BBC unveils controversial cuts

The BBC today signalled an end to years of expansion as it unveiled plans to axe two radio stations, halve its website and slash spending on sports and American TV shows.

Digital radio station 6 Music and Asian Network are to be axed, with teen TV services Switch and Blast also facing the chop.

BBC online is to have its budget reduced by 25 per cent by 2013, backed by similar cuts to staff levels, as it slashes back the number of its web pages.

Director General Mark Thompson admitted the corporation has become too large and must shrink to allow room for its commercial rivals.

The proposals will be seen as an attempt to prove to a potential Tory government that the BBC is prepared to get its own house in order.

They were drawn up after BBC Trust chairman Sir Michael Lyons ordered a strategic review of the corporation's size.

The report, Putting Quality First, has been compiled by John Tate, BBC director of policy and strategy and former head of the Tory policy unit.

It is based on the assumption that the licence fee will be frozen in 2013.

Cutbacks include:

• Speeding up plans to slash the senior management pay bill by 25 per cent;
• Scrapped digital radio stations 6 Music and the Asian Network;
• Axing teenage channels BBC Switch and Blast!;
• Increasing BBC Two's budget by £25million;
• Diverting £600million into higher-quality content;
• A 25 per cent reduction in the £100million budget for foreign TV acquisitions;
• Halving online output and reducing its staff and budget by 25 per cent.