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…de la Western Mail:

Welsh-language channel S4C could see its funding cut next year, following a fall in the rate of inflation.

The Cardiff-based channel received £96m this year from the Department of Culture Media and Sport (DCMS), although it also generates revenue from other sources, including commercial activity.

The Chancellor’s Budget report last week, showed that the DCMS had identified £3m savings from its funding to S4C next year.

This is based on a forecast that the retail prices index (RPI) measure of inflation, which includes mortgage repayments, will remain unchanged year-on-year when it makes its assessment for S4C funding in 2010 in November...