Prime Minister Rishi Sunak has said the BBC must make further cuts and cannot expect a major increase to the licence fee, ahead of a review of how much viewers pay.
For the past two years, the licence fee has been frozen at the price of £159 but it was previously agreed it would rise in line with inflation after April 2024.
In recent weeks, the national broadcaster has confirmed its nightly current affairs show Newsnight would be reduced to a 30-minute programme as part of the cost-cutting measures in its news output.
The BBC Two show will continue to air on weeknights as an “interview, debate and discussion show” but more than half of Newsnight‘s 60 jobs will go.
A BBC spokesperson said: “The Government and BBC agreed a six-year licence fee settlement in January 2022, which froze the licence fee for two years with increases in line with inflation from 2024.
“As is usual practice the Government sets and confirms the cost of a licence each year and this remains unconfirmed for 2024/25.
“The BBC will continue to focus on what it does best: working to deliver world-class content and providing great value for all audiences.”
Culture Secretary Lucy Frazer denied that the Government is “ripping up” a licence fee deal with the BBC and said that a decision would be made “very soon”.
When do you need a TV licence?
With many households holding an increasing number of subscriptions with streaming services such as Netflix, Amazon Prime and Channel 4, it can be difficult to know when and if you need a TV licence when catching up on your favourite show.
For several years, the TV licence only applied to live TV – meaning BBC iPlayer was exempt – but this loophole has since been closed.
The reality is that you always need a TV licence if you watch TV or BBC iPlayer.
If you watch or record TV on any channel on any TV service (like Sky, Virgin Media and Freeview), you need a TV licence.
And if you watch live on streaming services (like ITVX, All 4, YouTube and Amazon Prime Video), you also need a TV licence.
This applies to any device, including a TV, computer, laptop, phone, tablet, games console or digital box.
A standard TV licence works out at about 44p a day.
What TV services do not require a TV licence?
Without a licence, you can legally watch:
- Netflix
- YouTube (not live)
- Amazon Prime (not live)
- DVDs/Blurays
- Non-BBC catch-up including ITV Player, Channel 4 on-demand, providing it’s NOT live
But if it was suspected that you were watching live TV or BBC iPlayer, you would need to prove that you are not accessing live TV.
If you cancel your TV licence, you may get a visit from TV Licensing, and if they decide you actually do need a licence, you’ll need to pay the full annual licence fee, plus a possible fine of up to £1,000 on top (this increases to £2,000 in Guernsey).
