Culture Secretary Lisa Nandy has defended the BBC as a crisis initiated by an edit of a Donald Trump speech engulfs the corporation.
The organisation apologised on Monday after two of its top figures, including director-general Tim Davie, resigned amid concerns about impartiality - notably the editing of a Panorama documentary from October 2024.
It aired the week before the US presidential election and showed an edited speech made by Mr Trump before the 2021 Capitol riot, in which he appeared to tell supporters he was going to walk there with them to "fight like hell".
Ms Nandy has defended the BBC, saying "some in the House" have suggested the BBC is institutionally biased, but that she disagrees as the BBC is a "light on the hill for people here and across the world".
"All of us in this House should value it, uphold it and fiercely defend it," she added.
The culture secretary said that she has been in "regular contact" with BBC chair Samir Shah, ensuring that where its standards were not met, "firm, swift and transparent action follows".
"I welcome the steps that have already been set out and I will keep the House updated as the BBC leadership grips these issues," she added, saying she agreed with Mr Shah that the national broadcaster has a responsibility to "uphold the highest standards".
Ms Nandy said a review of the BBC's Royal Charter will begin "imminently" and a public consultation will be launched, with more details in the "coming weeks".
Meanwhile, Mr Trump threatened to sue the BBC for $1bn, and a letter dated 9 November from Florida lawyer Alejandro Brito outlines three demands upon the organisation to avoid being sued, with a deadline of 10pm UK time on Friday to respond.
He demanded that the BBC issue a "full and fair retraction" of the documentary, apologise immediately, and "appropriately compensate" Mr Trump.
Shadow culture secretary Nigel Huddleston has demanded an apology from the BBC to Trump and to the British public.
He told the House of Commons on Tuesday that the corporation is "in a sorry mess... of its own making" and "needs saving from itself".
Mr Huddleston stressed that his party wants the BBC to succeed and praises its successes, but emphasised that this "requires institutional change and far more than a few moves at the top".
The problems of the corporation relate to its failure to honour its charter obligation to impartiality, he said.
In an all-staff call on Tuesday morning, the outgoing BBC director-general Mr Davie said the corporation had "made some mistakes that have cost us" but added he was "proud" and that the organisation needed to "fight" for its journalism.
He also admitted: "I think we did make a mistake, and there was an editorial breach, and I think some responsibility had to be taken."
Mr Davie, who has worked for the BBC for 20 years and been in charge for the past five, is not stepping down immediately.
He said in his departure note to staff that he is "working through exact timings with the board to allow for an orderly transition to a successor over the coming months".
There are several potential candidates who could replace him and take on the highest-profile role in British broadcasting, which effectively serves as both the corporation's chief executive and its editor-in-chief across television, radio and online.
In a Q&A with Mr Davie after the all-staff call, staff were frustrated by having their questions vetted, Sky News arts and entertainment correspondent Katie Spencer reports.
Some of the questions were about the controversial appointment of Sir Robbie Gibb, the former Tory director of communications for prime minister Theresa May, to the BBC board.
But when these questions were getting through the vetting process, staff tried to ask questions in the reply boxes, which were public.
The anonymous comments included questions like "How can we claim to be unbiased if Gibb is on the board?" and "Why is Robbie Gibb still on the board?".
Read more:
The man behind the leaked BBC memo
Trump's legal threat letter in full
Who is Sir Robbie Gibb and why are there calls to get him off BBC board?
"I find Robbie Gibb's continued presence at the BBC to be incredibly demoralising. It feels as if he is fighting against and undermining the work we're trying to do," another comment read.
The leaders of the Lib Dems and SNP have both called for Sir Robbie's removal.
But Ms Nandy told the Commons that the government is "unable" to remove Sir Robbie, as "the charter sets a strict legal threshold that must be met before dismissal of a board member".
(c) Sky News 2025: Culture secretary defends BBC - after leak reveals staff's anger at Tory-linked board member
Sally Kirkland, famous for her Oscar-nominated roles in The Sting and Anna, dies aged 84
Author Dame Jilly Cooper died after fall at home, inquest finds
BBC staff seemed fed up of Tim Davie's 'nothing to see' approach