This is the latest on the BBC licence fee, confirming that its continuation is time limited, but that there may be a temporary reprieve. I think, however, this depends on what shape the next Government takes.
Although there are potentially different solutions to the replacement of the licence fee, I do believe that the preferred answer is likely to lie in a subscription based offer. Further savings would result from reducing or abolishing broadcast TV, in favour of VOD and streaming.
Interestingly, they are suggesting a possible levy payable by everyone to entitle them to receive any broadcast rather than a subscription. This will not satisfy those who resent paying the licence fee, which is why I think a Government of a certain complexion won't like that idea.
I know that withdrawing broadcast TV won't please everyone, but I am pretty sure this is the way we are going. The only question for me is how long it will take to get there. Notice that the Committee is talking also about a 10 year period, which I think is do-able if extended to withdrawing broadcast TV. However, my guess is that a 20 year period is more likely politically, given the need to win the public over.
http://www.bbc.co.uk/news/entertainment-arts-31623659
No long-term future for BBC licence fee, MPs say
The TV licence does not have a long-term future and is likely to be replaced by a new levy within the next 15 years, a group of MPs has said.
The fee is "becoming harder and harder to justify" given changes in the media, according to the House of Commons Culture, Media and Sport Committee.
The MPs suggested every household could pay a new compulsory levy instead.
The BBC said it agreed the licence fee needed to be modernised.
The select committee's proposals were made in a new report about the future of the BBC.
Catch-up changes
Committee chairman John Whittingdale said: "In the short term, there appears to be no realistic alternative to the licence fee, but that model is becoming harder and harder to justify and sustain."
In light of changing technology and audience habits, the committee said "we do not see a long-term future for the licence fee in its current form".
Any "profound changes" - such as abolishing the licence fee - should not be rushed, the report said. But it did say the BBC "must prepare for the possibility of a change in the 2020s.
"We recommend that as a minimum the licence fee must be amended to cover catch-up television as soon as possible."
It should also no longer be a criminal offence to avoid paying the licence fee, the report said.
The planned BBC One +1 channel does not represent "public service value", the committee said.
The licence fee currently costs £145.50 per year for every household where people watch or record live TV.
A TV licence is not required to watch catch-up TV, using services such as the BBC iPlayer.
One option to replace the licence fee would be to make some BBC services available by subscription.
But the committee said choosing which programmes remained available subscription-free would require careful thought.
The best alternative to the licence fee, the report concluded, would be a compulsory broadcasting levy paid by all households, regardless of whether they watch TV, or how they watch.
The BBC's director of strategy James Purnell, said it was "a very serious and important report".
He said: "They are saying the licence fee should continue for the next years and think the BBC should continue for the next 10 years when its comes up for charter renewal after the election.
"We actually agree with them that the licence fee should be modernised. We have said this should extend to catch-up services, when people are watching catch-up for example on their tablets.
"They have come up with a more radical solution with a broadcast levy where every household would pay."
Such a system was introduced in Germany in 2013 and would do away with the need to detect and prosecute those who avoid buying a TV licence, the committee said.