Delivering value for audiences The BBC spent an extra £270million on programmes and services in 2001/2002, the biggest increase in spending in the BBC’s history. On average people spent 19 hours 54 minutes a week with the BBC – 43.8% of their viewing and listening and over a fifth of their leisure time (21.3%). BBC World Service expenditure was £205million. The BBC World Service is funded by the Foreign and Commonwealth Office through a Grant-in-Aid.This cannot be used to cross-subsidise other parts of the BBC and is only used to fund the BBC World Service. Children £81m Music & Arts £151m Sport £279m Drama £324m Entertainment £360m News £395m Speech – Local Radio (inc. Nations) £108m Factual & Learning £334m Total: £2,032m Content spend by genre The biggest increases in spending were on drama and entertainment as part of plans to enrich BBC One. Spend on local TV and radio in the Nations and English Regions In addition to the local spend shown below, £291million was spent outside London on network television and radio. 10 Annual Report and Accounts 2001/2002 Total: £416m Northern Ireland £52m Scotland £87m English Regions £186m Wales £91m The additional programme spend was partly financed from an above-inflation licence fee increase, but mostly from good housekeeping.This included reductions in licence fee evasion, increased contributions from our commercial subsidiaries and cutting overheads.The objective of spending 85% of BBC income on programmes was achieved two years ahead of target.A more detailed review of the BBC’s finances is on pages 70 and 71. UK broadcasting spend The BBC remains committed to analogue services, allocating over 87% of spend to them. Total £2,591m ¦ Television £1,372m BBC One £962m BBC Two £410m ¦ Nations & Regions £416m Nations & Regions television £252m Nations & Regions radio £164m ¦ Radio £302m BBC Radio 1 £38m BBC Radio 2 £43m BBC Radio 3 £53m BBC Radio 4 £90m BBC Radio Five Live £77m BBC Asian Network £1m ¦ Digital services £278m BBC One and BBC Two Digital £nil CBBC, CBeebies £20m BBC Choice £53m BBC News 24 £50m BBC Parliament £4m BBC Four/Knowledge £32m Digital text and interactive £11m Digital radio £8m BBCi (internet) £100m ¦ Transmission and collection costs £223m Licence fee collection costs £95m Analogue transmission costs £75m Digital transmission costs £52m Differences due to rounding. £416m £302m £278m £223m £1,372m Annual Report and Accounts 2001/2002 11 Overall approval of BBC services and of the BBC as an organisation continued to rise in 2001/2002. Weekly reach of BBC services Despite increasing demands on leisure time, BBC services reached 93% of the UK population. BBCi internet use BBCi attracted an average of 33% of all UK adult internet users over the year. BBC share of viewing and listening BBC One’s share has increased both in analogue and digital homes, although, because the proportion of digital homes has increased, overall share has fallen slightly. BBCTwo’s share continued to rise. BBC Radio achieved record audiences. BBC Radio 2 added two million new listeners over the year. Award-winning output from the BBC During 2001/2002 BBC television and radio programmes and web content won a string of major national and international awards.These included:  22 Gold Awards at the Sony Radio Academy Awards  16 Royal Television Society Programme Awards  12 Royal Television Society Craft and Design Awards  10 BAFTA Television Programme Awards  10 British Soap Awards  10 Broadcasting Press Guild Television and Radio Awards  9 Royal Television Society Sports Awards  8 CRE Race in the Media Awards  8 Royal Television Society Journalism Awards  8 Royal Television Society Educational Awards  7 BAFTA Television Craft Awards  7 EMMA Awards  7 One World Media Awards  6 BAFTA Children’s Film and Television Awards  5 Gold Promax Awards  4 British Comedy Awards  4 Golden Rose of Montreux Awards  3 Emmy Awards  3 Grierson Awards  2 Banff TV Festival Awards  2 Golden Globe Awards  2 Prix Europa Awards  1 BAFTA Interactive Award  1 Prix Italia Award  1 Webby Award 2001  Queen’s Award for Enterprise (BBC Worldwide) Plus, Jim Broadbent won an Oscar for his performance in Iris, a BBC Films production. Audience approval of the BBC Mean score out of 10 2001/2002 6.8 2000/2001 6.5 Source: Pan BBC Tracking Study. 2001/2002 5.6 (4.2*) * 2000/2001 figure. Source: BBC server logs, adults age 15+.Average monthly use. Millions Total BBC television (including digital channels) BBC One BBC Two % BBC Radio Television 86.5 (88.4*) Radio 63.4 (60.9*) Combined television and radio 93.0 (94.4*) * 2000/2001 figures. Source: BARB, RAJAR, age 4+, average 15-minute weekly reach for the year. Reach figures for television have to be treated with caution this year due to a change in measurement by the BARB panel. % 2001/2002 38.4 2000/2001 38.2 2001/2002 26.5 2000/2001 26.8 2001/2002 11.1 2000/2001 11.0 Q1 2002 52.6 Q1 2001 52.1 Source: BARB, age 4+, average share for the year. RAJAR, age 15+, average share for the year.