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May 14, 2008

BBC could still save more cash

by David Allen

The BBC has a spending budget of around £500 million over a three year period. But this has been thought of as being far too high and so cuts of £75 million were put in place.

The BBC are virtually on target for these cuts. But instead of congratulating them, they have been told to make more cuts.

This has come from House of Commons Public Accounts Committee, who say that the BBC are a public body that receives huge amounts of public funding, and can choose what types of spending are going to be looked over by the National Audit Office.

This would mean that if there was an over spend it could go unnoticed.

As far as the spending goes, it has been recommended that staff responsible for buying props and equipment should be looking towards online auctions and other resources in order to get the prices paid reduced.

One example of an over spend, was when the BBC paid for a new central electronic buying system, it cost £150,000 for 4,500 computers, and yet 2,000 of those licences were never used.

It is this sort of over spending that the committee are looking at.

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