BBC Worldwide under threat for uncompetitive activities

by MediaWeek, Media Week 20-Jun-05, 15:10

BBC Worldwide – often the bugbear of the commercial end of the media world – could be the subject of an investigation by competition watchdogs.

The Office of Fair Trading confirmed that it is examining the role of BBC Worldwide in the marketplace with the Department of Culture, Media and Sport – a discussion that could lead to a referral to the Competition Commission or sanctions imposed.

The large unit contained with the corporation has been criticised for a number of its activities in the past, mainly for its ability to cross-promote within existing BBC services and for overstepping its public service responsibility by behaving like a commercial company.

Last week the division unveiled a massive doubling of profits to £55m during the last 12 months.

Since new director general Mark Thompson took over the reins, the BBC turned back on a what appeared to be moves to sell off the Worldwide business, promising instead to scale back activities and offload non-core assets, such as Eve magazine.

By Kevin May

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