The government is considering scrapping the TV license with a monthly levy charged directly to every broadband bill
In a major update, a proposal for a new internet levy is facing criticism as part of an alternative over a possible replacement for the BBC license fee, with the plan sparking debate over how the BBC could be funded in the future.
According to a recent report, the BBC television license fee could be phased out and succeeded with a £11 monthly charge that will be auto-charged to home internet bills while ministers assess the pitch to fund the public broadcaster.
The plans named the “Home Internet Levy” would mean every home with an internet connection contributes to fund the corporation whether traditional TV is watched or not.
The current £180 annual TV license would be abolished completely with the new fee instead gathered through broadband providers. The proposal stems from a study conducted by the Social Market Foundation-a think tank that has been evaluating the sustainability of the BBC’s funding model.
The report underlines a severe decline in licensing adherence with non-payment climbing from below seven per cent in 2019 to more than 12 per cent in the past year. It further acknowledges that such a universal charge risks disproportionately burdening low-income households though it targets concession framework to protect vulnerable households.
It is pertinent to mention here that the BBC currently generates £3.8 billion annually through the license fee, money that supports core subjects such as EastEnders, Match of the Day and the Proms. Furthermore, the corporation's management has raised consistently red flags that beloved shows and thousands of roles could be cut to fix the crisis.