Advanced Television

BBC and Pact agree new terms of trade

May 6, 2020

The BBC and Pact have agreed a new terms of trade deal for BBC television productions made by independent producers.

The new terms of trade will now provide the BBC with the ability to transform what it can show on BBC iPlayer. The BBC will receive an automatic 12 month BBC iPlayer window on all content it commissions within its initial payment. The agreement also sets out fixed rates for exclusive and non-exclusive extensions to the iPlayer window beyond 12 months, except where otherwise agreed as part of the funding arrangements for the production. Currently content is only guaranteed to be on iPlayer for 30 days, unless by separate negotiation.

For independent producers this deal sets a clear framework across genres, providing certainty of payments for use beyond 12 months. In addition, the BBC will pay the producer sooner to extend the licence period if the additional iPlayer windows are taken up beyond 12 months.

Producers will also see greater revenue streams as a result of the BBC share of net receipts from sales being reduced to 10 per cent (except in the UK during the term where it is reduced to 20 per cent). Full details of the agreement are below.

Tony Hall, BBC Director-General, said: “This is an important deal for the BBC, the industry, and the wider public. Not only have we reaffirmed our commitment to supporting independent UK producers, we have also ensured licence fee payers have access to the best content for at least a year on BBC iPlayer. Everybody wins.”

Sara Geater, all3media COO and Pact Chair, added: “The terms of trade are the lifeblood of the UK indie sector and I’m delighted we have reached a mutually beneficial agreement with the BBC which gives them the flexibility to increase exploitation of the programmes across iPlayer as well as their linear services. This is obviously crucial at a time of increased competition from the global SVoD players. I would also like to take this opportunity to thank the BBC team for their positive engagement”.

Bal Samra, BBC Group Commercial Director, said: “We are the largest supporter of the UK production sector, and so our priority was always to get a deal that worked for the broadest range of suppliers possible, regardless of size, location or type of content they make. This agreement does that, and means that at a time of rapid change a strong BBC can continue to invest in its home market and champion UK content. I’m delighted we will be able to deliver more value to licence fee payers whilst at the same time independent producers will be able to showcase their work to a bigger audience and increase their commercial returns”

Both the BBC and Pact wish to see the new terms of trade come into force as soon as possible, with the terms coming into effect for entirely new commissions from May 11th.

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