Thompson warns of more job losses at BBC

BBC director-general Mark Thompson told staff to expect further job cuts over the next year, following the "disappointing" licence fee settlement last month.

In a speech yesterday at the BBC's Media Centre in London, Thompson said his team are currently working out how many jobs would go and in which departments, but admitted that following many recent job cuts "the scope for traditional BBC cost-cutting is limited in many areas".

Thompson added: "What will the impact on jobs be? Well, I think that story will vary across the BBC. The groups haven't yet developed detailed plans, but I believe it's inevitable that those plans will both put some additional pressure on existing job numbers while also creating quite a few new posts and new opportunities as well."

Around 150 creative bosses and managers from across the whole BBC are to meet with its directors at the end of the month. Following that, the BBC Trust will set the budget for 2007/8, then in April the BBC executive board will put together recommendations for a full six-year plan, which is due to be revealed to staff. The Trust will consider this over the summer, and deliver its verdict autumn.

Thompson pointed out that digital switchover and the move to Salford left just £900million of the £2.2billion settlement for everything else the BBC wants to do.

He said the only ways to deal with the situation was to reduce its investment, increase its "self-help" and switch its priorities, but concluded it would probably be a combination of all three.

Thompson said his main aim was to keep things, "simple and open" and thanked staff for their "passion", "conviction" and "perfectionism" during a difficult year.

"I'm incredibly proud of what the BBC has achieved over the past 12 months. Plenty of distractions - the whole value-for-money programme, the Charter, the licence fee debate - but honestly it's been one of the best creative years I can remember," he concluded.