DR’s TV channels will be reduced from 6 to 3 and jobs by nearly 400 as a result of the 20 percent cut on the Danish pubcaster’s budget imposed by the government for 2019-2023. 

The drastic changes within the Danish media organisation will take effect from January 2019, when the new public service contract will be implemented.

Details of the new streamlined Danish media group were unveiled on Tuesday, by the Danish Culture Ministry and DR, and follow up on the government’ wider Media Agreement announced end of June.

DR’s budget cuts of 20 percent will contribute to 375-400 job losses, including 25 senior positions, and a reduction in funding of DKK 773 million in total, or DKK 420 million per year until 2023.

Commenting on DR’s new five-year plan until 2023, the group’s General Director Maria Rørbye Rønn said: “A political decision has been made to reduce DR’s economy by 20 percent. It will be hard, but we have assumed the effort. At the same time, we have the ambition to develop DR as best as possible for future generations within the new political and economic framework. We therefore present a revised media portfolio, where we reduce the number of traditional channels on television and radio. This comes as a result of the necessary savings and to ensure that DR can push even harder on the digital conversion. On the content level, we will bet even more on our strong competences. These are all relatively drastic changes, but I believe that these are the right ones.”

Some of the key points of DR’s new public service contract are the following:

Less channels-more digital - The number of channels will be reduced from six to three by 2020, which means that the current main channel DR1 will remain, as well as the children’s channel DR Ramasjang.

A new DR 2 dedicated to culture and societal issues, will rise from the merger of the existing DR2 and the cultural channel DR K. Meanwhile DR3 (innovative programmes for 15-39) and DR Ultra (kids 7-12) will be available only online by 2020.

Core PSB content – Danish centric DR will be transformed from a broad media organisation to a streamlined and more focused cultural institution, which will prioritise news, general information, culture, children and youth programmes (with a focus on local content), education as well as regional coverage. Sports, entertainment, lifestyle and foreign fiction therefore will be reduced, while DR’s own drama output, entertainment for small children, documentaries, choirs and orchestra will not be affected by the cuts.

Focus on kids & youth - DR must offer a greater range of innovative content on relevant platforms where young people are.

DR Drama - DR’s obligations regarding the broadcasting of Danish TV drama will be maintained, with an average of 20 hours minimum a year of newly produced Danish TV drama (including a focus on kids drama), made available both on linear and digital TV.  Danish film During the contract period, DR must commit to its obligations to support Danish shorts, documentaries and feature films from independent producers, with an average of 14 feature films, 23 shorts and documentaries produced each year.

Increased external collaboration and outsourcing - DR must outsource production to the external market for a total value of DKK 2,354 million during the contract period and strengthen the cooperation with right-holders and distributors of DR content.

Meanwhile DR’s current financing through the licence fee will be gradually transformed into a tax financing system.