and Crossing Continents will all close. There will also be the loss of some correspondent posts.

Audience reduction
Audiences will fall by more than 30 million as a result of the changes announced on 26 January 2011. Investments in new services are planned in order to offset further net audience losses resulting from additional savings in the 2012-14 period.

Professional Services
There will be a substantial reduction in an already tight overhead budget. Teams in Finance, HR, Business Development, Strategy, Marketing and other administrative operations will face cuts averaging 33 per cent.

Job losses
Under these proposals 480 posts would be declared redundant; of these 26 posts are currently unfilled vacancies. ±«Óãtv World Service is proposing to open 21 new posts. Therefore the net impact of these proposed changes could result in up to 433 posts being closed before the end of the 2011/12 financial year against a total staff number of 2400.

By the time the ±«Óãtv World Service moves in to the licence fee in 2014/15 we anticipate the number of proposed closures to reach up to 650. Some of these closures may be offset by new posts being created during this period.

Notes to Editors

±«Óãtv World Service is currently an international multimedia broadcaster delivering 32 language and regional services, including: Albanian, Arabic, Azeri, Bengali, Burmese, Cantonese, English, English for Africa, English for the Caribbean, French for Africa, Hausa, Hindi, Indonesian, Kinyarwanda/Kirundi, Kyrgyz, Macedonian, Mandarin, Nepali, Pashto, Persian, Portuguese for Africa, Portuguese for Brazil, Russian, Serbian, Sinhala, Somali, Spanish for Latin America, Swahili, Tamil, Turkish, Ukrainian, Urdu, Uzbek, and Vietnamese.

It uses multiple platforms to reach its weekly audience of 180 million globally, including shortwave, AM, FM, digital satellite and cable channels. Its news sites, which received 7.5 million weekly visitors in November 2010, include audio and video content and offer opportunities to join the global debate. It has around 2,000 partner radio stations which take ±«Óãtv content, and numerous partnerships supplying content to mobile phones and other wireless handheld devices. For more information, visit bbcworldservice.com. For a weekly alert about ±«Óãtv World Service programmes, sign up for the ±«Óãtv World Agenda e-guide at bbcworldservice.com/eguide.

±«Óãtv World Service is part of ±«Óãtv Global News. ±«Óãtv Global News brings together ±«Óãtv World Service – funded by Grant-in-Aid by the UK Government; the commercially funded ±«Óãtv World News television channel and the ±«Óãtv's international facing online news services in English; ±«Óãtv Monitoring – which is funded by stakeholders led by the Cabinet Office, and a range of public and private clients; and ±«Óãtv World Service Trust – the ±«Óãtv's international development charity which uses donor funding. No licence fee funds are currently used in any of these operations.

±«Óãtv World Service Press Office