Latest news with #licenceFee
Daily Mail
3 days ago
- Business
- Daily Mail
BBC Director General Tim Davie pushes for higher licence fee - weeks after it rose to £174.50
BBC boss Tim Davie has suggested the licence fee should be hiked - just weeks after it rose to a new high of £174.50. The Director General has pushed for the Government - including Culture Secretary Lisa Nandy - to give extra backing to the corporation for its services, as he complained about a decade of 'grinding' cuts. His words came after a series of controversies surrounding the BBC which is financed by the licence fee anyone in Britain owning a television must pay. Mr Davie, 58, who took the top BBC job in September 2020, has been in post for a period which has included the conviction of BBC1 newsreader Huw Edwards over child sexual abuse images. He spoke last month at a conference amid criticism for Gary Lineker, who was the BBC's highest paid presenter on £1.3million a year before his departure ahead of schedule. Former England football captain Lineker, 64, presented his last edition of Match Of The Day last month, as previously planned as his BBC contract approached its end. He was earmarked to continue with the corporation next season fronting coverage of both the FA Cup and the 2026 World Cup. But his time with the BBC instead finished following widespread condemnation for his sharing on Instagram of a pro-Palestine video that included a rat emoji. That prompted criticisms that he had shared what was an anti-Semitic trope about Jewish people previously widely promoted by Nazi Germany. Lineker apologised for the post, which he deleted, saying he had not spotted the emoji and that he would 'never knowingly share anything anti-Semitic', adding: 'It goes against everything I believe in.' Days before Lineker's departure was announced, Davie told reporters at the Lowry arts centre in Salford: 'The BBC's reputation is held by everyone and when someone makes a mistake, it costs us. 'And I think we absolutely need people to be the exemplars of BBC values and follow our social media policies, simple as that.' He has now been speaking about about future BBC funding, appearing to give a signal over the licence fee which contributes to two thirds of the BBC's income. The annual charge was recently raised to £174.50, having garnered the BBC about £3.7billion last year and will rise in line with inflation to 2027. But Mr Davie has now called for more financial support from the Government, as he carped against funding cuts in recent years - amid a series of BBC News job losses. The BBC Director General was speaking at the Deloitte and Enders Media and Telecoms conference in central London. What is the annual TV licence fee and who needs to pay it? The licence fee was introduced in June 1946, when television broadcasts resumed following the Second World War. If you watch or record broadcasted TV programmes, you must have a TV licence either through purchase or given free to those receiving pension credit and 75 years or older. All forms of transmission include using the BBC iPlayer on a smart television, laptops and tablets. The annual fee, reported to be worth more than £3billion to the BBC, currently costs £169.50 - but this will rise to £174.50 next April. The cost pays for TV, radio and online programmes and services including iPlayer, Radio 1, CBeebies and the World Service. It also funds Welsh language TV channel S4C and local TV channels. He said: 'I do want universal funding and I want proper investment and not begrudging, grinding cuts to the BBC, which you've had in the last 10 years, which have just not helped. The BBC has said that its licence fee revenue has fallen by 30 per cent in real terms from 2010 to 2020 after various freezes and cuts. And the number of British households paying the licence fee is believed to have slumped by about half a million last year - against a backdrop of rival competition from streaming sites such as Netflix, Disney+ and Amazon Prime Video. Mr Davie told the conference in London of his worries about a 'mainstream weaponisation where people don't care' about the BBC, the Telegraph reported. Culture Secretary Ms Nandy said in April this year the BBC TV licence fee was unenforceable and unfairly targeted women. She told the Telegraph there were 'problems' with the charge and that 'fewer and fewer people are paying it'. She said: 'We're about to kick off the charter review and as part of that we're reviewing the licence fee.' Ms Nandy has previously said she could be open to replacing the flat licence fee with a sliding payment scale after a suggestion by the BBC's new chairman Samir Shah. She has ruled out the licence fee being replaced by general taxation.
The Independent
3 days ago
- Business
- The Independent
BBC boss supports ‘reform' to funding of broadcaster
BBC director-general Tim Davie has said he supports 'reform' in the way the corporation is funded. The Government is set to launch the review of the BBC's Charter, looking at how it should be funded, after committing to increasing the licence fee in line with inflation each year until 2027. In April, there was a rise from £169.50 to £174.50 in the household charge, after years in which the licence fee was first frozen and then increased at a slower rate than the BBC expected, leaving the corporation increasingly cash-strapped amid rising inflation. At the Media and Telecoms 2025 and Beyond Conference, from Enders Analysis and Deloitte, in London on Tuesday, Mr Davie said: 'I want to justify the value that we have. I want that protected. 'I think there is reform (needed) in terms of potential (changes to the) licence fee, how progressive it is, and you'll debate the enforcement question.' He added that he does 'not want the same system' in the future, but said: 'I do want universal funding, and I want a proper investigation of begrudging, grinding cuts that we've seen over the last 10 years, which has just not helped.' Mr Davie also told the event, at Convene Sancroft in the St Paul's area, that he is concerned about the people who 'don't care' about the BBC and are 'disengaged', rather than people who criticise the corporation. He said he wants to 'celebrate the fact that people care', as the BBC features heavily on 'front pages' in the UK. Mr Davie also indicated he was positive about the use of artificial intelligence (AI), before saying the BBC has 'very big ambition around the media supply chain' including the 'need for muscular partnerships with the big American technology companies'. Later, Culture Secretary Lisa Nandy told the event she is 'determined to find a way forward that works for the creative industry and creators' and technology companies after Sir Elton John and Sir Paul McCartney criticised the Government's AI plans. She added that 'there are no easy solutions, but this Government is determined to work with you to find a solution with transparency and trust as its foundation'. 'We are a Labour Government, and the principle that people must be paid for their work is foundational,' the MP for Wigan added. 'And you have our word that if it doesn't work for the creative industries, it will not work for us. People are at the heart of this industry.' She also promised that the BBC Charter review will be launched 'later this year to support a BBC that is empowered to continue to deliver a vital public service funded in a sustainable way'. Ms Nandy said: 'Later this month, we'll publish a creative industries sector plan to turbo-charge the growth of creative industries right across the UK, to support film and TV clusters from Birmingham to Belfast, to tap into the huge potential of the growth that exists across our country.' She also committed to no 'new taxes' or 'levies', after calls for a levy on streaming companies to protect UK broadcasters, and said the Government wants to 'ensure that we have a regulatory framework that incentivises inward investment, that creates opportunities for businesses, both big and small'. In another session at the same conference, Kevin Lygo, managing director of ITV's media and entertainment division, spoke about the need for 'prominence' for the UK's national broadcasters amid their increased competition with streaming companies. He said: 'I think you have to go back to first principles, because all this discussion is based on the programme itself being worth watching. So I think that's the key for major broadcasters is to never lose sight of making them.' Mr Lygo also appeared to confirm that the hit ITV drama Mr Bates Vs The Post Office, which shone a greater spotlight on the Horizon IT scandal, is starting to become a commercial success, following multiple actors, including Toby Jones, saying that they took a pay cut to be on the show. Mr Lygo said it is 'harder and harder to find the budgets', and admitted that at first, it was difficult to explain a series 'about a computer hitch in the British Post Office' to foreign buyers. 'The UK is in this wonderful position when a show really works in the UK, everybody across the world knows about it and wants a piece of it,' he said. 'So, yes, I'm sure, I don't know exactly (the profit) by the production company, but I'm sure they've got their investment back.'
The Independent
3 days ago
- Business
- The Independent
BBC boss wants probe into ‘grinding cuts' at broadcaster
BBC Director-General Tim Davie is advocating for reforming the corporation's funding model, including re-evaluating the licence fee structure. Mr Davie stressed the importance of universal funding for the BBC and called for an investigation into the 'grinding cuts' he said the corporation has faced over the past decade. Culture Secretary Lisa Nandy has announced the upcoming launch of the BBC Charter review to support a sustainably funded public service and a creative industries sector plan to boost growth across the UK. The review follows a Government commitment to increase the licence fee in line with inflation until 2027. In April, the household charge rose from £169.50 to £174.50. Mr Davie also said the BBC has 'very big ambition around the media supply chain' including the 'need for muscular partnerships with the big American technology companies'.
The Independent
3 days ago
- Business
- The Independent
BBC boss backs licence fee ‘reform' to secure funding for the broadcaster
BBC director-general Tim Davie has voiced his support for reforming the corporation's funding model as the Government prepares to review the BBC's Charter. Speaking at the Media and Telecoms 2025 and Beyond Conference in London, the BBC boss highlighted the necessity of ensuring the broadcaster's financial stability. He said: "I want to justify the value that we have. I want that protected', advocating for a re-evaluation of the licence fee structure, including its progressiveness and enforcement. The review follows a government commitment to increase the licence fee in line with inflation until 2027. In April, the household charge rose from £169.50 to £174.50. Mr Davie expressed his desire for a different funding system in the future, emphasising the importance of universal funding. He said: "I do want universal funding, and I want a proper investigation of begrudging, grinding cuts that we've seen over the last 10 years, which has just not helped.' Mr Davie also told the event, at Convene Sancroft in the St Paul's area, that he is concerned about the people who 'don't care' about the BBC and are 'disengaged', rather than people who criticise the corporation. He said he wants to 'celebrate the fact that people care', as the BBC features heavily on 'front pages' in the UK. Mr Davie also indicated he was positive about the use of artificial intelligence (AI), before saying the BBC has 'very big ambition around the media supply chain' including the 'need for muscular partnerships with the big American technology companies'. Later, Culture Secretary Lisa Nandy told the event she is 'determined to find a way forward that works for the creative industry and creators' and technology companies after Sir Elton John and Sir Paul McCartney criticised the Government's AI plans. She added that 'there are no easy solutions, but this Government is determined to work with you to find a solution with transparency and trust as its foundation'. 'We are a Labour Government, and the principle that people must be paid for their work is foundational,' the MP for Wigan added. 'And you have our word that if it doesn't work for the creative industries, it will not work for us. People are at the heart of this industry.' She also promised that the BBC Charter review will be launched 'later this year to support a BBC that is empowered to continue to deliver a vital public service funded in a sustainable way'. Ms Nandy said: 'Later this month, we'll publish a creative industries sector plan to turbo-charge the growth of creative industries right across the UK, to support film and TV clusters from Birmingham to Belfast, to tap into the huge potential of the growth that exists across our country.' In another session at the same conference, Kevin Lygo, managing director of ITV's media and entertainment division, spoke about the need for 'prominence' for the UK's national broadcasters amid their increased competition with streaming companies. He said: 'I think you have to go back to first principles, because all this discussion is based on the programme itself being worth watching. So I think that's the key for major broadcasters is to never lose sight of making them.' Mr Lygo also appeared to confirm that the hit ITV drama Mr Bates Vs The Post Office, which shone a greater spotlight on the Horizon IT scandal, is starting to become a commercial success, following multiple actors, including Toby Jones, saying that they took a pay cut to be on the show. Mr Lygo said it is 'harder and harder to find the budgets', and admitted that at first, it was difficult to explain a series 'about a computer hitch in the British Post Office' to foreign buyers. 'The UK is in this wonderful position when a show really works in the UK, everybody across the world knows about it and wants a piece of it,' he said. 'So, yes, I'm sure, I don't know exactly (the profit) by the production company, but I'm sure they've got their investment back.'
Telegraph
3 days ago
- Business
- Telegraph
BBC director pushes for higher licence fee after ‘grinding cuts'
The BBC director general has called for a higher licence fee after taking aim at a decade of 'grinding' cuts. Tim Davie said he was open to reform of the fee and its enforcement, but made it clear that he wanted more money from the public to enable investment. He said: 'I do want universal funding and I want proper investment and not begrudging, grinding cuts to the BBC, which you've had in the last 10 years, which have just not helped.' The call for investment amounts to a demand for a higher licence fee, which makes up two thirds of the BBC's income. The BBC received around £3.7bn from the fee last year, which currently stands at £174.50. It will rise in line with inflation until the end of the charter period in 2027. However, bosses have warned that previous cuts have left a black hole in the corporation's finances that have forced the BBC to wield the axe on programming and jobs in a scramble to cut £700m in costs. The public service broadcaster said that its income from the licence fee dropped by 30pc in real terms between 2010 and 2020 after a series of freezes and cuts to the levy. Mr Davie's comments come as the BBC is locked in discussions with ministers over the future of the licence fee. The upcoming settlement is viewed as pivotal in deciding the broadcaster's future as it struggles to compete with new US streaming services and faces calls for the licence fee to be scrapped. The BBC's declining income has been compounded by a fall in viewer numbers as audiences increasingly ditch the broadcaster in favour of rivals such as Netflix and Disney. The number of UK households paying the licence fee dropped by roughly half a million last year, with younger viewers in particular turning their backs on the broadcaster. The crisis has fuelled calls for the licence fee to be replaced with a different system such as a subscription service. Speaking at the Deloitte and Enders Media and Telecoms conference in London, Mr Davie said his major concern was a 'mainstream weaponisation where people don't care' about the BBC. He said the broadcaster would be wrong to 'assume' that the public cared about its future and had to prove its worth to the country. He defended the BBC by saying it was not just a vehicle for programming but also 'venture capital for the UK', pointing to its ability to drive investment in cities such as Birmingham and Manchester. Lisa Nandy, the Culture Secretary, has previously branded the licence fee as 'unenforceable' and ruled out funding the BBC through general taxation. Speaking in London on Tuesday, Ms Nandy said the Government wanted to 'support a BBC that is empowered to continue to deliver a vital public service, funded in a sustainable way'.
