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Culture Secretary John Whittingdale has said it is “reasonable” to expect Welsh language broadcaster S4C to make the same kind of savings that the BBC will have to find as it takes on the responsibility for providing free TV licences for over-75s.

The move is expected to cost the BBC £650m – the equivalent of around one-fifth of its income.

The culture secretary said: “I am confident that the BBC, which has a good record of achieving efficiency savings, can continue to do so over the coming years.

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"It is the case of course that the taking-on of the cost of providing the free TV licence is being phased-in and will not start until 2018.

“With respect to S4C, I think it is reasonable to expect that S4C should make the same kind of efficiency savings that the Government is looking to the BBC to make.”

'The future funding of Welsh broadcasting is under threat'

S4C Authority chairman Huw Jones said: “S4C is already in the process of achieving projected 36% real terms cut since 2010 and overheads have been reduced to around 4%.

Read more: BBC Wales staff face uncertainty after corporation's 1,000 jobs cut announcement

"We look forward to further dialogue regarding how this context is taken into account when calculating future budgetary allocations.”

Plaid Cymru Westminster leader Jonathan Edwards was alarmed, stating: “The minister’s response confirmed my and many others’ fears that the future funding of Welsh broadcasting is under threat. By my calculations, the BBC could eventually face a cut of nearly 20%.

“A reduction of this magnitude in its disposable budget will inevitably have an impact on its operations in Wales. Due to the way in which S4C is largely funded by the licence fee, this raises concerns that its budget will also face a further significant reduction.

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Call for 'urgent clarity'

“As the only Welsh-language channel in the world, S4C provides an unique and important service which forms an integral part of the creative industries in Wales. Today’s statement will prompt major worries about the future funding of the BBC in Wales and of S4C.

“The Government has dropped a bombshell and broadcasters in Wales deserve urgent clarity on what exactly this means for their future funding prospects.”

Welsh language pressure group Cymdeithas yr Iaith Gymraeg was alarmed by the remarks, stating: “The comments this afternoon are matter of grave concern. Imposing more cuts on S4C is not an option.”

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'Greatly concerned'

Earlier in the day, the group’s chairman, Jamie Bevan, stated in a letter to the culture secretary: “Back in 2010, a decision was made about S4C’s funding without any consultation with the people of Wales or the National Assembly for Wales.

"As you know, the Government’s grant to the channel was cut by 93% and, even taking into account the financial contribution taken from the licence fee, the Welsh channel’s budget has been cut by some 40% over the past five years.

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“We are greatly concerned that Wednesday’s Budget will once again have effects on S4C without any discussions in advance with the people of Wales. We urge you to ensure that there are no changes to S4C’s budget or structures without full consultation.

“S4C is no ordinary channel, but rather a broadcaster established following a mass campaign, with a number of people sacrificing their freedom to ensure it came into being. While the English language media has grown substantially over the last 20 years, Welsh speakers across Britain continue to have to depend on just one television channel.”