§ Mr. Arthur Lewis
asked the Secretary of State for the Home Department what considerations he takes into account in reviewing the British Broadcasting Corporation's applictions to increase the television licence fee; and to what extent he has regard to levels of expenses, particularly in relation to expenditure actually incurred, purchasing policy, especially in respect of the purchase of British goods, and the existence of efficient and effective accounting arrangements within the corporation.
§ Mr. Mellor
When considering an increase in the television licence fees, my right hon. Friend has regard to the overall needs of the BBC and to what is fair to the licence fee payer. In this context the corporations's efficiency is one of the factors which he has to take into account. However, under the BBC's charter and licence and agreement it is for the BBC governors to decide how to allocate the resources available to the corporation; they are fully aware of the need for proper financial control.