Daily Mirror (Northern Ireland)
TV licence axe ‘to backfire in bill for £850m’
Credit costs will hit the Treasury
THE Tories’ free TV licence betrayal could backfire after campaigners launched a bid that may see the Treasury spend £850million more in extra support for pensioners than it will save.
From today only those over 75 and receiving Pension Credit will get the free licences, which will leave an estimated 3.7 million OAPS £157.50 out of pocket every year.
The Government thought that forcing the BBC to fund the lifeline would save them £745m a year, but Office for Budget Responsibility figures show the amount of unclaimed pension credits stands at £1.6billion annually.
Charity Age UK is encouraging an estimated 590,000 eligible over-75s to claim the Pension Credit, which is means-tested. If they all do so, it could leave the Government with an annual bill of £850m.
The BBC says keeping licences free for all over-75s would mean closing BBC2, BBC4, the BBC News Channel, BBC Scotland and Radio 5
Live. Caroline Abrahams, of Age UK, said successful claimants “could find themselves £2,000 better off a year”.
Over-75s have been entitled to a free licence since 2000.
The BBC is being forced to restrict the benefit to people on Pension Credit after the Tories broke a 2017 manifesto promise to keep them free.
We reported how pensioners took to the streets outside Number 10 and across the country yesterday to protest the move. A Downing Street spokesman said the BBC “must now look urgently at how it can use its substantial income to deliver for all ages by making efficiencies”.