Millions face losing free TV licences as BBC may hike age threshold by five years
MILLIONS of pensioners could have their free TV licences taken away as the BBC considers increasing the age threshold for eligibility.
The move is one of six options being looked at by the Beeb after the Government said it would no longer foot the bill for concessionary licences, a report has revealed.
At the moment, anyone aged over 75 can receive a free TV licence, with the Department of Work and Pensions covering the cost.
But a change to the rules in 2020 could see pensioners forced to fork out £150.50 a year as bosses mull over the idea of increasing the age threshold to 80.
The BBC is expected to lose out on more than £725 million in revenue when it takes on the full cost of providing the concession for elderly viewers.
Options listed in the Frontier Economics report include not changing the current concession, replacing it with a 50% discount for over-75s, increasing the threshold to either 77 or 80, or introducing a form of means testing.
The options considered
- Allowing the concession to lapse without replacement
- Increasing the age threshold from 75 to 77, in line with increases in life expectancy since 2000
- Increasing the age threshold from 75 to 80, in line with other parts of the benefits system for older people
- Retaining a universal concession for over-75s at 50% of the licence fee value, in line with the current concession for those with severe visual impairments
- Means-testing the concession by linking eligibility to receipt of Pension Credit for over-75s
- Means-testing the concession but extending eligibility to all those over State Pension Age in receipt of Pension Credit
The report said: "Individuals aged over 80 are more likely to live alone (49%) than individuals aged 75 and above (41%).
"Therefore, this variant could help to target the concession on those who are most reliant on television for companionship."
The BBC said it will launch a public consultation on the future concession.
A spokesman said: "We are grateful to Frontier Economics for their full report. It is clearly the result of careful study and analysis.
"It will help inform the BBC's consultation on the future of the over-75s concession once government stops funding it in 2020.
"There are important issues to consider and we will do nothing without consulting with the public."
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