Speeches

Chris Stephens – 2016 Parliamentary Question to the Department for Work and Pensions

The below Parliamentary question was asked by Chris Stephens on 2016-09-02.

To ask the Secretary of State for Work and Pensions, what estimate he has made of the costs of providing data to the BBC for the purposes of that body assessing eligibility for free television licences for people over 75 years of age.

Richard Harrington

The summer budget 2015 announced a number of fundamental changes relating to the BBC and free TV licences for those aged 75 and over. DWP will cease to fund free TV licences from 2019/20 and the BBC will absorb the cost of this and take responsibility for the policy which currently sits with the Department of Culture, Media and Sport. It is estimated that the provision of free TV licences for 2016/17 will cost £629m and DWP will continue to make a transfer to the BBC during the phasing period, as set out in the table below.

2018/19

2019/20

2020/21

HMG transfer for free TV licences (£m)

468

247

0

DWP resources currently assigned to the provision and collation of data relating to the free television licence scheme for people aged 75 and over is 12 staff days per annum. Any plans for the future role of employees and contractors will be determined following detailed discussions between my Department and the BBC nearer the time the BBC take full responsibility for funding and policy.

In 2014/15 the cost of providing free TV licences to those 75 and over in Scotland was £49m and it is estimated the cost for qualifying residents in Glasgow South West constituency and Glasgow City local authority area was £0.7m and £4m respectively.

The cost of the free TV licences to those aged 75 and over in Scotland for 2015/16 will be published on 21 September on the DWP website. Breakdowns by Local Authority and Parliamentary Constituency use that Scotland expenditure estimate and are therefore not currently available.

Savings to the Exchequer resulting from the future transfer of responsibility for funding television licences for people aged 75 or over were set out in the summer budget 2015.