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Posted: Tuesday, May 13, 2008, 10:48AM

BBC procurement criticised by MPs

The BBC needs to do more to cut its annual procurement bill, the Committee of Public Accounts has said.

The committee said that although the corporation was on target to cut its procurement costs by £75 million its savings were smallest in the areas where the BBC spent most.

The report cited the example of the BBC’s people and resources spend, which doubled to £53 million in 2006-07, due to the cost of employing staff for one-off projects.

The committee said that the corporation needed to make greater use of central contracts and e-auctions, whilst also ensuring that its suppliers employed good procurement practice.

Chairman Edward Leigh said: "There is a lot more that the BBC can do to trim its procurement bill."

Responding to the report's findings, a BBC spokeswoman said: "The Trust welcomed the National Audit Office's positive findings about the BBC's procurement practices when we published their report in December last year.

"We have already accepted the NAO's specific recommendations to improve processes further in order to deliver even more savings and will review carefully the additional recommendations made by the Committee."


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