Charter Review: MPs launch inquiry on future purpose, governance and funding of BBC

The Culture, Media and Sport Committee is inviting written submissions on the future of the BBC as part of a new inquiry into the Charter Review. 

The review of the BBC Royal Charter, which sets out how the broadcaster is governed, regulated and funded, takes place about every ten years. The current process started with the launch of the Government's consultation in December.

To help shape the next Charter, which is due to come into effect at the start of 2028, the Committee is now launching an inquiry on the future purpose, governance and funding of the corporation ahead of making its recommendations to the Government.

Chair of the CMS Committee, Dame Caroline Dinenage MP, said:

“The Charter Review presents a real chance to secure the long-term health of the BBC, which is in a parlous state after a series of high-profile slip-ups over a turbulent last 12 months.

With a constantly changing media landscape and shifts in audience habits, it is refreshing that the BBC has recognised that the current funding model is unsustainable and that sticking with the status quo will lead to managed decline.

Our inquiry will be looking at the issue of funding, as well as the overall purpose, role and governance of the corporation, to ensure it remains a trusted cornerstone of our culture and society long into the future.”

The Government's consultation on the Charter closed on Tuesday, with the BBC publishing its submission last week.

Terms of reference

The Committee is inviting submissions on all aspects of the Charter Review including:

Purpose

• The purpose of the BBC given developments in technology and choice, and the fragmentation of audiences
• What will the BBC's core activities look like in ten years' time, and what will that mean for the size and scope of the BBC
• How should this be reflected in the BBC public purposes

Funding

• Whether the funding options set out in the Green Paper are ambitious enough for the challenges that the BBC is facing now, and is likely to face in the future
• Arguments in favour of the licence fee being kept as the best way to fund the BBC
• Ideas for reforming the licence fee to provide a more sustainable income, address evasion and avoidance, and how the level of the licence fee is set
• Arguments in favour of funding the BBC using a different model, including those not being considered in the Government consultation paper, and lessons from other countries which have moved from a licence fee to an alternative form of funding for their public service broadcaster
• Optimising the BBC's commercial activities (a) in the UK, and (b) globally
• Optimising the iPlayer, BBC Archive and creating Intellectual Property
• The potential for further efficiency savings and reinvestment
• Funding of the BBC World Service

Trust and relevance

• How the BBC can be made more valued and trusted by audiences across the UK, in particular by those who do not see value in the licence fee
• Improving the BBC's engagement and consultation processes with audiences, in particular where there is less engagement with the BBC
• Attracting young audiences

Across the UK

• The balance of its activities, including decision making, throughout the UK
• The provision of services in minority languages
• Creating a workforce that is representative of the UK

Future of Public Service Media

• Areas of media policy and regulation that should be considered in parallel to BBC Charter Review, including:
• • The relationships between the BBC and (a) wider UK Public Service Media, and (b) international media, such as the streamers and video sharing platforms
  • The priorities in the Government's Creative Industries Sector Plan and Ofcom's Transmission Critical report
  • The transition from traditional TV distribution (DTT) to TV via the internet (IPTV)
  • The challenges and opportunities of Artificial Intelligence

An independent and accountable BBC

• The balance between using Charter Review to increase the BBC's independence and at the same time obligating the BBC to do more and specific activities
• The effectiveness of the current Governance arrangements for the BBC including the processes for appointments to the Board
• The difference a permanent Charter would make to the average licence fee payer
• If the Charter is made permanent, what part of the arrangement between the Government and the BBC should still be subject to periodic review
• The effectiveness of mechanisms for holding the BBC to account, including by the public, Parliament, Ofcom, and the devolved administrations

Trusted news and the BBC

• Providing accurate and impartial news and current affairs, with high editorial standards
• The BBC's role countering misinformation and disinformation
• Supporting local news reporting

The deadline for submissions is Friday 17 April.