Keir Starmer Pledges Strong Support for BBC Licence Fee
The former government disclosed a review into the license fee model which will explore alternative funding options for household payments.
Prime Minister Sir Keir Starmer has affirmed his support for the BBC and its TV license fee.
During the Conservative government’s tenure, the annual fee underwent scrutiny, being frozen at £159 for two years before a smaller-than-expected increase raised it to £169.50 in April.
Additionally, the previous government announced a review of the license fee model, seeking alternative funding sources for the corporation’s operations beyond its current charter period ending in December 2027.
Regarding the future of the household payment, the prime minister stated during his Washington trip: “We’ve committed in our manifesto to obviously the BBC and to the licensing scheme.
“It comes up—I think, from memory—in 2027, so obviously there’s going to be some more thought between now and then.
“But we are committed to the BBC and we are committed to the licensing arrangements.”
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Labour MP Lisa Nandy will lead the review of the license fee after being appointed as the culture sectary.
The terms of reference for the BBC Funding Model Review will involve an expert panel exploring which services of the corporation could be commercialized and how much revenue the broadcaster could generate.
Furthermore, it will investigate the funding arrangements for the BBC World Service and broadcasts in minority languages.
Decisions on the BBC’s future will be made by Labour leaders following the review panel’s report, expected to be released in the autumn.
The party’s manifesto includes a commitment to collaborate with public service broadcasters like the BBC, enhancing culture and arts accessibility, and investing in the creative industry as part of an industrial strategy.
A BBC spokesperson stated: “We remain totally focused on offering value to the public and will engage with the government on funding at the appropriate time.”
BBC director-general Tim Davie has expressed openness to a “more progressive” license fee, with a consultation planned for next year to gather public feedback.
Due to previous fee freezes and inflation, the broadcaster is reassessing its priorities to achieve £500 million in savings. In March, Mr. Davie announced an additional £200 million in necessary savings.
