BBC in a tight spot

The British government on Friday warned of potential action against the BBC, after unprecedented criticism from the royal family about its use of deception to secure a 1995 interview with princess Diana, piling pressure on the corporation as it fights attacks on several fronts. 

Culture Secretary Oliver Dowden, whose brief includes media, said an independent inquiry into the affair highlighted "damning failings at the heart of the BBC", which is publicly funded.

Ministers would now "consider whether further governance reforms at the BBC are needed", as talks approach for renewal of its royal charter covering its running and regulation, he added.

Diana's interview with journalist Martin Bashir was a global scoop, and saw the princess detail her crumbling marriage to heir-to-the-throne Prince Charles, as well as admitting to adultery.

But a retired senior judge on Thursday concluded Bashir had faked documents to falsely claim Diana was being kept tabs on by her closest aides, which persuaded her to take part.

Diana and Charles' eldest son and second-in-line to the throne, Prince William, was scathing in his criticism on Thursday, accusing the BBC of failing his mother and the public -- and worsening his parents' relationship.

William's younger brother Harry also waded in, adding: "The ripple effect of a culture of exploitation and unethical practices ultimately took her life."

The revelations could not have come at a worse time for the BBC, as its annual licence fee funding model comes under ever closer scrutiny. Newer, subscription-based platforms and streaming services have prompted mounting calls for the charge -- currently set at £159 ($226) -- to be scrapped.

The report's findings dominated British newspapers on Friday. Bashir, as quit as religion editor of BBC last week citing ill health.

The BBC's own media editor Amol Rajan on Thursday night said blanket criticism from government ministers to the future king and his brother left the BBC "severely injured, probably scarred".

"For an organisation that exists on the whim of public affection and respect, that is a dreadful place for the BBC to be," he said.