Fear poor elderly will end up behind bars
Government in 2020.
An agreement was made that the BBC would pay for the licences or come up with a new way of funding them. Now the Beeb has written to Parliament with alternative suggestions, saying that if it was made to foot the bill the service would be “worse overall for everybody”.
Tory MP Andrew Bridgen said of the note: “This is a begging letter from the BBC pleading poverty.”
The move is currently under consultation, but as far back as May 2018 the issuing of a regular three-year renewal for over 75s was scrapped.
A decision is expected early in the summer but a letter, sent by the corporation to MPs and peers on the All Party Parliamentary Group for the BBC, says the sustainability of the organisation “is already at risk” even without footing the free licences bill.
The BBC insisted it was not trying to influence MPs, saying: “To suggest this is lobbying for one outcome is nonsense – especially since the BBC will make the final decision on this.”
The BBC received £3.8billion last year in licence fees. Since 2015 890,000 more licence fees are being collected at no cost to the BBC, bringnise will stop funding it ing in an extra income of more than £130million per annum.
On Friday, another price rise – the third in three years – was confirmed on the licence fee. The £4 rise means a licence now costs £154.50 a year.
The BBC has also come under scrutiny for the pay of its stars, such as Gary Lineker, who receives £1.75million a year, and Radio 2 Breakfast Show presenter Zoe Ball, who is paid £1.2million a year.
Strictly Come Dancing host Claudia Winkleman earns between £450,000 and £500,000 a year.
The end of the free licence would threaten to criminalise millions of pensioners if they do not start paying the flat rate and could see the elderly sent to prison for non-payment.
Critics said that the move could force lonely pensioners from being able to enjoy their one guaranteed source of companionship by making it too expensive for them.
The move by the corporation has angered many MPs.
Mr Bridgen said: “I managed to get the licence fee decriminalised in the last review but [former Chancellor] George Osborne dropped that in exchange for the BBC to take on the free TV licence for over 75s.
“Now it appears the BBC is breaking the promises it made and extending this most regressive of taxes on to the elderly and vulnerable.
“Already some of the poorest in our society – mostly women – are going to prison because of the aggressive way licence fee compliance is being handled.”
He went on: “Now they want to extend this to the elderly. Are they going to treat them like criminals as well?”
He pointed out that the number of repeats on the BBC is up by 65 per cent and added: “Despite their massive £3.6billion annual budget from the TV tax, it’s clear the BBC are preparing to take an extra £750million a year from the pockets of our oldest citizens.”
In the letter to MPs, the BBC admitted the free licences were introduced in 1946 to “relieve pensioner poverty” and accepted that this “is still an issue for some older people”.
The letter added: “We also recogwhich the significance of BBC programmes and services as an important source of enjoyment and companionship for the elderly.”
However, apparently pushing MPs to back the extension of the licence fee to the elderly, the letter said: “Any age-related concession would mean the BBC would have less money, would mean fewer programmes and services, in effect making the BBC worse overall for everybody.
“Such a cost cannot be absorbed by efficiency: our overheads have already been brought down to levels that lead the industry for efficiency.
“And even if, for example, we paid no presenters more than £150,000 a year, that would save less than £20million.”
The corporation suggests a 50 per cent discount may be too much, costing it an estimated £415million.
The free licence for the over 75s can now only be renewed for a single year at a time – with the “notional” cost of £150.50 printed on it for the first time.
No official announcement was made for the change in renewal terms, although the new arrange-
VALUE FOR MONEY?: From left, top BBC presenters Claudia Winkleman, Gary Lineker and Zoe Ball
ments for the fee are set to be introduced in 2020.
The BBC argues that if it has to shoulder the cost of the free fees – estimated at around £745million in 2021 and reaching £1billion by 2029 – its quality would suffer.
It has suggested alternative funding arrangements, including means testing or raising the age to 80. A spokeswoman for TV Licensing said: “We will be issuing free licences up to June 2020.”
She added: “No free over-75 licences have been renewed beyond the end of the scheme [June 2020].”
A BBC spokesman said: “Government funding for free TV licences for people aged over 75 ends in 2020 and we’re currently consulting on options for the future.
“No decisions on the future have been taken. Licences which are being issued are valid for 12 months.
“We have set out a range of options in our consultation and people still
‘The BBC is pleading poverty’ ‘50,000 pensioners could be pushed below the poverty line if the free TV licence for over 75s goes’ ‘We’ve all worked for this’
have until February 12 to give us their views to help the BBC make the best and fairest decision.”
James Shuttleworth, a former engineer from Great Torrington, Devon, was shocked to find out his usual three-year renewal had been cut to just one year.
He said: “There is a prevailing idea that, ‘You pensioners are getting it too good’, but we’ve all worked for it and saved for it. We deserve it.”
Caroline Abrahams, charity director at Age UK, said the Government should think again about the changes.
She said: “Many older people will be worried by these shorter TV licence renewals.
“They are only happening because the Government passed over responsibility for funding and administering free TV licences to the BBC from 2020 in a private deal and without giving them money to fund it.
“Our most recent research revealed that 50,000 pensioners could be pushed below the poverty line if the free licence for over 75s goes.
“We urge the Government to look at this again and take back responsibility for the funding and administration of free TV licences for over 75s.
“With only days left until the BBC’s consultation ends, we’re also asking older people, their friends, neighbours and family members to respond and also sign Age UK’s Switched Off petition to make sure their voices are heard.”