I am grateful to my right hon. Friend for his comments. Given his long-time knowledge of and interest in the BBC, I am pleased that he agrees that our proposals represent a good, strong future for the BBC.
My right hon. Friend asked specifically about the National Audit Office. It has been agreed that the NAO should be able to conduct value-for-money studies of all publicly funded aspects of the BBC’s operation, and to become the financial auditor. The licence fee payer has a strong interest in the BBC’s commercial activities, because the more the BBC can raise through those activities, the less will be the call on the licence fee payer. We are continuing to discuss the extent to which, and how, the National Audit Office should examine whether full value for money is being obtained from BBC Worldwide. I would point out, however, that one of the greatest disasters for the BBC, which resulted in its loss of £100 million, was the acquisition of Lonely Planet by BBC Worldwide.
I thank the Secretary of State for providing early sight of his statement, much of which I welcome. He has said that the BBC will become more accountable to the devolved nations. Will he tell us a little more about how that will be achieved in Wales?
My answer to the hon. Gentleman is very similar to the answer that I gave the hon. Member for East Dunbartonshire (John Nicolson). Wales, too, will have a member on the BBC board, in that one of the non-executive directors will be responsible for speaking for Wales, as well as bringing other skills to the board. Ofcom will set out a clear service licence giving more details of how the BBC will be expected to meet its requirement to serve the needs of the people of Wales.
As I said earlier, today the BBC wrote not only to the Cabinet Secretary in the Scottish Government, but to the First Minister of Wales—[Interruption.] Yes, it will be interesting to find out who opens the envelope. The BBC’s letter set out more details about how it intends to go about delivering that task, and I shall be happy to supply the hon. Gentleman with a copy if he has not already seen it.
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The hon. Gentleman will not require much encouragement if experience is anything by which to judge.
S4C provides popular programming in Welsh—in fact, it is as popular as possible—and is largely funded by the BBC. Is the Secretary of State concerned that his proposals as reported widely in Wales are likely to hamper S4C’s ability to fulfil that unique prime function?
I am concerned if those reports are circulating in Wales, but I hope there will be reassurance tomorrow. I was pleased to have the opportunity to visit S4C just a few weeks ago and I share the hon. Gentleman’s regard for its programming. He will be aware that we have announced that we will be reviewing S4C once we have completed the BBC charter review. That, too, will be with the aim of seeing how we can strengthen and sustain it.