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MPs Warn BBC Under Severe Pressure as Report Flags £1.1bn Licence Fee Loss

The Public Accounts Committee urges digital enforcement with clearer commercial plans before charter negotiations.

Overview

  • The PAC says potential lost income reached more than £1.1bn in 2024–25, including a 12.5% evasion rate worth about £550m and 3.6 million households declaring no need for a licence worth about £617m.
  • Enforcement intensified to roughly 2 million home visits, a 50% rise year on year, yet prosecutions fell 17% and the BBC reports people are increasingly not answering the door.
  • MPs recommend modernising collection for online viewing, moving faster to digital licences and direct customer engagement, and improving transparency on commercial investments and returns.
  • The committee warns the mission to serve all audiences is at risk, noting only about 51% of younger people feel represented as a digital‑first push risks excluding older or less connected audiences, with added concerns over regional service changes.
  • The BBC says the licence fee needs reform and it is exploring funding options that preserve universality, with the findings landing after Sir Tim Davie’s resignation and ahead of charter renewal talks.