The BBC is set to deliver £880 million ($1.21 billion) of annual savings this year, beating the target of £800 million ($1.1 billion) a year ahead of schedule.
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A new report by the U.K.'s Digital, Culture, Media and Sport Committee (DCMS) has concluded that the BBC will have to continue to rely on the TV license fee, in part because the government has "failed to put in place the necessary broadband infrastructure that would facilitate other funding mechanisms."
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The BBC has unveiled plans for what it is calling its "biggest transformation in decades" as it shifts program spending and much of BBC News across the U.K., outside of London.
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Facing "downward pressures" on its income, the BBC is planning to reduce spending on its content and services by £408 million ($556 million).
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The BBC has appointed Leigh Tavaziva, who has worked in a range of senior executive positions spanning operations, finance, strategy and transformation roles, as its group chief operating officer.
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The BBC has restructured its television division in an effort to bring a new approach to commissioning, designed to reflect changing audience behavior, fuel the growth of BBC iPlayer and strengthen its content portfolio.
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The BBC's annual report has outlined that while it was a strong year for BBC content, the broadcaster must keep reforming to be trusted, relevant and indispensable in the digital age.
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