Honestly, the TV licence is one of those things that feels like it’s been around since the dawn of time, right alongside the actual BBC. But every year, usually around the time the flowers start blooming in April, people start panicking. The letters start arriving. The headlines get loud. You’re left wondering, "Do I actually need to pay this?" and more importantly, "How much is it going to set me back this time?"
Right now, as we sit in early 2026, the price for a standard colour TV licence is £174.50.
That’s been the rate since April 2025. It’s a bit of a jump from the old £169.50 we were used to for a while. If you’re still rocking a black and white set—which, surprisingly, a few thousand people in the UK still do—you’re looking at £58.50.
Why the price keeps moving
The government basically sets these rates. They decided a while back that the fee should rise every April in line with inflation. Specifically, they use the Consumer Prices Index (CPI) from the previous September.
There's a lot of chatter right now that we might see another hike this coming April 2026. If the rumors based on last autumn's inflation figures are right, we could be looking at a jump to over £180. It’s not set in stone yet, but that’s the direction the wind is blowing.
How much is the UK TV licence if you don’t pay all at once?
Most people don't just drop £174.50 in one go. You’ve got options, but they aren't all created equal.
If you set up a Monthly Direct Debit, you’ll basically pay about £14.54 a month. However, there's a weird quirk for first-timers. Because the law says you have to pay for your first licence "up front" within six months, your first half-dozen payments will be double—around £29.10. Once those six months are done, it drops down.
Then there’s the Quarterly Direct Debit. This one is a bit of a "convenience tax" situation. You pay every three months, but they add a £1.25 surcharge to each payment. It works out to about £5 extra a year. Not the end of the world, but it’s there.
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The £7.50 "Accommodation for Residential Care" (ARC) Licence
This is a big one that people miss. If you live in sheltered accommodation or a care home, you might only have to pay £7.50. Your warden or housing manager usually handles the application for this. You have to be over 60 and retired, or have a disability, to qualify.
Half-price for the sight-impaired
If you are registered as blind (severely sight impaired), you get a 50% discount. That brings the colour licence down to £87.25. You’ll need to provide a copy of the certificate from your local authority or ophthalmologist to prove it, but it’s a permanent reduction once it’s sorted.
Do you actually need one? (The Netflix Trap)
This is where things get messy. There's a massive misconception that "If I don't watch the BBC, I don't need a licence."
That is wrong.
You need a licence if you watch or record "live TV" on any channel. That includes ITV, Channel 4, Sky, and even foreign satellite channels. If you’re watching a live football match on Amazon Prime Video or a live news stream on YouTube, you technically need a licence.
And then there’s BBC iPlayer. Unlike the other catch-up services (like ITVX or Channel 4), iPlayer requires a licence regardless of whether you’re watching live or on-demand.
When you can legally skip it
You’re safe if you only watch:
- On-demand movies and shows on Netflix, Disney+, or Apple TV+.
- Non-live videos on YouTube.
- Catch-up TV on services like ITVX or My5 (as long as it’s NOT live and NOT on iPlayer).
- DVDs or Blu-rays.
If that sounds like you, you can actually go to the TV Licensing website and declare that you don't need one. It stops the letters for about two years. Just be honest—they do actually send "enforcement officers" to check, and the fines can hit £1,000.
The Over-75s Situation
Gone are the days when everyone over 75 got a free pass. That changed a few years ago and it still stings for a lot of people.
Now, to get a Free TV Licence, you have to be:
- 75 or older.
- Receiving Pension Credit (or living with a partner who receives it).
If you’re 74 and already getting Pension Credit, you can apply early so it kicks in the moment you hit the big 75. It’s worth checking if you’re eligible for Pension Credit even if you think you aren't; thousands of people miss out on this benefit every year, and the free TV licence is just one of the "perks" that comes with it.
What about second homes?
If you’ve got a holiday home or a static caravan, you’re usually covered by your main home’s licence—but only if nobody is watching TV at both places at the same time. If your kids are at home watching EastEnders while you're at the seaside watching the news, you technically need two licences.
Actionable steps to manage the cost
If the cost is starting to feel like a burden, there are a few practical things you can do right now to make it easier or even eliminate the bill.
- Check your Pension Credit eligibility: Use the Gov.uk calculator if you're over state pension age. A free licence is worth over £170 a year, which is a significant saving.
- Switch to a monthly payment plan: If the annual bill is too much of a shock, the monthly direct debit is the most popular way to smooth out the cost. Just remember those first six months are pricier.
- Review your viewing habits: If you genuinely only watch Netflix and Disney+, you’re paying for something you don't use. Cancel the licence, file the "No Licence Needed" declaration, and put that £14.54 back in your pocket.
- Apply for the blind concession: If you or someone you live with is registered blind, make sure the licence is in their name to get that 50% discount. You can transfer an existing licence by calling the TV Licensing helpline.
- Avoid the "Quarterly" trap: Unless you absolutely have to, don't pay quarterly. That extra £5 a year is essentially a fee for no reason. Stick to monthly or yearly.
The TV licence remains one of the most debated bills in the UK, especially as the way we watch stuff changes so fast. Whether it survives in its current form past the 2027 Charter renewal is anyone's guess, but for now, £174.50 is the magic number you need to budget for.