Brian Taylor
BBC Scotland Political Editor

An agreement has been reached between the Scottish government and the Treasury over future Scottish spending. 

The deal covers the fiscal framework which will accompany the new tax powers due to come to Scotland from next year. 

BBC Scotland understands that the deal involves a five year programme during which there would be no automatic cuts to Scotland's budget arising from the devolution of new powers. 

After that, there would be a review without any prejudice as to the outcome.  

Mr Maxwell details the report into the renewal of the BBC charter, external.

The report found that there is a need for the BBC to represent Scotland and the diversity of Scottish culture more effectively:

• Appreciation measures for BBC television and radio in Scotland are lower than average for the rest of the UK.
• People in Scotland think the BBC is poorer at representing their lives in news and current affairs and in drama compared with people in other parts of the UK.

Image source, bbc

The committee wants the BBC to be relevant to people in Scotland and have a long term future in Scotland. 

It also wants the BBC to do more to support BBC Scotland’s in-house production arm and the creative industries in Scotland.

• The Royal Charter is the constitutional basis for the BBC and, as such, effectively allows the BBC to exist.

• It sets out the public purposes of the corporation, guarantees its independence, and outlines the duties of the people that run it - the Trust and the Executive Board.

• The first charter ran from 1 January 1927 to 31 December 1936.

• The current charter states that the BBC exists to serve the public interest.

• It sets out how the BBC should serve audiences through its six "public purposes" such as "representing the UK, its nations, regions and communities".
• The charter runs until 31 December 2016, and the UK government has already started a review process to put in place a new charter for the next 10 years.

Find out more about Charter Renewal

Education and Culture Committee convener Stewart Maxwell says the unanimous view of the committee is that the BBC is a hugely important cultural organisation and must be culturally relevant to Scotland.

The "BBC must do more to represent Scotland" he says.

Brian Taylor
BBC Scotland Political Editor

At the Culture Committee, the argument flowed back and forth. 

It was argued forcibly that programmes with a Scottish base contribute to jobs and development here. 

However, Tony Hall acknowledged that it was now time to move to a new phase: with further power in Scotland allied to programmes which offered a more sustained and authentic portrait of Scotland. 

Further, the Director General confirmed a review of news, due to report in the Spring - which might include such familiar concepts as a Scottish Six, a TV programme encompassing Scottish, UK and global news. 

Ken MacQuarrie was questioned about earlier ideas such as new Scottish TV and radio channels. 

Those, he said, had never formed part of a formal plan. 

They were notions around during the earliest stages of preparing for the Charter Review, itself due to be completed by the end of this year.   

Lib Dem MSP Liam McArthur says the BBC has its shortcomings but is commendably honest about them.

Mr McArthur says he has an "enormous admiration and affection for the BBC" and says he is a "BBC loyalist".

He says the Scottish government and the SNP have made accusations against the BBC.

"Alex Salmond still nurtures his wrath", says Mr McArthur and he calls for consensus at decision time.

He also highlights the "appalling treatment" meted out to BBC journalists during the independence referendum.

Lib Dem MSP Liam McArthur uses his amendment to note that the Education and Culture Committee concluded that a greater degree of decentralisation and accountability can be achieved without adopting a federal structure.

Mr McArthur believes that any reforms to the BBC must be sustainable, protecting and enhancing its status as a world-class impartial public service broadcaster, and not undermine its ability to deliver the high-quality programmes and other output that its audience in Scotland, the rest of the UK and around the world expects and values.  

The BBC will review its news service in Scotland, the boss of the corporation told a committee of MSPs.

 In his opening statement, Tony Hall said that, in the light of increased devolution to the nations of the UK, it was "time to make changes". 

He said the review of the delivery of news on TV, radio and online would report in the spring. 

Image source, bbc

Lord Hall said: "The BBC's principle has been neither to lead nor to lag in devolution. But now is the right time to say are we getting it right and do we need to change the balance? "My own view is that this is the time now to make a change. 

"So, we are looking at a review of news which will report in the spring - this is looking at the provision news across TV, radio and also online and of course in that there will be a debate about what has become known as the 'Scottish Six O'Clock news'. 

Scottish Conservative MSP Liz Smith says her party will back the government's motion in this debate.

Ms Smith welcomes the positive engagement of the BBC and the recognition that the current governance of the BBC is not fit for purpose.

She says the BBC must emerge able to maintain the high quality of its programmes. 

The Tory MSP calls for greater transparency.

Conservative MSP Liz Smith uses her amendment to highlight that the BBC‟s independence from governments and politicians must not be undermined. 

Culture Secretary Fiona Hyslop called for the creation of a federal BBC that would give full powers over commissioning and decision-making to BBC Scotland. 

Broadcasting is reserved to Westminster but the BBC has acknowledged that Holyrood has a formal role in scrutinising the work of the corporation. 

She told MSPs: "I want to be clear it is not about some desire to control the BBC and to dictate what kind of services are delivered, this is about ensuring the BBC's long term future in a way that benefits both the BBC and which benefits Scotland."

The Labour MSP says the charter review is not about advancing the views of the Scottish government.

Ms Baker says the call for a federal structure does not command support and she does not believe the majority of licence fee payers want this radical change. 

Ms Baker points out that Reporting Scotland and Good Morning Scotland's figures are improving.

However she welcomes the review of news announced by Tony Hall. 

Labour MSP Claire Baker uses her amendment to welcome the emerging consensus for more decentralised decision making for the BBC.

Ms Baker urges the Scottish Government to reflect the Parliament‟s views fully in its ongoing discussions with the UK Government in the development of its white paper on BBC charter renewal. 

Ms Baker says a common theme has emerged from the charter process that the BBC is "too London centric".

Labour MSP Claire Baker says this is a crucial charter for the corporation.

Ms Baker says this is a good opportunity to secure a good deal for BBC Scotland and production in Scotland.

She says this charter takes place in a challenging fiscal context for the BBC.

The Labour MSP says the "BBC faces a decade of declining resources". 

Ms Hyslop highlights the Scottish government's recent policy paper informing the ongoing development of the BBC charter and welcomes the emerging consensus for more decentralised decision making for the BBC, 

The culture secretary urges the Scottish government to reflect these views fully in its ongoing discussions with the UK Government in the development of its white paper on BBC charter renewal. 

Ms Hyslop says this is a great opportunity for Scotland and changes to the delivery of news would be welcome, but that does not require charter renewal. 

The minister says she is pleased the BBC in Scotland is working to make itself more relevant and representative

She stresses her unerring support for a strong BBC and one that can produce better outcomes for Scotland. 

Ms Hyslop says a service licence for Scotland would be welcome.

The culture secretary says this would require sufficient funds up front for BBC Scotland. 

She says budgets should be allocated in advance.

The minister says her proposal would not require new money.