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Nearly one million cancel TV licence due to ‘Netflix effect’

BBC has confirmed licence fee will rise by £4

The popularity of streaming services such as Netflix and Amazon Prime Video is causing viewers to rip up their TV licences, it has been claimed.

According to Mail Online, more than 860,000 licences were cancelled in 2017/18, up from 798,000 doing the same the year previously.

It is also claimed a total of 5.9 million licences have not been renewed over the past seven years.

And while it is compulsory to stump up for the fee for anyone wanting to watch BBC channels or iPlayer – whether on TV, a computer, tablet, phone or any other device – the likes of Netflix do not require a licence.

Netflix
Netflix vs the Beeb? (Credit: www.pexels.com)

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However, they are not free service – individual, basic subscriptions can add up to nearly half of the cost of a TV licence annually.

Nonetheless, it appears that the ‘Netflix effect’ is influencing viewers to become choosier with the entertainment they shell out for.

It is believed Netflix alone commands up to nearly 10 million subscribers in the UK while 25.8 million TV licences were held in March 2018.

The Mail claims up to 2,300 TV licence are being cancelled every day – and a raised charge could mean that figure picks up in pace.

TV Photo by Tim Mossholder from Pexels (Credit: www.pexels.com)
Are you tempted to pull the plug on the licence fee? (Credit: www.pexels.com)

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The yearly price of a licence will increase at the start of April from the current fee of £150.50 to £154.50.

That works out at less than three pounds a week for nine national TV channels, regional programming, 10 national radio stations, 40 local radio stations, numerous websites and BBC iPlayer, among other services.

However, a Government-funded scheme providing pensioners with free licences to older viewers is under review and could be scrapped next year.

Around 50,000 older viewers could be pushed below the poverty line if the free TV licence is scrapped, according to predictions from Age UK.

Are you keen to cut the cord or do you believe the BBC should be given more support?

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Robert Leigh
Freelance writer