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Annual Report and Accounts 2017/18 BBC Annual Report and Accounts 2017/18 Presented to Parliament by the Secretary of State for Digital, Culture, Media and Sport by Command of Her Majesty © BBC Copyright 2018 The text of this document (this excludes, where present, the Royal Arms and all departmental or agency logos) may be reproduced free of charge in any format or medium provided that it is reproduced accurately and not in a misleading context. The material must be acknowledged as BBC copyright and the document title specified. Photographs are used ©BBC or used under the terms of the PACT agreement except where otherwise identified. Permission from copyright holders must be sought before any photographs are reproduced. You can download this publication from bbc.co.uk/annualreport Designed by Emperor emperor.works Prepared pursuant to the BBC Royal Charter 2016 (Article 37) ABOUT THE BBC Contents Nations’ data packs p.150 Performance and market context p.02 p.59 p.168 About the BBC Detailed financial The year at a glance, award-winning statements content and how we’re structured p.08 Forewords from the Chairman and Director-General Performance against public commitments p.240 p.125 Equality Information Report Governance p.88 p.66 Finance and Delivering our creative remit operations How we’ve met the requirements of our public purposes p.18 About the BBC Governance Financial statements 02 The year at a glance 90 BBC Board 169 Certificate and Report of the Comptroller 92 Governance Report and Auditor General Strategic report 93 Remuneration Report 185 Consolidated income statement 08 A message from the Chairman 101 Pay disclosures 185 Consolidated statement of comprehensive 10 Director-General’s statement 107 NAO opinion on pay disclosures income/(loss) 16 Our reporting structure 108 Nominations Committee Report 186 Consolidated balance sheet 18 Delivering our creative remit 109 Audit and Risk Committee Report 187 Consolidated statement of changes in equity 20 – Impartial news and information 113 Risks and Opportunities 188 Consolidated cash flow statement 24 – Learning for people of all ages 117 Viability Statement 189 Key themes for the BBC 28 – Creative, distinctive, quality output 118 Editorial Guidelines and Standards 190 Notes to the accounts 38 – Reflecting the UK’s diverse communities Committee Report 52 – Reflecting the UK to the world 119 Nations Committee Reports Additional information 59 Performance and market context 121 Fair Trading Report 240 Equality Information Report 67 Deputy Director-General’s finance review 123 Regulatory Report 264 Index 69 Financial overview 124 Statement of Board responsibilities 265 Image credits 74 Our people 125 Performance against public commitments 266 Contact information and feedback 78 Developing our people 150 Nations’ data packs 79 Diversity 167 NAO opinion on Nations’ data packs 84 Charitable work 86 Environmental sustainability BBC Annual Report and Accounts 2017/18 01 ABOUT THE BBC The year at a glance In the first full year of a new Royal Charter, BBC Local Radio celebrated its 50th birthday, BBC iPlayer recorded its best year ever and we announced the merger of BBC Worldwide and BBC Studios into a single commercial organisation. We continue to bring audiences, across the UK and around the globe, award-winning content on television, on radio and online. 92% Blue Planet II Adult reach Percentage of UK adults Spectacular natural history programme who use BBC television, Blue Planet II was BBC iPlayer’s most radio or online each week. popular programme of the year, with Target: 92-95% 4.8 million requests for the first episode. The impact of the show led to widespread change in the public awareness of plastic waste. 12 new services 7/10 BBC World Service launched: General impression As the World Service undergoes its — Pidgin — Marathi Audiences’ general biggest expansion since the 1940s, we — Afaan Oromoo — Punjabi impression of the BBC — Amharic — Telugu (mean average). reached a record weekly global audience Target: 6-7/10 of 279 million people around the world. — Tigrinya — Igbo By this summer, our international news — Korean — Yoruba services will broadcast online, on TV, — Gujarati — Serbian and on radio in more than 40 languages. 19:12 BBC Local Radio Total time spent Length of time UK adult BBC Local Radio, which includes 40 local audiences spend with the BBC each week on average. radio stations across England and the Target: 18:15-19:45 Channel Islands, with more than six million listeners a week, celebrated its 50th anniversary. 02 BBC Annual Report and Accounts 2017/18 Return to contents ABOUT THE BBC 48m General Election Close to 48 million UK browsers came to the BBC website and news app in the week of the General Election – an all-time record. £34m We announced our biggest investment in children’s services in a generation – an additional £34 million. BBC Studios 272m We announced BBC Worldwide BBC iPlayer recorded its best year ever in 2017. and BBC Studios would join With a host of box sets, forces, integrating programme hits from the archive and production, sales and distribution greater personalisation, in a single commercial viewers streamed organisation, and producing on average 272 million programmes per month. programmes such as Strictly Come Dancing, EastEnders, Countryfile and BBC One’s popular daytime drama Shakespeare & Hathaway. Live sports Three Girls coverage We announced plans to reinvent The BAFTA award-winning free-to-air sports broadcasting. drama dealt with the Working in partnership with the true stories of victims of sports industry and making the grooming and sexual violence most of digital technology, in Rochdale. Watched by our aim is to bring more more than eight million sports to more people. people, the programme helped highlight a petition for Sara Rowbotham to be recognised for her role in bringing the scandal to light. Return to contents BBC Annual Report and Accounts 2017/18 03 ABOUT THE BBC Award-winning 4 Association for International content Broadcasting Awards November 2017 We invest in award-winning programmes and services across television, radio and online. 10 Broadcasting Press Guild Awards March 2018 BBC named Broadcaster of the Year at the Diversity Media Awards 17 British Academy Television Awards 6 May 2018 Broadcast Digital Awards 7 July 2017 British Academy Scotland Awards November 2017 6 British Academy Children’s Awards November 2017 18 37 RTS Programme Audio and Radio Awards Industry Awards March 2018 October 2017 04 BBC Annual Report and Accounts 2017/18 Return to contents ABOUT THE BBC 8 11 RTS Television Grierson Awards Journalism Awards November 2017 March 2018 16 British Academy Cymru Awards October 2017 6 National Television Awards January 2018 15 British Academy 8 TV Craft Awards April 2018 Broadcast Awards March 2018 8 Comedy.co.uk Awards 6 January 2018 6 Creative Diversity Writers’ Guild Network Awards Awards June 2017 January 2018 Return to contents BBC Annual Report and Accounts 2017/18 05 ABOUT THE BBC Inform. Educate. Entertain. Distinctive, world-class content that is engaging, risk-taking, educational and award-winning. 75% 75% 72% 77% % of UK adults who say the % of UK adults who say the % of UK adults who say the % of UK adults who say the BBC is effective atinforming, BBC is effective atinforming BBC is effective ateducating BBC is effective atentertaining educating and entertaining people in the UK people in the UK people in the UK people in the UK (9% say ineffective) (9% say ineffective) (7% say ineffective) (8% say ineffective) Ipsos MORI: 3,568 UK adults 16+, April-May 2018. Documentaries that encourage change. Forging dynamic partnerships across We create Blue Planet II won the Special the country. From Hull City of Culture to Impact Award at the NTAs for its Super Movers with the Premier League; role in raising awareness of the from Tomorrow’s World to Opera Passion cutting edge deadly impact of plastic waste. with the Royal Opera House and the V&A. content... First TV programme with an all- Award-winning podcasts from one of autistic core cast. CBeebies launched the largest podcast producers in the animated TV series Pablo. world. We create bespoke, entertaining and revealing podcasts for a wide Using technology to broaden the audience including the new generation appeal of content. As part of the who increasingly listen online. Civilisations Festival we launched a suite of digital tools including the Channel of the Year. BBC One Read more on pages 02-05 and 28-37 Civilisations Augmented Reality app. was named Channel of the Year at the RTS Programme Awards. Television The BBC World Service television, ...broadcast Nine pan-UK television services, radio and online in more than including online-only youth service 40 languages. BBC Three. across Online National and regional television Online services including BBC News, multiple services across England, Northern Sport, Weather, CBBC and CBeebies, Ireland, Scotland and Wales. iPlayer and iPlayer Radio, BBC Red Button and our vast archive via a Radio channels... variety of internet-connected devices Ten pan-UK radio networks and two including tablets, smartphones and national radio services each in connected televisions – as well Scotland, Wales and Northern Ireland. as computers. 40 local radio stations across England Read more on pages 18-58 and the Channel Islands. 06 BBC Annual Report and Accounts 2017/18 Return to contents ABOUT THE BBC BBC staff Knowledge-sharing ...working Our people are talented, diverse, BBC engineers have always been dedicated and passionate. They at the forefront of technological make us what we are. development. We provide a ‘centre with talent of excellence’, sharing advances and Partnerships best practice across the industry. across the We work with organisations that share our passion for creativity, Training quality and distinctiveness. We are committed to offering UK creative opportunities to everyone.
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