3 ARRANGEMENTS FOR THE COMPTROLLER
AND AUDITOR GENERAL'S WORK AT THE BBC
15. Under an arrangement introduced in 2003, covering
the three year period up to December 2006 when the BBC's current
Royal Charter expires, the Comptroller and Auditor General is
carrying out a programme of six value for money reviews at the
BBC. Under the terms of the arrangement, the Comptroller and Auditor
General submits the reviews to the BBC Governors' Audit Committee
and the Governors are responsible for laying them before Parliament
with, where possible, the BBC's Annual Report.[20]
16. The review of the White City 2 development was
carried out under these arrangements and has provided Parliament
and licence fee payers with insights about the BBC's use of public
money which would not otherwise have been available. The BBC confirmed
that its editorial independence had not been put at risk and acknowledged
that it was difficult to envisage such circumstances arising.[21]
17. On the question of the programme of work, it
would be better if the Comptroller and Auditor General were able
to assess value for money risks and, on this basis, identify
subjects for examination, bringing the arrangements at the BBC
into line with those for the other central government bodies that
the Comptroller and Auditor General audits. It is worth noting
that the Office for National Statistics has recently decided to
re-classify the BBC as part of central government for National
Accounts purposes. The BBC said it would be happy to discuss any
proposals for areas the Comptroller and Auditor General would
like to examine, but the Governors wished to retain the final
say over the selection of study topics.[22]
The Committee regards this as unacceptable.
20 Amendment to the Agreement between the Secretary
of State for Culture, Media and Sport and the BBC dated 4 December
2003. Back
21
Qq 42, 94-99 Back
22
Qq 86, 94, 99-102 Back
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