BBC needs a complete overhaul

Nitin Mehta Published on February 18, 2023 in the Mumbai Guardian

As the Indian authorities continue their investigations into the Tax affairs of the BBC a look at their Tax affairs in the UK makes interesting reading. According to the Tax Watch dated July 2019 the BBC has set aside up to £12 million to pay off the past tax liabilities of the BBC presenters. The presenters avoided tax payments by using personal service companies. The BBC annual report admits tto this state of affairs. According to George Turner writing in Tax Watch the BBC started to employ presenters as personal service companies from the late 1990’s. Instead of contracting directly, the BBC contracted with the company. This meant that the BBC would no longer need to pay the employers national insurance. The presenters could minimise their tax payments by paying themselves a small salary. through their company and receiving the rest of their income in dividends. This had a substantial tax benefit. According to the BBC 300 of their employees used personal service companies and another 500 were employed as freelancers through other loan based tax avoidance schemes. The BBC has been criticised by the National Audit Office for agreeing to pay the tax liabilities of its presenters. The NAO does not consider it as legitimate use of BBC funds!  According to the presenters however it was the BBC which actively encouraged or even forced them to take these tax avoidance schemes. In November 2018 the Parliamentary Public Accounts Committee chair Meg Hillier put out a statement saying that although it was 6 years since concerns were raised about the personal services companies nothing had been sorted out.

Regarding the often proclaimed independence of the BBC, Tom Mills in his book, ‘ The BBC: Myth of Public Service’  comprehensively demolishes the claim. The BBC he writes is not independent of the Governments or of the wider establishment. The Governments set the terms under which the BBC operates, they appoint the most senior figures who are directly involved in the day to day managerial decision making. The Governments set the licence fees. There is some editorial autonomy but it is always kept under some degree of political control. According to Tom Mills there are behind the scenes relationships between people at the top of the BBC, the secret state, senior politicians, the cabinet office. Networks and negotiations with the Government formulate BBC editorial policy. 

Given this scenario what remains a mystery is the relentless biased reporting on India by the BBC. Britain and the UK have excellent relations, a historic free trade deal is being talked about. India has just ordered 500 Jets from Airbus and Boeing. The deal has been acclaimed by President Biden of the US, Macron of France and Prime Minister Sunak. India has the fastest growing economy, it is the world’s largest democracy. British interests are strongly tied with India and yet why does the BBC and most of the British media continuously paint a biased and negative picture of India?. Who actually is benefiting by driving this wedge between the two countries?. Why are India’s 1.3 billion people being alienated from the British people? Are there some elements in the BBC or other agencies who are serving some vested interests? The BBC does need a complete overhaul before it does serious damage to Britain and its global interests. 

Nitin Mehta

17 Feb, 2023       

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