The BBC has announced plans to slash 10 per cent of its operating costs over the coming three years, citing significant financial strain on the public broadcaster.
It came just hours after a trial date was set between the broadcaster and President Donald Trump and his $10billion lawsuit.
Tim Davie, who will step down as director general in April, communicated the savings target to employees on Thursday.
Whilst the corporation declined to specify an exact figure, the reductions are anticipated to total hundreds of millions of pounds.
The fresh round of cuts adds to what has been described as a series of demoralising cost-reduction exercises at the broadcaster, which had already committed to stripping out £700m by 2028 before this latest announcement.
A BBC spokesman explained the rationale behind the decision: “In a rapidly changing media market, we continue to face substantial financial pressures.
“As a result, we expect to make further savings over the next three years of around 10% of our costs.”
“This is about the BBC becoming more productive and prioritising our offer to audiences to ensure we’re providing the best value for money, both now and in the future.”
The BBC is set to make significant budget cuts
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Much of the broadcaster’s financial difficulties stem partly from a steady erosion of licence fee income, with 300,000 households abandoning the fee last year alone.
The announcement arrives at a pivotal moment for the corporation, with its royal charter due for renewal at the end of 2027.
Ministers have launched a public consultation seeking views on the BBC’s future and how it should be funded going forward.
Culture Secretary Lisa Nandy has indicated she is weighing various reform options, including the possibility of funding the broadcaster through advertising or subscription models.
The announcement comes just hours after a trial date was set between the broadcaster and President Donald Trump and his $10billion lawsuit
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However, it came mere hours after a trial date was set for the significant lawsuit launched by President Trump against the BBC.
The President is bringing the lawsuit forward related to editing of a speech that made it appear he directed supporters to storm the US Capitol.
He has accused the broadcaster of defaming him by splicing together parts of a January 6, 2021, speech.
This includes one section where he told supporters to march on the Capitol and another where he said “fight like hell”.
However, the broadcaster omitted a lengthy section in which Mr Trump insisted for the protests to remain peaceful.
In the episode, a clip from Mr Trump’s speech on January 6 2021 was spliced to show him saying: “We’re going to walk down to the Capitol… and I’ll be there with you. And we fight. We fight like hell.”
The BBC previously filed a motion to dismiss, claiming the Florida court lacks “personal jurisdiction” over the corporation, the court venue is “improper” and that Mr Trump has “failed to state a claim”, according to court documents.
The corporation argued that it did not create, produce or broadcast the documentary in Florida.
President Trump has accused the BBC of defaming him by splicing together parts of a January 6, 2021, speech
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BBCCourt documents list the plaintiff as President Donald J Trump, with the British Broadcasting Corporation et al as defendants.
The order, made on February 11, read: “This matter is set for trial during the Court’s two-week trial calendar beginning February 15, 2027.
“Counsel for all parties shall also appear at a calendar call at 1.45pm on February 9, 2027.
“Unless instructed otherwise by subsequent order, the trial and all other proceedings in this case shall be conducted in Courtroom 12-4 at the Wilkie D. Ferguson, Jr. US Courthouse, 400 N. Miami Avenue, Miami, Florida 33128.”