BBC warned off scrapping free TV licence
THERESA MAY urged the BBC to rethink its plan to scrap free television licences for most over-75s, after it announced that three million pensioners would no longer be eligible for one.
The Prime Minister was “very disappointed”, a spokesman said, after the BBC announced that free licences would be means-tested from June next year, leaving them only available to those who qualify for pension credit.
About 1.5million of the 4.45million households currently receiving free licences will be eligible.
The corporation said maintaining the universal scheme would cost £745million a year and necessitate the closure of BBC Two, BBC Four, the BBC News channel, Radio 5 Live and BBC Scotland, plus local radio stations and other services. The new scheme will cost £250million per year.
The announcement triggered a major clash with the Government, which
passed responsibility for the scheme to the BBC as part of a deal negotiated four years ago. The Prime Minister’s official spokesman said: “We have been clear that we expected the BBC to continue this concession.
“People across the country value television as a way to stay connected and we want the BBC to look again at ways to support older people. Taxpayers want to see the BBC using its substantial licence fee income in an appropriate way to ensure it delivers for UK audiences, which includes showing restraint on salaries for senior staff.”
Lord Hall, the BBC director-general, said it had “not been an easy decision” but the outcome was the fairest one. Writing in The Daily Telegraph today, he said a public consultation on the issue was evenly split between those who wanted to keep the universal licences and those who wanted change.
Age UK said many pensioners lived in poverty but did not claim pension credit because they were unaware of it, were unable to navigate the application process, or were too proud to accept it.
Caroline Abrahams, the charity’s director, said means-testing would leave vulnerable elderly people cut off from the world. She added: “If this scheme goes ahead we are going to see sick and disabled people in their 80s and 90s who are completely dependent on their cherished television for companionship and news, forced to give it up.”
“Means-testing may sound fair but in reality it means at least 650,000 of our poorest pensioners facing a big new annual bill they simply can’t afford, because though eligible for pension credit they don’t actually get it.”
TV Licensing said all over-75s would receive a letter over the course of the next month explaining the new scheme, and a “Pay as you Go” scheme would be set up next year offering fortnightly or monthly payment plans for pensioners whose free licences are revoked.