HM Treasury 9

9 November 1999





FREE TV LICENCES FOR OLDER PENSIONERS



Free TV licences will be available to pensioners aged 75 and over from Autumn 2000, the Chancellor Gordon Brown announced today.

The measure will benefit over 3 million households. Almost 50% of such households, set to benefit, are the poorest in the country.

The Chancellor said:

"From autumn, at a cost of £300 million, every year, every pensioner who is over 75 will receive their TV licence absolutely free of charge. For three million households with pensioners over 75 - a £101 saving a year."

Other measures which have been announced to help pensioners include:

the £100 Winter Allowance - due to be paid for the first time from this month; and

the Minimum Income Guarantee for poorer pensioners.





NOTES TO EDITORS

1. This measure will cost the Government around £300 million in a full year.

2. A colour TV licence costs £101 and a black and white licence £33.50 a year.

3. The BBC's funding will not be affected by this measure. Central Government funding will make up the difference so there will be no increase in the licence fee for others.

4. Existing concessionary schemes - such as the reduction in the licence fee for blind people and for people in residential and sheltered accommodation - will remain in force for people not affected by the new change. Anyone currently qualifying for these concessions who also meets the age criterion will now qualify for the free TV licence.




5. The Government will also consider its response to the Review of the Future Funding of the BBC in due course, and in the light of responses to consultation.

HM TREASURY PRESS OFFICE

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Non-media enquiries to: 0171 270 4558

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