Overview

• Culture Secretary Lisa Nandy has called the current BBC licence fee system unenforceable and unfair, particularly to vulnerable women targeted in enforcement actions.
• The government is initiating a Royal Charter review process to explore alternative funding models, including a sliding payment scale, while ruling out general taxation.
• An inflation-linked licence fee increase to £174.50 is scheduled for next month, part of a government commitment to annual adjustments through 2027.
• The BBC launched its largest-ever public engagement exercise in March to gather input on its future role and funding structure.
• Declining licence fee compliance, with evasion rates estimated at 11%, and evolving media consumption trends are increasing pressure on the BBC’s funding model.