Jump directly to the content
LICENSE TO KILL?

BBC TV license fee ‘could be SCRAPPED by end of 2027’ in huge relief for millions of Brits facing price hike next year

Senior couple sitting on a sofa watching television.

THE BBC TV license fee "could be scrapped by the end of 2027" in huge relief for millions of Brits facing its price hike next year.

In plans being considered by the Culture Secretary Lisa Nandy the network will be funded by general taxation instead.

Letter warning about legal action for not having a TV license.
2
The BBC TV license could be scrapped in 2027 in new plansCredit: Getty
Senior couple sitting on a sofa watching television.
2
Programmes would be funded by taxes collected by the GovernmentCredit: Getty

This could mean the annual fee of £174.50, which is due to increase by £5 this April, is scrapped in December 2027.

If Nandy goes ahead with these plans the BBC could become a mutual organisation - a business which is owned and run by its members.

Programmes would be funded by taxes collected by the Government.

Nandy confirmed in a statement in November that a review of the corporation's governing charter is expected to start this year.

Read more on Money

She added that the government would uphold the licence feel until the end of the Charter period, to ensure the BBC was on a "stable financial footing".

As agreed in 2022, the license cost will continue to rise in line with inflation each year until 2027.

She said the review was intended to ensure the broadcaster adapts to the "next generational shift" and is built up for success "long into the future".

The Culture Secretary assured the public however, that the simple payment plan - a scheme to help those with financial struggles to pay for their licence - would be extended.

New legislation is expected to be introduced that could double the number of vulnerable households benefiting from the support to 500,000 by 2027.

The Government benefit is available to pensioners and tops up your income to a minimum level.

BBC News star is caught by viewers fixing her shoes unaware she’s live on air

Over 968,000 people over the age of 75 currently claim pension credit, according to the DWP's latest statistics.

But hundreds of thousands aren't claiming it when they could be, meaning they're missing out on an average £3,500 extra a year.

The government also estimates that a further 760,000 people over 66 aren't pension credit even though they're eligible.

Not only does the benefit top up your income, it comes with a host of added perks too, including a free TV licence for those aged over 75.

Anyone claiming the benefit can apply for the TV licence discount via the TV licencing website or by calling 0300 790 6117.

The annual charge has faced years of scrutiny under the Conservative government, with it being frozen for two years at £159 before it was increased earlier this year.

Do I need a TV licence?

IF you want to watch or record live TV then, yes, you need a licence.

This includes recording it live and watching it later.

Live TV includes all programmes on any channel, including soaps, series, documentaries and even movies.

In addition, the rules apply even if you don't watch the shows on an actual TV - for example, if you watch programmes that are being broadcast live on a PC, laptop, tablet or phone.

A colour TV licence currently costs £169.50 a year. A licence for watching a black and white TV costs £57.

You'll need to apply for a free licence on the TV licensing website or call 0300 790 6117.

It was conceived at a time of "linear viewing" habits, when the population watched TV at the time of broadcast.

However, changes including on-demand TV and other technologies have reportedly challenged the existing model.

A BBC spokesperson in November said: "We welcome confirmation that the licence fee will increase in line with inflation next year.

"We want everyone to get value from the licence fee and we are committed to delivering trusted news, the best homegrown storytelling and those special moments that bring us together.

"We also look forward to the debate about the future and working with the Government to ensure sustainable, long-term public funding.

READ MORE SUN STORIES

"As part of these discussions we will run our biggest ever public engagement exercise in 2025 so that audiences are at the heart of shaping our future."

We have reached out to the BBC and Department for culture for any further comment.

Topics