UK TV Broadcasting – Is the Licence Fee an Anachronism or an Essential ?
The short answer to this question is that, for the BBC at least, it’s both an anachronism and an essential…. The licence fee was originally introduced to fund public broadcasting way back in the 1940s after the enforced break in transmissions caused by WW2. It worked reasonably well while the number of channels was small, TV broadcasting was still analogue, and radio retained a significant audience share. While still reasonably priced, it was probably a fair way of funding public broadcasting. Since the dawn of digital TV in the early 2000s, with its plethora of new commercial channels, the BBC’s ‘market share’ of viewer attention has steadily dwindled, while the licence fee has risen nearly 20-fold, from the princely sum of £10 p.a. for a colour licence in 1968 to the current £180 in 2026.It has fought back to an extent, with introductions of new channels, both on TV an radio, but as we'll see later, these have added to its cost burden considerably. Unsurprisingly perh...