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Television Licences: Direct Debits

Asked by Sorcha EastwoodAllianceDepartment for Culture, Media and SportTabled Answered 18 July 2025UIN 67197

The question

To ask the Secretary of State for Culture, Media and Sport, whether her Department has had discussions with the BBC on the rationale for requiring new Direct Debit customers to pay six months of licence fees in advance.

Answered by Stephanie Peacock

Television licences are issued on an annual basis and households can choose a variety of payment plans to spread the cost of the licence, including monthly and quarterly payment plans.

New joiners to TV Licensing’s monthly direct debit scheme pay for their first licence over 6 months. This front-loading of payments is a requirement set out in legislation. After the initial 6 months of joining the scheme, households pay towards their next licence through payments spread over 12 months. This is intended to reduce the BBC’s exposure to unexpected changes in its income that could result from households stopping their fee payments part-way through the year, and which could impact the BBC’s ability to deliver its services for the public.

The Government recognises the financial difficulties faced by some households. This is why we announced a significant extension to the Simple Payment Plan to support more households by enabling them to split up the annual licence fee payment into more manageable fortnightly and monthly instalments. This payment plan does not require front-loading. The changes, which came into effect in February 2025, make a greater number of households eligible for the Plan.

The Secretary of State is a strong supporter of the BBC and has been clear that the BBC must be funded by a model that is sustainable and fair to all those that are paying it. The Government is keeping an open mind about the future of the licence fee, and the forthcoming Charter Review will provide an opportunity for the Government to consider the best possible funding model to set the BBC up for success long into the future.

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