You are not missing anything except "journalists" exposed as the agenda driven pontificators that they are.
Before Kelly's death the government was standing by their intelligence reports and the BBC in particular was accusing them of hyping the intelligence to sell the war to the people of Great Britain. Just like President Bush is being falsely accused of the same thing using the uranium reference in his SOTU speech. So, when Parliament actually investigates the reporting and Dr. Kelly is exposed as the source and then turns up dead, the media didn't miss a beat. The trajectory they were on is "Blair's in trouble!", so they kept up that talking point. Reality is overcoming fiction briskly and the BBC is clearly becoming the agency that is on the ropes, as they should be, but old habits die hard, so the reporters can't help but insert references to the "crisis in goverment" and so on.
That's the state of the leftist media these days: just keep screaming their firmly held biased views and hope that the public doesn't question their motives.