Hat Trick and Avalon to make BBC3 bid

The two production companies are preparing to team up to buy the corporation’s youth channel and have drawn up proposals to increase its budget from £81m to £100m a year.

In a statement, a spokesman for Hat Trick and Avalon said: “Under the new ownership, BBC3 would continue to broadcast on all digital platforms, all current contracts would be honoured and the channel’s programme budget would be increased from £81m to £100m a year.

“All original commissions would be made by UK companies and the channel would continue to be aimed at a young and ethnically diverse audience.”

Hat Trick founder Jimmy Mulville and Avalon managing director Jon Thoday have written to BBC Trust chairman Rona Fairhead setting out their intention to rescue BBC3.

A spokeswoman for the Trust confirmed the letter had been received but declined to comment further.

There is no coincidence in the timing of Hat Trick and Avalon’s proposal. Today the Trust will open the public consultation on BBC3’s future as part of a six month public value test.

As part of work, the Trust is expected to publish in full the corporation’s proposals to make BBC3 an online-only proposition.

Passion for the platform

The two production companies are understood to be passionate about BBC3’s role as a platform for new talent. They believe that this would be diminished if the channel were to move online and have its budget cut by about £50m to sit at around £30m a year.

Hat Trick and Avalon believe that that the Trust’s role is to act as a guardian for licence fee payers and if their proposals represent the best solution for BBC3’s audience, then they should be seriously considered.

However a BBC insider poured cold water on the plans: “BBC3 simply isn’t and can’t be for sale but that aside – and the that fact that the brand will continue whatever the result of the BBC Trust’s public value test - there’s also the question of how they would fund and run a £100m channel,  a budget bigger than all free to air digital stations.”

Fairhead appeared to back the BBC’s vision for BBC3 during a Culture, Media and Sport Committee hearing in October last year. She said moving the channel online was “in and of itself” a good idea.

The BBC3 online proposals have been drawn up by BBC3 digital controller Damian Kavanagh in collaboration with television director Danny Cohen. Cohen has readily admitted that it is too early to move the station online, but argued it is necessary as the corporation bids to save money.

In the past, BBC divisions have been privatised, such as BBC Broadcast. It was sold in 2005 to Macquarie to create playout, access and creative services firm Red Bee.

But it is not thought that a BBC content service, such as BBC3, has ever been taken private.