Insights Government formally starts process to agree level of the television licence fee from 2022


The Government has formally started negotiations to determine how much a TV licence costs, and as a result how much public funding the BBC and S4C will get, for at least five years from April 2022.

The Culture Secretary, Oliver Dowden, has asked the BBC to set out its financial needs in line with its public purposes to inform his assessment of the appropriate level for the licence fee and to make sure it offers the best value for money for licence fee payers.

At the same time, the Government has announced the appointment of a panel of independent professionals from the worlds of broadcasting, production, journalism and technology to advise on the future of the UK’s public service broadcasting (PSB) system (see item above).

The panel will not consider or advise on the TV licence fee settlement process, which the Government expects to conclude by Autumn 2021. The new licence fee settlement will take effect from 01 April 2022.

The Culture Secretary has also written to the BBC asking it to set out how it will maximise its commercial revenues and continue to deliver savings. He has also asked the BBC to include details of any further plans to support those in vulnerable groups, including the elderly. To read the Government’s press release in full, click here.