{"id":29788,"date":"2022-01-17T12:41:14","date_gmt":"2022-01-17T12:41:14","guid":{"rendered":"https:\/\/www.ispreview.co.uk\/?p=29788"},"modified":"2022-01-17T12:47:30","modified_gmt":"2022-01-17T12:47:30","slug":"end-of-bbc-tv-licence-fee-raises-prospect-of-broadband-tax-again","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2022\/01\/end-of-bbc-tv-licence-fee-raises-prospect-of-broadband-tax-again.html","title":{"rendered":"End of BBC TV Licence Fee Raises Prospect of Broadband Tax Again"},"content":{"rendered":"<p>Reports over the weekend appear to have all but confirmed that the UK Government will end the existing <a href=\"https:\/\/www.ispreview.co.uk\/index.php\/link\/bbc\" target=\"_blank\">BBC<\/a> TV licence fee from 2027 and replace it with a new funding model, which could include a Netflix style subscription model, government grants, more advertising or possibly a levy or tax on consumer broadband ISP bills etc.<!--more--><\/p>\n<p>At present, a standard TV licence costs <strong>\u00a3159 per year<\/strong>, although last year the Government admitted (<a href=\"https:\/\/www.ispreview.co.uk\/index.php\/2021\/03\/gov-may-scrap-bbc-tv-licence-once-fast-uk-broadband-is-universal.html\">here<\/a> and <a href=\"https:\/\/www.ispreview.co.uk\/index.php\/2021\/03\/poor-broadband-means-uk-gov-stuck-with-bbc-tv-licence-fee.html\">here<\/a>) that it probably couldn&#8217;t change the licence fee model until everybody in the country finally had access to &#8220;<em>faster<\/em>&#8221; broadband connectivity &#8211; hence the <strong>2027<\/strong> date. But the Government recently signalled that gigabit-capable speeds may not reach universal coverage until 2030 (<a href=\"https:\/\/www.ispreview.co.uk\/index.php\/2021\/11\/gov-targets-universal-uk-gigabit-broadband-coverage-for-2030.html\">here<\/a>).<\/p>\n<div class=\"bq2\"><strong>NOTE:<\/strong> You don&#8217;t need 1Gbps for HD or 4K streams, so it depends on how they define &#8220;<em>faster<\/em>&#8220;, as well as any advancements in video compression. At present, 10Mbps (<a href=\"https:\/\/www.ispreview.co.uk\/index.php\/2020\/03\/10mbps-uk-broadband-universal-service-obligation-to-go-live.html\">USO<\/a>) can already handle a couple of HD streams, while you&#8217;d need c.15-30Mbps for 4K, depending upon quality and codec. By 2027 newer codecs will make it possible to compress streams into smaller bitrates.<\/div>\n<p>However, adoption of a Netflix style online subscription model may create other problems too, such as by putting more streaming demand on to broadband networks (they&#8217;d cope, but there might be some performance detriment unless time is allowed for effective planning).<\/p>\n<p>Lest we forget that a few million people (adults) are also unable or unwilling (i.e. via choice, affordability, skills or disability) to use the internet. On top of that, not everybody has an internet-connected TV and others may find it harder to use app-based TV content, particularly those who aren\u2019t as comfortable with technology (pensioners etc.).<\/p>\n<p>Nevertheless, one of the biggest questions of all concerns how any future funding model might work. Back in 2020 the <a href=\"https:\/\/www.ispreview.co.uk\/index.php\/link\/bbc\" target=\"_blank\">BBC<\/a> itself proposed one alternative model, which included a suggestion that the TV Licence fee could be replaced by a levy or tax on consumer broadband bills (<a href=\"https:\/\/www.ispreview.co.uk\/index.php\/2020\/04\/bbc-suggests-broadband-isp-levy-to-replace-uk-tv-licence-fee.html\">here<\/a>).<\/p>\n<p>But adding c.<strong>\u00a313.25 per month<\/strong> or more to the cost of broadband would be tricky to implement (e.g. forcing those who don&#8217;t watch the <a href=\"https:\/\/www.ispreview.co.uk\/index.php\/link\/bbc\" target=\"_blank\">BBC<\/a> to pay) and won&#8217;t attract much support from the electorate (e.g. back in 2020 some 86% of our readers &#8211; from a poll of 3,195 &#8211; objected to the idea), yet last year 69% of respondents to another of poll said they favoured the idea of a subscription model (perhaps on the assumption that it would be optional).<\/p>\n<blockquote class=\"bq1\"><p><strong>John Whittingdale MP said last year:<\/strong><\/p>\n<p>&#8220;Young people are turning more and more to video-on-demand services. That does beg the question about whether or not the licence fee model, which has been based on the fact that everybody used the BBC, can continue.<\/p>\n<p>The rollout of broadband is very fast, we will reach universal coverage, and there will come a time when it would be possible for us to move towards a full subscription service for everybody, but that time has not yet arrived.&#8221;<\/p><\/blockquote>\n<p>Sadly, the BBC itself has, in recent years, become somewhat of a political football for the different parties. The right wing of politics tends to view the corporation as being too left wing, while the left wing tends to see it as being too right wing (this yo-yos as Governments change). On the other hand, politicians have rarely ever enjoyed having their flaws and mistakes aired for all to see, but then the BBC aren\u2019t the only news producer who can do this.<\/p>\n<p>Whatever your position on the BBC &#8211; love or loath them &#8211; the devil will be in the detail, but there&#8217;s unlikely to be an easy solution and so the Government seems set to kick the can down the road by making a decision on the BBC&#8217;s future fate, albeit without setting out how they&#8217;ll solve the funding question.<\/p>\n<p>We may ultimately see a mix of funding solutions (i.e. some from the government, some from a broadband levy and some from advertising etc.) or the BBC could even be abolished, but this might all still become subject to the usual winds of political change. Time will tell.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Reports over the weekend appear to have all but confirmed that the UK Government will end the existing BBC TV licence fee from 2027 and replace it with a new funding model, which could include a Netflix style subscription model, government grants, more advertising or possibly a levy or tax on consumer broadband ISP bills [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":26451,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[1],"tags":[45,42,38,1997,537],"class_list":["post-29788","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uk_isp_news","tag-video-streaming","tag-iptv","tag-politics","tag-uk-gigabit-programme","tag-uso"],"share_on_mastodon":{"url":"","error":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>End of BBC TV Licence Fee Raises Prospect of Broadband Tax Again - 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