The BBC has created over 700 new production jobs over the past year while director general Greg Dyke's attempts to cut 1,100 administrative posts continue.

The figures were revealed in the BBC

The BBC has created over 700 new production jobs over the past year while director general Greg Dyke's attempts to cut 1,100 administrative posts continue.

The figures were revealed in the BBC governors' annual report, published on Wednesday (4 July), which show that the corporation now employs nearly 500 more people at an extra cost of£40m.

The document is the first comprehensive analysis of the BBC since Dyke took charge last February when he pledged to cut jobs in order to make savings.

The report shows the average number of people now employed full-time - including executive committee members - across the whole BBC rose from 23,640 last year to 24,129 this year. Staff numbers rose in the BBC Home Services - the bulk of the corporation's broadcasting areas - the World Service and BBC Worldwide, its commercial arm, with salary costs as a consequence growing from£785.3m to£823.4m.

Some areas did axe staff, such as BBC orchestras and singers, which culled seven, and BBC Resources, which lost 147 posts. So far, the BBC has publicly acknowledged the culling of 268 administrative jobs. (Broadcast, 23.3.01).

Some further job losses are expected to fall within the factual and learning department, which will be restructured this October. A BBC spokeswoman claimed all the new jobs were in production and were a result of increased expenditure on programming.

Dyke has pledged to cut jobs in non-programme-making areas in order to help make savings of£1.1bn by 2006 as part of the BBC's improved licence fee settlement from the government. The report stated he had already saved£45m across the board.

Outgoing BBC chairman Sir Christopher Bland admitted that the programme of job cuts would be 'accelerated' in the coming months, saying in the report that 'difficult' times lay ahead for staff.

'Management has started to streamline divisions, cut overheads further and move more money directly into programmes,' he wrote. 'In the coming year that process will accelerate and there will be a significant turnover in staff as the balance of the workforce changes.'

Unveiling the report, Dyke promised a further£67m for BBC 1 drama and factual programming plus£100m of investment in the proposed BBC 3.

Financial figures revealed Dyke collected a bonus of£91,000 on top of his£347,000 salary, while payoffs totalling£460,000 were made to outgoing BBC staff.

Elsewhere, the report revealed:- The proportion of income that is spent on programme content has risen from 76 per cent to 81 per cent.

- It was a 'mistake' for the corporation not to cover the Queen Mother's 100th birthday pageant, which attracted high ratings when it was shown on ITV.

- BBC 1's share of viewing dropped 1.5 per cent year on year, while BBC 2's share rose 0.2 per cent.

- The BBC World Service report stated it had achieved its highest listener figure of 53 million, a rise of 2 million since last year.

TEAGUE EXITS AS WORLDWIDE REPORTSBBC Worldwide deputy chief executive Peter Teague is to leave the BBC next spring as part of a restructure of the commercial subsidiary.

In the interim he will take on the role of managing director of consumer publishing.

The change is part of the long-awaited review of Worldwide, due to be announced next week, which is expected to lead to a shake-up of the publishing division.

On Wednesday (4 July) the division unveiled its annual results which revealed that it pumped a record£96m back into BBC programme making last year. The division has a target of returning£200m back to the BBC by 2006.

Turnover rose from£514m to£587m, while profits before tax were up from£9m to£23m, prompted by sales of The Weakest Link and the Tweenies.