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ARTICLE · 18 FEBRUARY 2015

Privatise BBC Three? – I Don't Believe It

RWK Goodman
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Could private bidders buy a chunk of the BBC and stop BBC Three from becoming an internet-only channel?

United KingdomMedia, Telecoms, IT, Entertainment
Paul Herbert
Paul Herbert

Could private bidders buy a chunk of the BBC and stop BBC Three from becoming an internet-only channel? Paul Herbert, head of media, technology and communications at Goodman Derrick LLP, considers the challenges the bidders are likely to face.

Background

In February 2014 the BBC announced planned cuts of £100m from its operating budget. Then in March 2014 it was revealed that these cuts would be achieved in part by converting BBC Three to an internet-only channel. BBC Three's annual operating budget is believed to be around £109m. Last week it was revealed that two independent production companies, Avalon and Hattrick had submitted a proposal to the BBC to buy BBC Three for a figure reported to be in the region of £100m.

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