The BBC has been told by a group of influential MPs that it should stop paying “over the odds” for the rights to popular overseas dramas and comedies, with shows including Suits and Schitt’s Creek singled out as examples of poor value.
The criticism comes from a broad report on the corporation’s funding and future, released by the House of Commons’ cross-party culture and media committee. While the report acknowledged the BBC delivers “immeasurable benefits” to society, it warned that without reform to the TV licence fee, the broadcaster faces a trajectory of “managed decline.”
Currently, the BBC acquires international programming for its channels and iPlayer platform. The committee argued that while the corporation produces much of its own content, it should spend more wisely when competing for foreign hits, particularly in bidding wars against commercial UK rivals.
Dame Caroline Dinenage, the committee chair, stated the report arrives at a “pivotal moment” as the BBC navigates shifting media habits and declining income. She urged the government to secure a sustainable funding source but added that the BBC must also “box clever” for licence fee payers by ending what she described as illogical spending practices.
The right to air Suits, Schitt’s Creek, and Scooby Doo were all secured by the BBC after previous contracts with other networks expired. However, the committee maintained that acquiring these titles does not represent value for money for the public.
In response, the BBC highlighted that it allocates less than 5% of its content budget to acquiring external shows, a figure lower than that of other broadcasters. A spokesperson described the acquisitions as a cost-effective method of delivering high-quality content that ultimately helps audiences discover homegrown programming.
Beyond content purchasing, the committee criticized the current TV licence fee model as “outdated and no longer fit for purpose.” It noted that while approximately 94% of individuals use the BBC monthly, only 80% of households pay the fee. The report recommended decoupling the fee from live TV consumption and specific devices, suggesting that expanding the payer base could allow for a reduction in individual costs.
Other recommendations included the introduction of an international TV licence, mandatory “BBC buttons” on smart TV remotes, and the government taking back full funding for the BBC World Service, which the committee called the UK’s “number one soft power asset.” The report also supported opening iPlayer to content from other public service broadcasters, such as Channel 4.
The findings are being considered as the government prepares for the next BBC Royal Charter, which will determine governance, regulation, and funding arrangements from 2028. Both the BBC and the Department for Digital, Culture, Media and Sport welcomed the report, agreeing that the corporation must evolve to remain relevant in a disrupted media landscape.
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