The Government is not considering general taxation as a replacement for the BBC licence fee, Culture Secretary Lisa Nandy has indicated. The BBC licence fee, which the Government has committed to increasing in line with inflation each year until 2027, is to rise to £174.50 in April.
The broadcaster has been cash-strapped in recent years following the licence fee being frozen for two years at £159 – before it was increased at a lower rate than the corporation expected, and rising inflation. The last rise in the household payment, which funds much of the BBC’s operations, saw a £10.50 increase, which brought the charge to £169.
50 in April 2024. Ms Nandy told BBC Breakfast that the licence fee was “not only insufficient, it’s raising insufficient money to support the BBC, but it also is deeply regressive”. “We’ve seen far too many women prosecuted over recent years for being unable to pay it, and it’s a flat fee that means that poorer people pay proportionately more than anybody else,” she also said.
“I think that doesn’t help the BBC, it doesn’t help the Government, and it doesn’t help people in this country.” She also said there were a “whole range of alternatives” ministers were considering, but added: “We haven’t committed to any of them.” The Government will use a review of the BBC’s Royal Charter, which will include a public consultation, to consider funding options to support the broadcaster’s long-term future.
Ms Nandy said s.