Every UK household who’s paid for BBC TV Licence set to be handed £174 cash boost

The BBC TV licence fee could be SCRAPPED by the end of 2027 in a huge relief for millions of UK households facing a price hike next year. Every UK household could see their £169 TV Licence axed from 2027, after a price rise in April 2025.

In plans being considered by the Labour Party minister and Culture Secretary Lisa Nandy, the BBC will be funded by general taxation instead. It could mean the annual fee of £174.50, which is due to increase by £5 this April, is scrapped in December 2027.

A BBC spokesperson said: “We want everyone to get value from the BBC, which is why we’re focused on delivering what audiences want from us – trusted news, the best homegrown storytelling and the moments that bring us together.

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“The public cares about the BBC and later this year, we will launch our biggest ever public engagement exercise so audiences can help drive and shape what they want from a universal and independent BBC in the future. We look forward to engaging with government on the next Charter.”

Last year, Ms Nandy promised there would be ‘an honest national conversation about the broadcaster’s long-term future’. However, last night, Whitehall sources suggested that she had already thought that the licence fee had to go although final decisions had yet to be reached.

One source told the Sunday Times : “Lisa does not believe that the licence fee is financially sustainable But she believes that our national broadcaster should be owned by the nation. The money would go in from taxes but citizens would own it and be involved in decisions about its strategic direction.”

The Government’s review of the Corporation’s governing charter is due to start this year although Ms Nandy and BBC director-general Tim Davie are said to have held ‘embryonic talks’ in December.

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