From April, the BBC Licence Fee is increasing to £174.50 per year.
The fee will rise by £5 from April until 2027, the Government has announced.
The licence fee previously increased by £10.50 last year, after being frozen at £159 for the two years prior.
In a written statement to Parliament, Culture Secretary Lisa Nandy said: “The BBC provides much-needed programming for households across the country, including children’s education, world-class entertainment and trusted news for all people in all parts of the UK. I want to see it thrive for decades to come.
“Through the Charter Review, we will have an honest national conversation about the broadcaster’s long-term future, ensuring the BBC has a sustainable public funding model that supports its vital work but is also fair and responsive to those who pay for it.
“In the short-term, we are providing the BBC with funding certainty while supporting thousands more households facing financial hardship to spread the cost of a TV licence.”
However, you may be able to avoid the cost increase if you are eligible for a free TV Licence.
Am I eligible for a free TV Licence?
Every household in the UK is legally required to have a TV licence in order to watch or record live TV, regardless of what channel it is on.
For those of us aged 75 or over who are in receipt of Pension Credit, the TV Licence can be obtained for free rather than currently costing £169.50.
Guidance from TV Licensing says: “Free TV Licences are only available if you’re 75 or over and you, or your partner living at the same address, are receiving Pension Credit.
“If you think you’re eligible for a free licence but can’t apply online, please call 0300 790 6117* and speak to one of our advisors to request an application form (our lines are open between 8.30am and 6.30pm, from Monday to Friday).
“Once we’ve received your application it may take a few weeks to process. If there are any problems we’ll write to let you know. We may also call you if you have given us your phone number.
“There are separate arrangements in place for over 75s on the Isle of Man, the Bailiwick of Jersey and the Bailiwick of Guernsey.”
How to get TV Licence refund
Even if you are not entitled to a free TV licence, you could be entitled to a refund on the cost of your TV Licence if you do not watch or record live TV, and don’t stream BBC iPlayer either.
You can apply for a refund if you won’t need your licence again before it expires, and you have at least one complete month left on it, due to not watching or recording live TV.
You can apply for a refund on your TV licence here. Refunds are usually processed and issued within 21 days of application.
However, your refund may be delayed if you have to be contacted for more information.
Any refund will be paid by cheque or a BACS transfer directly into your bank account.
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The amount you will be due in a refund will be worked out by TV Licensing, the organisation that issues TV licences.
They explain how they work out the amount you will be due here: “Any refund due is calculated in unused months. You must have at least one complete month left on your licence that you won’t need before it expires.
“So, you could get a refund for between one and 11 months, depending on how long you have left on your licence.
“You won’t be eligible for a refund if there is less than one month between the cancellation date and the expiry date.
“If you haven’t paid for your licence in full, its expiry date may be changed to reflect what you’ve paid.”
When do I need a TV Licence?
You do not need a TV Licence to watch:
- streaming services like Netflix and Disney Plus
- on-demand TV through services like All 4 and Amazon Prime Video
- videos on websites like YouTube
- videos or DVDs
You do need a TV Licence if you:
- watch or record live TV on any channel or service
- use BBC iPlayer
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