Business Weekly - Cambridge, UK

The corporation, which already has a range of broadcasting facilities in Milton Keynes and neighbouring Luton and Cambridge, said it had reviewed its position following the recent licence fee settlement and decided the proposals for the site, which included a combined television, radio and online service hub, were no longer economically viable.

However, Milton Keynes Council’s chief executive, John Best, said that though obviously disappointed by the move, the council would continue to build a relationship with the BBC to help achieve its ambition of having a regional broadcasting base situated in the city.

“The BBC’s commitment to Milton Keynes can make a significant contribution to the economy of the city and surrounding areas in the short and long terms,” said Best. “We will also be talking to other Milton Keynes partners particularly businesses to agree a way forward.”

The BBC’s plans for the Milton Keynes centre were first announced three years ago as part of nationwide decentralisation programme and were intended to create a new regional television region for Bedfordshire, Buckinghamshire, Hertfordshire, Northamptonshire and Cambridgeshire.

The move would have seen a new regional news programme created, broadcasting to almost three million viewers across the west of the current Look East area on BBC ONE. Look East would have broadcast as a separate programme across Essex, Norfolk and Suffolk.

Reasons for the BBC’s decision were outlined in a letter to the project’s developer, Frontier Estates, from David Holdsworth, the BBC’s controller of English Regions, who said the BBC was looking at all of the investment proposals it put forward as part of the licence fee bid and that final recommendations would be considered by the BBC Trust later this year.

“In the meantime, we have taken the decision that proceeding with this particular property site in Milton Keynes is not now the most affordable and cost-effective option and we have informed the developers that we are not in a position to make the financial commitment that will be necessary for this development to proceed.

“We understand that this decision will cause disappointment. However, we remain deeply committed to serving our audience in Milton Keynes in the best way possible and we are continuing to consider the best way of achieving this.”

Grant Seeley, director of inward investment for Invest Milton Keynes, remained upbeat about the city’s prospects.

He said: “Obviously we are disappointed by the BBC decision; however Milton Keynes is continuing to attract record numbers of national and international investors from a variety of sectors.

“This year alone we have had 58 relocations and expansions – a four year high – and these have secured thousands of jobs for the city. We will continue discussions with the BBC with regard to a broadcasting hub, but also to identify how Milton Keynes can best be reflected through the BBC’s regional and national radio and television output.”