Licence-fee payers should not bear the full costs of digital switch-over says VLV

Politicians and consumer groups have united in concern over the BBC’s proposals to increase the licence fee over the rate of inflation from 2007.
Jocelyn Hay, Chair of the Voice of the Listener & Viewer (VLV), said: "The move from analogue to digital television transmission is public policy. VLV agrees that the BBC, as the UK’s leading public service broadcaster should play the leading role in rolling out digital transmission and services. However, licence fee payers should not carry the full burden of the costs involved in paying for new equipment and its installation for vulnerable viewers.”
Hay continued: “The BBC has traditionally used licence fee money to invest in new technology and transmission facilities, for example when television was up-graded to 625 lines and when radio was upgraded from AM to VHF/FM. Under the last licence fee settlement the BBC was given a 1.5% increase above the RPI in order to enable it to invest in new digital radio television technology and services.
“The move broke the principle, for the first time, that all licence fee payers should pay a similar fee for similar services. Many viewers are still unable to receive the digital terrestrial television (DTT) free-to-air service, Freeview, and resent the constant BBC promotions of channels and services they cannot access. (27.5% of homes will not be able to receive digital terrestrial broadcasts until after analogue switch-off, and even then only if the transmitter network is extended to many areas currently deemed economically unviable.
“Now the Government is taking it a step too far. It expects licence fee payers, via an increased licence fee, to pick up the costs for ‘vulnerable’ viewers. These include buying a new television set or set top box, installation costs which may involve a new aerial, and support in learning how to use the equipment. According to VLV’s latest information, vulnerable viewers will include households with one member aged over 75, or receiving an attendance or disability living allowance; one person receiving pension credit, income support or jobseekers‚ allowance, or where one person is blind. No figure is given for just how many households are included in these categories. The Government must give accurate figures as to what the numbers and costs will be.”
Shadow Secretary of State for Culture, Media and Sport, Theresa May said: "Yet again another Labour stealth tax will hit the poorest in Britain. This is the latest in a long line of Gordon Browns stealth taxes, and this time it is the licence fee payer who will have no choice but to foot the bill.
"Government has pressed ahead with the introduction of digital TV, yet it is of great concern that the rise in the licence fee does not take into account the £400-£600 million needed to ensure that vulnerable people, such as the elderly and severely disabled, are not left behind in the switch over to digital TV.
"At a time when licence fees are increasing, hardworking people should be able to expect better value for money from the BBC. As well as concerns about the quality of some of the services available on digital TV, the BBC is intending to spend an extra £330m relocating to Manchester, without making sufficient savings elsewhere. The public deserve greater reassurance that the BBC is providing value for their money."
Don Foster, Liberal Democrat Shadow DCMS Secretary, said: "Plans for more quality programmes, fewer repeats, expanded education provision, and access to programmes online and on demand are welcome.
"Achieving all this for a real terms increase of an extra 5 pence per week each year, seems good value and subject to close scrutiny of the details, we will support these proposals.
"But it's difficult to see why Licence Fee payers should pay for more than their fair share of the digital switchover. The licence fee must not become just another Government stealth tax. Viewers should be protected from a licence fee smash and grab.
"The Chancellor cannot treat the world's leading public service broadcaster as a cash cow to plug his growing deficit."
(GB)