BBC strikes deal to show clips on YouTube - complete with adverts

The BBC has admitted it will rake in millions of pounds from advertising after striking a controversial deal to show TV clips on the website YouTube.

The corporation, which already receives £3billion a year from the licence fee, has agreed to show clips of its most popular shows on the video-sharing site.

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But six-minute excerpts of favourites such as Spooks, The Catherine Tate Show and Top Gear will carry adverts.

Critics fear the deal could put the BBC's independence at risk. They also raised concerns that the corporation is being "privatised by the back door".

MPs also said they were 'extremely concerned' about the deal as it had been struck without consulting the BBC Trust, the body that oversees the running of the corporation.

Don Foster, the Liberal Democrat culture spokesman, said the BBC was forced to take "inappropriate" advertising revenue because of the Government's "inadequate" below-inflation licence fee settlement earlier this year.

He added: "If the BBC wants to attract the most revenue from advertising, it may well reduce the number of hard-hitting programmes that do not attract so many visitors.

"Alternatively, if it takes advertising revenue from the banks, it may pull its punches on a bad news story about bank charges."

Hugo Swire, the Conservative's culture spokesman, said the ability of the BBC to generate advertising revenue could "undermine" the principle of the licence fee and "called into question the basis of the funding settlement".

Chris Khouri, an expert from independent media analyst Datamonitor, said: "The move adds weight to the argument that the BBC is moving away from its position as a publicly funded broadcaster and becoming a more commercially focused organisation."

Under the deal with YouTube, which has a monthly audience of more than 70 million viewers, the BBC will host three new "channels".

One, BBC, will be a "public service" channel showing trailers and short features, such as actor David Tennant showing viewers around the Dr Who set. This will not have adverts.

A second, BBC News, will show 30 news clips a day. Because it is funded by advertising it will not be available to viewers in the UK.

But the third, BBC Worldwide, will show sketches from entertainment shows which can be seen in Britain and carry banner adverts and commercials.

YouTube, which is owned by Google, will sell the advertising and split the revenue with the BBC. Corporation chiefs refused to discuss the terms of the deal, citing commercial sensitivity.

But David Moody, director of strategy for BBC Worldwide, said it will "take into account taste, decency and editorial policy" when approving advertising.