HC Deb 08 June 1999 vol 332 cc231-2W
Mr. Fallon

To ask the Secretary of State for Culture, Media and Sport (1) if he will make a statement on his responsibilities in relation to the funding of the BBC's commercial activities; [85507]

(2) if he will list the arrangements under which the BBC is accountable to his Department for its commercial activities. [85346]

Janet Anderson

The BBC Charter and Agreement provide a framework for ensuring that the Corporation's commercial activities are funded, operated and accounted for separately from its public service activities. It is for the BBC's Board of Governors to ensure that the BBC meets its obligations in this area. Any commercial activities undertaken by the BBC are subject to the same UK and EU competition law as its competitors. The BBC publishes separate annual reports and accounts for its commercial subsidiaries BBC Worldwide Ltd. and BBC Resources Ltd. These are submitted to the Secretary of State and presented to Parliament.

The Secretary of State's approval is required before the BBC can provide new commercial services itself or enter into joint ventures with commercial partners to provide new services.

Mr. Fallon

To ask the Secretary of State for Culture, Media and Sport, pursuant to his answer of 25 May 1999,Official Report, column 142, on the BBC, if he will place in the Library a copy of his Department's rules governing borrowing by the BBC and its commercial subsidiaries. [85892]

Janet Anderson

Article 3(w) of the BBC's Royal Charter governs borrowing. As in all other aspects of the BBC's remit, its commercial activities are subject to the Royal Charter and Agreement. This is available in the Library of the House.