STV2 to close

STV has announced it is to close its STV2 channel in June as part of a cost-cutting exercise.
The Scottish broadcaster revealed 25 jobs are to be axed as a result of their restructuring exercise as the firm looks to save £1million per year. A further 34 positions will be scrapped with an additional £1m saved in other changes to its news output. This comes as part of a company restructuring in an attempt to put more emphasis on its online content.

STV will also set aside £15million for other new investments as they shift their focus onto the main channel and the STV Player.

The company said: “Reflecting the challenging economics of local television and anticipated new competition from BBC Scotland, our loss-making STV2 channel will close at the end of June 2018, with content investment shifting to the STV main channel and STV Player.

“This will result in savings of £1m per annum and a headcount reduction of 25.”

Simon Pitts, STV Chief Executive, said: As a result of the challenging economics of local television and anticipate increased competition from BBC Scotland, we have taken the difficult decision to close our loss-making STV2 channel to focus our future content investment on STV and the STV Player.

“I’d like to thank the STV2 team for everything they have achieved over the last 4 years.”
The news comes after the BBC announced its new Scottish channel will launch in February 2019.
STV cited the fresh competition from the news and current affairs-focused project as one of the reasons for its decision.