Changes are being made to the annual price of the BBC's TV Licence fee – but how much will you be paying?
Brits currently pay an annual licence fee of £154.50 for the privilege of watching their favourite shows on the BBC.
But soon the price of a TV Licence will increase to £157.50.
It is required to pay a licence if you plan to watch or record any programmes on TV, or download or watch any BBC programmes on iPlayer.
Outgoing BBC director general Tony Hall recently said that the licence fee exists because it “guarantees… commitment to creativity and risk-taking.”
Here is everything you need to know about the incoming changes.
What are the proposed changes to the licence fee?
In 2016, the government said the fee would rise every year for five years at the rate of inflation starting on April 1 2017.
The annual fee is set to increase by £3 to £157.50 on April 1, 2020.
This is a 1.94% increase, above the current rate of inflation of 1.4%.
Previously, all over-75s did not have to pay a licence fee, which was put in to law by Labour in 2000.
When the BBC announced in June that it planned to restrict the benefit to low-income households, as it would cost £745m by 2021-22, Prime Minister Boris Johnson said they should “cough up” and pay for for all over-75s.
However, the government backed out of this fight by unveiling a new payment scheme for pensioners which starts in April.
Campaigners called the move “disappointing” and “a betrayal.”
Culture Secretary Nicky Morgan has announced there will be a “simple payment plan”, introducing monthly payments for the licence fee for over 75s.
The government is also planning to decriminalise failure to pay the fee.
It is currently a criminal offence to watch or record live TV or use iPlayer without a TV licence and can result in a prison sentence.
Culture Secretary Nicky Morgan said many people thought it was wrong that “you can be imprisoned for not paying the TV licence and its enforcement punished the vulnerable.”
She added: “We are launching a public consultation to make sure we have a fair and proportionate approach to licence fee penalties and payments, that protects those most in need in society.”
If decriminalised, non-payment of the fee would not become voluntary, it would just mean it would become a civil offence similar to not paying an electricity bill.
In 2018, there were more than 121,000 convictions and sentences issued for evasion of the fee, with an average fine of £176.
If this were to go through, the BBC say it would have a huge impact on their funding.