Sir Michael Lyons
Media playback is unsupported on your device

Sir Michael Lyons on BBC's 'hard settlement' on fee freeze

The TV licence fee, which funds the BBC, is to be frozen for six years at £145.50, the chancellor has confirmed.

The BBC will also take over the cost of the Foreign Office-funded World Service, BBC Monitoring and some of the costs of Welsh language TV channel S4C.

All the changes mean a 16% real terms cut in BBC funds over six years.

The chair of the BBC Trust, Sir Michael Lyons, says the outcome is a "hard settlement" but "a fair arrangement".

"I don't think the BBC could ask to be completely insulated from the challenges that are faced by the whole national economy," he added.

  • 20 Oct 2010