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Millions of people over the age of 75 will soon have to pay for their TV licence under plans announced today by the BBC.
The BBC is changing its policy on free licences for people aged over 75. The blanket free licences are being scrapped from June 2020.
Instead, a free licence will only be available where there is at least one person in a household who receives Pension Credit.
From June 2020, around 3.7 million households which had received a free licence will now have to pay for one.
The move has faced a backlash after suggestions such action could be taken had previously been criticised.
It was “not an easy decision”, according to BBC director-general Tony Hall.
“Whilst we know that pensioner incomes have improved since 2000, we also know that for some the TV licence is a lot of money,” he said.
“I believe we have reached the fairest judgment after weighing up all the different arguments.
“It would not be right simply to abolish all free licences. Equally, it would not be right to maintain it in perpetuity given the very profound impact that would have on many BBC services.”
Prime Minister Theresa May has said she is “very disappointed” with the decision and urged the BBC to look again.
It is thought 1.5 million households will be eligible for the free licence under the new scheme.
This will cost the BBC around £250 million by 2021/22 depending on the take-up.
Licence fees have been being reviewed by the BBC, with the full cost of concession due to be passed to the corporation from government in June 2020.
Mr Hall added that the action taken was what he saw as the “fairest” possible.
He said:”This decision is fairest for the poorest pensioners. Around 1.5 million households could get free TV licences if someone is over 75 and receives Pension Credit. It protects those most in need.
“And importantly, it is not the BBC making that judgment about poverty; it is the Government who sets and controls that measure.
“It is fairest for all audiences – of all generations, old and young – who we know value the BBC and the programmes and services we provide. It means these services can continue.”
Chairman of the BBC Sir David Clementi echoed this view.
He said: “Linking a free licence for over-75s to Pension Credit was the leading reform option. It protects the poorest over-75s, while protecting the services that they, and all audiences, love.
“It is the fairest and best outcome. It is one we can implement and endorse. This is an outcome that is the fairest possible in difficult circumstances.”
Pensioners had protested at the possibility of the concession being scrapped, meanwhile concerns were raised by some MPs over removing the free licence.
It has been argued the elderly are more likely to watch BBC programmes, while campaigners have also claimed that many older people in the UK struggle financially, and would find it difficult to pay the full fee.
Tracy Brabin MP tweeted: “I campaigned against this so disappointed @BBC have taken this decision especially when loneliness can have such an impact on elderly. This is an extra tax on older folk who might not have the cash to pay it”.
Caroline Abrahams, charity director of Age UK, said some elderly people would be “forced to give it up”.
She said: “Make no mistake, if this scheme goes ahead we are going to see sick and disabled people in their eighties and nineties who are completely dependent on their cherished TV for companionship and news, forced to give it up.”
