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Freeze licence fee, says Cameron Freeze licence fee, says Cameron
(10 minutes later)
Conservative leader David Cameron has called for the BBC licence fee to be frozen for one year.Conservative leader David Cameron has called for the BBC licence fee to be frozen for one year.
He said it was up to the corporation and other public bodies to "set an example" by keeping costs in check during the economic downturn.He said it was up to the corporation and other public bodies to "set an example" by keeping costs in check during the economic downturn.
Mr Cameron said the BBC was an "important national institution" which had to "prosper" and to remain a "cultural asset" to the UK. Mr Cameron said the BBC was an "important national institution" which had to "prosper" and to remain a "fantastic cultural asset" to the UK.
Colour TV licences, currently £139.50 a year, are to rise by £3 from 1 April.Colour TV licences, currently £139.50 a year, are to rise by £3 from 1 April.
Black and white licences will increase by £1 to £48 a year.Black and white licences will increase by £1 to £48 a year.
'Makes sense'
Speaking at his monthly press conference, Mr Cameron said the freeze should happen immediately.
He added: "The government made its decision in 2007, in quite different circumstances, to set out in the increase in the licence fee for years ahead. I think the situation has changed since then...
"[It was made] on the basis that the BBC needed to keep up with the rising [advertising] revenues for other broadcasters...
"I think it makes sense now to review the situation and that we need to freeze the licence fee this year."
He also said: "We are not cutting it, just freezing it."
He added that he was a " supporter of the licence fee", but argued that, with declines in revenues for channels funded by advertising and subscriptions, it was important to avoid creating a system which was "not in balance".
He said: "The BBC is an important national institution. I want to see it prosper and succeed and be a fantastic cultural asset."