BBC Studios and Post Production (BBC S&PP) made a £3m loss this year, following a series of changes including the relocation of the facilities company from Television Centre to Elstree.
According to the BBC’s annual report, the commercial subsidiary of the broadcaster generated £29m in sales from its new locations and smaller studio footprint for the 2013/14 period.
In comparison, during 2012/13 revenue stood at £38m with a £1m operating loss (after deducting for one-off relocation costs, but before BBC pension deﬁcit contributions and other exceptional items).
The BBC described 2013 as a “transformational year” for BBC S&PP following its move from TVC to sites at Elstree Studios and South Ruislip, where its Digital Media Services division is now based.
Last year, BBC S&PP also pulled out of its central London post production facility after just 12 months.
The BBC said that “a level of loss was always budgeted for this year of relocation and changing operations and is being funded through S&PP cash reserves which were retained in anticipation.”
As well as operating studios at BBC Elstree, BBC S&PP has a contract to use Elstree Studios’ Stage 8, Stage 9 and its George Lucas production gallery space until 2017, when it will return to TVC.
BBC S&PP was due to return to the redeveloped TVC site in 2015, but chief executive Anna Mallett said there were “strong financial, commercial and operational benefits for all parties in agreeing to change our return date”.
BBC S&PP’s credits include studios and post production services for BBC programmes Strictly Come Dancing, EastEnders, Children in Need and Channel 4’s Winter Paralympics. It has also hosted productions including Sky’s A League of Their Own and ITV’s The Chase and built new production facilities for Channel 4’s Deal or No Deal at The Bottle Yard in Bristol.