Viewers pay 43p per day to watch the BBC

The TV licence fee will rise by £1.50, from £157.50 a year to £159 from 1 April.

The fee is set by the Government, which announced in 2016 that it would rise in line with inflation for five years from April 2017.

Those buying or renewing a licence after April 1 2021 will pay the new fee, while those already buying a licence on an instalment scheme which started before that date, such as via a monthly direct debit or weekly cash payments, will continue to make payments totalling £157.50 until their licence comes up for renewal.

Up to 750,000 pensioners are refusing to pay the annual fee after free licences for over-75s were withdrawn.

The BBC is now facing a £117 million funding shortfall unless the protesting over-75s decide to hand over the full price. 

Last year the BBC’s new director-general Tim Davie said the licence fee model was the best way of funding the BBC which says its range of broacast services cost viewers 43p per day.