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BBC Funding Overhaul: £11 Monthly Internet Levy Proposed
24 Sep
Summary
- A new 'Home Internet Levy' could replace the TV licence, costing £11 monthly.
- This could save current licence holders £48 annually but add costs for others.
- The proposals come from the Social Market Foundation think-tank.
Millions of households may soon face an £11 monthly charge on their broadband bills as part of proposed reforms to BBC funding. This 'Home Internet Levy' would substitute the current television licence, costing £132 per year.
For existing licence holders, this change could result in annual savings of £48. However, households that currently do not require a television licence could be subject to this new charge, effectively paying £132 annually even if they do not consume BBC content.
These proposals were put forth by the Social Market Foundation, a think-tank. They are not official government policy at this time. The SMF suggests this levy would be an efficient method to collect funding, though rules would be needed for those without fixed broadband or on social tariffs.
An alternative proposal suggests retaining the licence fee but adding £2.30 per month to broadband bills, increasing the total cost for licence holders to £207.60 annually. This aims to address an estimated £800 million annual shortfall due to declining licence fee payments.
