Post by Teddy Bear on Jan 12, 2007 12:39:39 GMT
While most if not all reading this would love to see the license fee abolished completely, we can take some solace that the BBC were not awarded the rise they wanted. It's a step in the direction of getting rid of it completely.
The "BBC's refusal to comment" at the end gives me the image of them seething, which is certainly satisfying.
The "BBC's refusal to comment" at the end gives me the image of them seething, which is certainly satisfying.
BBC fails to convince over rise in licence fee
Greg Hurst, Political Correspondent
Last-minute lobbying by the BBC has failed to convince the Government of the case for a more generous licence fee settlement for the next six years.
Gordon Brown, the Chancellor, refused to budge from a below-inflation settlement, heralding an era of belt-tightening at the corporation.
Tessa Jowell, the Culture Secretary, will announce next week that the licence fee will rise by 3 per cent in each of the next two years, by 2 per cent for the following three and by between 0 and 2 per cent in the final year. Since the retail price index is about 3.9 per cent, it means an annual shortfall of £600 million until 2012, by which time the licence fee will rise to £148.05.
The BBC sought an increase of 1.8 per cent above inflation. Corporation chiefs were infuriated at leaks of the settlement, which appeared in the media before Christmas.
The BBC refused to comment on the announcement