Nearly two million people told the BBC they no longer needed the license fee last year, as the corporation predicted more viewers would leave them this year.
A total of 1.96 million households said they did not watch the BBC or other live TV in 2021-22, an increase of 270,000 on the previous year and equating to £42 million in lost revenue.
The figures are contained in TV Licensing’s annual report, which warns that license fee revenue will fall as more people switch to streaming services or decide they can no longer afford the £159-a-year cost.
“The BBC expects license fee income to decline, at least in the short to medium term, due to the increase in the cost of living from early 2022 and the continued decline in license sales resulting from changes in the way audiences watch TV content” , the report said.
There has also been a significant increase in the evasion rate, which reached 8.9 per cent in 2021-22.
The BBC blamed this on two factors: the suspension of home visits by TV licensing officers due to Covid restrictions and the inclusion of over-75s in absconding figures after their free licenses were removed.
Around one in 10 over-75s have ignored BBC letters telling them to pay for a license or apply for a free one.
“Get the balance right”
As a result, the report said, “over the coming year, we will deepen our efforts to reach customers in ways that work best for them.”
It said the easing of Covid rules meant there was now an opportunity for the BBC to “undertake more household visits”, but argued the corporation’s approach would “strike the right balance between enforcement and promotion”.
This promotion includes a new ‘customer value management approach’ which will include letters being sent to non-paying households highlighting how much enjoyment they can get from watching live TV programs on the BBC and other channels and the shows , which they can watch on iPlayer.
If the license fee remains unpaid, the person faces prosecution and a fine of up to £1,000.
The BBC will broadcast radio programs
Despite the increase in absconding and those no longer requiring a licence, total license fee revenue rose by £53m to £3.8bn in 2021-22 thanks largely to an increase in the price of a license from £157, 50 at £159.
The BBC will begin televising its phone-in shows, mimicking commercial rivals such as LBC.
Nicky Campbell’s Radio 5 Live program is the first pilot programme. It will be shown weekday mornings on BBC Two and streamed on the BBC News channel.
The corporation said other programs will follow as it invests in “visualizing” radio broadcasts. This approach proved a hit for LBC, the commercial station, which poached several big names from the BBC, including Andrew Marr and Eddie Mair.
GB News also features TV phone-ins, while TalkTV broadcasts TalkRadio output.
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