Keir Starmer makes feelings clear on BBC licence fee as he turns back on ‘Netflix-style’ funding plan

Keir Starmer and BBC office

Keir Starmer makes feelings clear on BBC licence fee

PA/GETTY IMAGES
Christopher Hope

By Christopher Hope


Published: 12/07/2024

- 22:30

Starmer’s Government is responsible for setting the level of the licence fee

Sir Keir Starmer has turned his back on plans mooted by the last Conservative Government for a Netflix-style subscription to replace the BBC licence fee.

A big issue for the BBC has been plans to replace the £169.50-a-year licence fee – which funds the work of the BBC – with a different funding model after 2027.


One idea had been for a Netflix subscription model which could have seen some wealthy licence fee payers charged for more premium content.

However, Starmer made clear he supported the existing licence fee regime. He told reporters including GB News on the sidelines of the Nato summit in Washington DC: “We’ve committed in our manifesto to obviously the BBC and to the licensing scheme.

Keir Starmer

Keir Starmer has made his feelings clear on the BBC licence fee

PA

“It comes up I think from memory in 2027, so obviously there’s going to be some more thought between now and then, but we are committed to the BBC and we are committed to the licensing arrangements.”

The Government is ultimately responsible for setting the level of the licence fee.

It will be in place until 2027-28 and the end of the current BBC charter. On April 1 it will rise by £10.50 to £169.50, the first increase since 2021.

Richard Sharp, the former BBC chairman, made clear last year that he was in favour of a mandatory licence fee, although he was worried it was regressive because those on lower incomes pay the same as wealthier households.

BBC Office

The Government is ultimately responsible for setting the level of the licence fee

Getty Images

He said last summer: “I would be in favour of a form of a mandatory payment – currently the licence fee.

“There is one issue, which is that it’s regressive, which may need to be addressed.”

This meant that households on lower incomes “paid the same price” for their public service broadcasting.

He added: “You can look at models around the world – there’s a broadband tax, there’s household tax and there’s the licence fee.

“Change is disruptive from moving from one mechanism that works to another.”

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