24 November 2008

BBC Local Video Plans Rejected

The BBC Trust has turned down the corporation’s proposals to launch an online local video service.

According to a press release from the BBC’s governing body, the plans were rejected on the grounds that they would not enhance public services enough to justify the financial investment or adverse effects on other local news providers.

The decision comes after the Trust carried out a public value test of the £68 million scheme.

“It is clear from the evidence that, although licence fee-payers want better regional and local services from the BBC, this proposal is unlikely to achieve what they want,” said the BBC Trust chairman in a statement.

Sir Michael Lyons added: “We also recognise the negative impact that the local video proposition could have on commercial media services which are valued by the public and are already under pressure.”

The decision was welcomed by representatives of the commercial regional media, such as the Newspaper Society.

Further details and reactions to Friday’s news can be found at guardian.co.uk, HoldTheFrontPage.co.uk and Press Gazette.

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