The brigades are out, but most people in the UK have a high level of trust in the BBC (https://yougov.co.uk/politics/articles/45744-which-media-out...). This whole incident is a storm in a teacup; yes the program was edited badly, but it is a single incident. It is ridiculous that the DG and News CEO have resigned.
Specific to this politician, right and wrong don’t matter. The one skill he’s sharpened his entire life is bad faith litigation. Once he threatened to sue, BBC needed some gesture that, in court, would demonstrate contrition.