BBC’s profits flatlining in face of competition from Netflix

THE BBC’s commercial performance has been ‘flat’ over the past five years as streaming services such as Netflix and Amazon continue to thrive, MPs have warned.

A report into the broadcaster’s commercial activities has revealed the BBC faces ‘increasing challenges’ from its competitors as viewers switch from traditional TV to digital subscription services.

Total revenue from BBC commercial subsidiaries has remained at around £1.2billion from 2012-13 to 2016-17. In April it merged BBC Studios and BBC Worldwide in a bid to make it more profitable.

The report by the Public Accounts Committee also highlighted failed platforms such as the BBC Store, which was shelved in November after just 18 months.

A BBC spokesman said: ‘We’re expecting positive results from all our commercial subsidiaries – demonstrating a strong commercial performance across the group.’