BBC to Double Pension Fund Injection Amid Rising Deficit
The U.K. public broadcaster will use license fee payments that households must make every year to plug a $3.27 billion budget hole.
LONDON -- The BBC will nearly double the amount it is putting into its pension fund over the next four years amid a deficit that has risen to $3.27 billion (£2 billion), the U.K. public broadcaster said Wednesday.
The amount will be $1.2 billion (£740 million) instead of the originally targeted $614 million (£375 million).
The BBC isn't attempting to boost staff contributions to the pension scheme after a 2010 showdown with unions that led to strikes, the Guardian reported.
Instead, the money will come from license fee payments that British households must make every year to help fund the broadcaster.
The Guardian said that the pension fund's increased deficit was due to a weak economy in recent years and higher life expectancy.
"We have agreed a sensible and affordable plan to address the deficit without adversely affecting programs or pension scheme members," a BBC spokesman said.