BBC Governors: Salford is value for money

At their last ever meeting, the BBC board of governors reached a decision that the proposed move from London to Salford of key BBC departments would represent value for money to all licence fee payers.

BBC acting chairman, Anthony Salz, said: "Today the board of governors received from BBC management and our independent advisers Deloitte a further evaluation of the potential costs and savings in London from a move of key departments to Salford."

"The governors are today recommending to the BBC Trust that a move to Salford would represent value for money to all licence fee payers.

"The BBC has been too London-centric for too long and for that reason the board of governors has supported the BBC's ambitious plans to establish a large production base in the North of England since they were first announced in December 2004.

"In the longer term the move to Salford would deliver savings, but over the next five years the project would mean a significant cash outflow without any offsetting savings."

The governors also stated that their support for the move was "not unconditional", saying that licence fee payers needed a BBC that brings wider benefits to all parts of the UK, "but not at any price."

Salz added: "We have always made clear that our final decision on this project will be based on two key factors: whether the move represents value for money for licence fee payers and the affordability of the project."

The move remains subject to agreement of the outstanding contractual issues with developer mediacity:uk. The final decision on whether to go ahead with the move will be a matter for the BBC Trust, the replacement for the governors, and only once the outcome of the licence fee settlement is known.