Licence Fee: BBC disappointed..but Salford still going ahead

Tessa Jowell announced that the BBC licence fee would go up…but only to £150 by 2010…less than the BBC wanted.

It was threatened that the BBC’s planned move ‘up north’ would be compromised, but D-G Mark Thompson’s just sent out an email to staff:

“…not only has the proposed settlement moved in the right direction, but the Salford proposition has itself improved financially. The project itself is now much better value-for-money and the analysis we’ve done has demonstrated that the ‘do nothing’ option of keeping the relevant divisions in West London – with the massive renovation and modernisation that would be required – is more expensive than realised a few years ago.”

So basically it’s expensive, but still cheaper than rennovating TV Centre.  With Broadcasting House nearing completion, will there even be a need for dear TVC in 10 years?