BBC contract 'saves £20m a year'

The BBC has outsourced many aspects of its operations

The BBC is outsourcing some of its accounting and financing services to India in a move that will save it £20m a year for the next decade.

The contract, which includes managing payroll and financial management, has been won by Xansa.

It will provide customer support services from the UK, but other roles from its Madras (Chennai) offices.

Savings will go towards the BBC's target of releasing £355m of savings to invest in programmes and services.

"The BBC is taking advantage of the significant savings of globalisation while maintaining the benefits of more local customer support," the corporation said.

The contract was previously held by another private organisation, Medas.