Michael Grade has ordered a financial investigation

Ernst & Young is to examine the BBC's management of its �3bn licence fee income after being called in by corporation chairman Michael Grade.

The move follows criticism of the corporation's financial controls.

The spotlight will fall on day-to-day running costs and controls rather than long-term budgets, a spokesman said.

Mr Grade said told The Independent he wanted some "outside comfort" that the corporation's fianancial control systems were fit for their purpose.

He said he had heard both general and specific criticisms but none that related to any individual.

He said: "It's not about efficiency. It's about financial controls. It only needs one rogue in any organisation to bring the place into disrepute."

Director general Mark Thompson has already ordered a separate review aimed at increasing efficiency, controlling costs and maximising value for money.

On his first day in the job he warned staff that the BBC is in debt and needs to cut its costs.

A BBC spokeswoman told BBC News Online: "The board of governors is ultimately responsible for the �3bn of public money the BBC receives each year.

"The governors must therefore be confident in the way that the BBC handles this public money."