The UK government is considering changes to the TV licence fee, impacting streaming services like Netflix and Disney+
London: The UK government is looking at new ways to expand the TV licence fee. They want to secure the BBC’s future. This could mean charging for non-live viewing, affecting people who stream on services like Netflix and Disney+.
Right now, the TV licence fee is £169.50. It will go up to £174.50 in April 2024. This increase follows a two-year freeze at £159.
Other ideas include letting the BBC use ads, creating a separate fee for streaming, or charging BBC Radio listeners. These options are being discussed, according to sources.
Culture Secretary Lisa Nandy has acknowledged the BBC’s funding issues. She mentioned that streaming services and changing viewing habits are real challenges for the broadcaster.
The BBC has seen a drop in licence fee income of over 30% recently. The freeze on the fee means they have less money than expected.
To save money, the BBC is cutting costs. They aim to save £700 million a year. Recently, they announced 155 job losses in their news service to save £24 million.
Ms. Nandy is committed to keeping the licence fee until at least 2027. A review of the BBC’s Royal Charter is due then, which will include public consultation.
This means any changes to the licence fee are unlikely until after the review. They will also be subject to public scrutiny.
What is the TV licence fee?
The TV licence is a legal permit needed to watch or record live TV. If you watch or record broadcasted programmes, you must have a licence. Some people get it for free if they receive pension credit and are over 75.
All types of transmission require a licence, including using BBC iPlayer on smart TVs, laptops, and tablets. Even streaming live sports needs a licence.
The licence fee funds TV, radio, and online services, including iPlayer, Radio 1, CBeebies, and the World Service. It also supports Welsh language TV and local channels.
The licence fee started in June 1946, after World War II. It now brings in over £3 billion for the BBC.
A BBC spokesperson said they want everyone to get value from the BBC. They are focused on delivering trusted news and great storytelling.
They plan to launch a big public engagement exercise this year. This will help audiences shape what they want from the BBC in the future.
