UK Culture Secretary Lisa Nandy is to scrap a review of the BBC's funding model that was set up by the previous government and is disbanding its expert panel.
Instead, the government will examine the issue of BBC funding as part of the charter review process, before the BBC's current royal charter expires in 2027.
The expert panel advising on future funding for the BBC was announced in March by former UK Culture Secretary Lucy Frazer before the general election. The panel included figures from across the broadcasting and media sectors, including Sir Peter Bazalgette, David Elstein and Dame Frances Cairncross.
In a statement, the government said it will use the charter review “to consider funding options to support the national broadcaster’s long-term future, safeguarding the world-class content that millions of people know and love.” The charter review will include a public consultation.
The charter sets out the terms and purposes of the BBC's existence and normally lasts for about a decade. The current BBC charter began on 1 January 2017 and ends on 31 December 2027.
The government also confirmed that the BBC licence fee will rise in line with annual CPI inflation in 2025. It means the cost of an annual colour TV licence from April 2025 will now be £174.50, an increase of £5, or an extra 42p a month.
The government said it is committed to upholding the licence fee until the end of this charter period in 2027.
Foreign Secretary David Lammy also announced an extra £32.6m for the BBC World Service in 2025-26.
Nandy said: “The BBC provides much-needed programming for households across the country, including children's education, world-class entertainment and trusted news for all people in all parts of the UK. I want to see it thrive for decades to come.
“Through the Charter Review, we will have an honest national conversation about the broadcaster’s long-term future, ensuring the BBC has a sustainable public funding model that supports its vital work but is also fair and responsive to those who pay for it.
“In the short term, we are providing the BBC with funding certainty, while supporting thousands more households facing financial hardship to spread the cost of a TV licence.”
You are not signed in
Only registered users can comment on this article.
.jpg)
IBC community mourns passing of Michael Lumley, 1943 – 2026
Michael Lumley, one of the leading contributors to IBC’s rapid development over the last 20 years, died suddenly on 20 July 2026.
RTS gives BBC’s Rosie Nieder Young Technologist of the Year 2026 award
The Royal Television Society (RTS) has named Rosie Nieder, Operational Production Engineer at the BBC, the winner of its RTS Young Technologist of the Year Award.
EIT Culture & Creativity launches fund to address skills gap across Europe's AV media sector
EIT Culture & Creativity has opened a €600,000 call to fund the development of new professional training for Europe's audiovisual (AV) media sector. The new call invites education providers and media organisations to develop practical courses in AI, intellectual property and digital storytelling.
Upcoming webinar: Beating the clock on live piracy dynamics
Join IBC365 and Verimatrix at the Attack Vectors, Scale, and the Race for Real-Time Response webinar on 29 July 2026 to discover the latest techniques propelling preventive, real-time strategies against modern piracy.
24 million watch England's World Cup defeat
A peak audience of 24 million watched as Argentina knocked out England in the World Cup semi-final on Wednesday night (July 15) across BBC One and BBC iPlayer, giving the BBC an 85% share of all TV viewing.
