The Home Secretary has threatened the BBC with sweeping governance and funding reforms when its royal charter is reviewed next year.
Priti Patel said the findings of an inquiry into a 1995 interview of Princess Diana had “highly damaged” the Corporation’s reputation.
The Dyson Inquiry found that journalist Martin Bashir used “deceitful behaviour” to land his world exclusive interview – and that an internal BBC investigation had covered it up.
Refusing to rule out criminal prosecutions over the issue, she said the broadcaster needed to rebuild “trust and confidence”.
And asked whether the public broadcaster would survive, she said it would need to “reflect and learn lessons”.
Citing the government’s upcoming review of the BBC’s Royal Charter, she said: “If there is subsequent action that needs to be taken, then clearly – alongside the publication of this report and lessons being learned and changes, changes to the institution, structure, governance, accountability – then that will follow.”
“This is going to be a very significant and serious moment, at a time when the reputation of the BBC has been compromised,” added the home secretary.
Ms Patel also said the BBC would have to reflect on “where it stands in a multimedia world” – an apparent reference to whether parts of the corporation would survive.
The Conservative government has regularly threatened the BBC with funding cuts and reforms since coming to power in 2010.
Since September 2020 the Corporation’s director general has been Tim Davie, a former Conservative candidate and party official.
The Dyson inquiry said that Mr Bashir had breached the broadcaster’s own rules in 1995 by mocking up fake documents, which he showed to a relative of the late princess to obtain the interview.
The story has led headlines, including on the BBC, for a number of days since it came to light.
