BBC Licence Fee Non-Payment (Decriminalisation for Over-75s) Bill Debate

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Department: Department for Digital, Culture, Media & Sport
John Whittingdale Portrait Sir John Whittingdale
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I would slightly disagree with my right hon. Friend—[Interruption.] The law does not say that someone can be sent to prison for not paying their licence fee. If they are convicted of failing to have a TV licence, they can be fined. Where they then refuse to pay the fine, custodial sentences can, as has happened in some cases, be imposed. Criminalisation is a matter we have debated before, but it is still one of great controversy. We have looked at it on a number of occasions and I am happy to keep it under review.

Let me go back to the issue of the licence fee for the over-75s. As the hon. Member for North West Leicestershire (Andrew Bridgen) suggested, in the 2015 funding settlement the Government agreed that responsibility for the over-75s concession should transfer to the BBC. The Government and the BBC agreed to make that change alongside a number of other elements of the licence fee settlement, such as the closure of the iPlayer loophole, to which I have already referred, and an agreement to increase the licence fee in line with inflation from there on. It was also agreed that the transfer would be phased in over two years so that the BBC had time to adjust to meet the additional cost of maintaining that. It was debated extensively at the time of the passage through Parliament of the Digital Economy Act 2017.

The result is that responsibility for the over-75s concession now rests with the BBC. The Government made it plain that we hoped and expected that the BBC would maintain the concession, but the BBC chose to restrict it to those in receipt of pension credit. The Government remain disappointed about that decision. I recognise, however, that even that concession represents quite a considerable cost to the BBC, and how the BBC budgets, and the extent to which it feels able to maintain the concession, is a matter for the BBC.

Christopher Chope Portrait Sir Christopher Chope (Christchurch) (Con)
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I am grateful to my right hon. Friend for responding in such detail on these issues. He referred to the agreement that the licence fee would be able to go up in line with inflation. Does that mean that, from April next year, the £159 licence fee will increase with inflation or remain the same? If it goes up with inflation, how much will that mean in cash terms?

John Whittingdale Portrait Sir John Whittingdale
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In the licence fee settlement, which is written into the charter, I froze the licence fee for two years and then said that it should return to increasing in line with inflation, but by precisely how much it will increase and when are matters on which the Government will be able to provide my hon. Friend with further information relatively soon—that is not yet determined. The requirement is written into the charter, as I said.

The Government recognise the importance of television to people of all ages, particularly older people who value television as a source of entertainment and companionship and as a way to stay connected. We remain committed to ensuring economic security for people at every stage of their life. We believe that the BBC has a duty to ensure that it uses its substantial licence fee income to support older people. As the hon. Member for Ellesmere Port and Neston (Justin Madders) suggested, the BBC has informed the Government that no enforcement action has been taken against over-75s at this stage.

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Christopher Chope Portrait Sir Christopher Chope
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With the leave of the House, I would like to thank my right hon. Friend the Minister for his comprehensive response to this debate, based on his wide knowledge and experience. It was interesting to see the contrast between his command of this subject and the relatively light touch applied by the Opposition spokesperson today. My right hon. Friend really understands this subject and I hope that he will be able to stay in his position and bring forward the media Bill, following the King’s Speech. I hope that we will be able to come back to this subject again, perhaps with a new clause to that Bill—who knows?

What is encouraging is that the market is working, with 1.9 million fewer licence fee payers—that is great, is it not?—and evasion has gone up to 10.3%. The licence fee is now £159. I am very concerned that if it goes up by inflation next April—it may be 15% or 20% since it was last increased—there could be another £20 on the licence fee at a time when there is a cost of living crisis. Who knows? From what my right hon. Friend was saying, it sounds as though the Government will do something to prevent such an increase taking place in April—just before the local elections, in the year of a general election—but we will have to wait to find out more about that in due course. In the meantime, let us be grateful for the fact that there is, in effect, a de facto decriminalisation, rather similar to the situation in relation to shoplifting, so that is something that we can take into account.

Philip Davies Portrait Philip Davies
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Did my hon. Friend note that the Minister said that he did not agree with decriminalising it for a particular age group, and that the policy should be the same for all age groups? Given that my hon. Friend was uncharacteristically modest with his proposal in this Bill to just decriminalise it for the over-75s, will he reflect on what the Minister said and come forward with a proposal next time to decriminalise it altogether?

Christopher Chope Portrait Sir Christopher Chope
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My hon. Friend makes an excellent suggestion. It was only because I sometimes believe in salami slicing. I thought that we would start off with the over-75s—that is without declaring any personal interest in this. As with the previous debates, this is a subject that will continue to be of interest to Members, and for that reason I will ask that this debate be adjourned.

Ordered, That the debate be now adjourned.—(Scott Mann.)

Debate to be resumed on Friday 27 October.

Eleanor Laing Portrait Madam Deputy Speaker (Dame Eleanor Laing)
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I am sure that the Minister has that date firmly in his diary.