As part of its efforts to counter the bite of the economic downturn, the BBC is suspending bonuses and reviewing the pay scales of its executives. It is also set to reduce the amount it spends on talent.
The BBC is making the cuts in reaction to its dominant role during the recession compared with its struggling competitors, as well as to its own financial challenges, Michael Lyons, the head of the BBC Trust, said.
"There has been considerable disquiet in recent weeks about the salaries of top BBC staff," Lyons said.
The BBC announced this week that Worldwide revenues are in excess of 1 billion pounds, but that profits before interest, tax and exceptional charges were down to 86 million pounds from 118 million the previous year.
Now that savings have been made, where should that money be spent? The BBC says it needs to pay decent salaries to attract best talent, but do you agree? Should the licence fee be lowered?