The licence fee
The annual cost of a colour TV licence is £145.50 (as from 1 April 2010). A black and white TV licence is £49.
How the licence fee was spent in 2009/2010
Between 1 April 2009 and 31 March 2010 the cost was £142.50 – the equivalent of £11.88 per month or just under 40p per day.
The BBC used its income from the licence fee to pay for its TV, radio and online services, plus other costs, as shown below.
TV
£7.85 per month per household
Radio
£2.01 per month per household
Online
£0.67 per month per household
Other costs
£1.35 per month per household
About the licence fee
Everyone in the UK who watches or records TV as it is broadcast needs to be covered by a TV licence. This includes TV on computers, mobile phones, DVD/video recorders and other devices.
The Government sets the level of the licence fee. The most recent funding settlement was in January 2007, when the licence fee was agreed for a six-year period, as shown below. The fee has to be approved each year by Parliament. The licence fee for 2012 will be fixed as part of the next funding settlement and the expected maximum is given below.
| Date from | Colour licence | Black and white licence |
|---|---|---|
| 1 April 2007 | £135.50 | £45.50 |
| 1 April 2008 | £139.50 | £47 |
| 1 April 2009 | £142.50 | £48 |
| 1 April 2010 | £145.50 | £49 |
| 1 April 2011 | £148.50 | £50 |
| 1 April 2012 | £151.50 maximum | £51 maximum |
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