The BBC TV licence fee is set to rise to £180 a year in a massive hammerblow to millions of households already struggling with rising costs.  The planned increase in the licence fee is expected to hit millions of households already grappling with rising living costs, despite an earlier agreement between the BBC and the former government to keep the annual charge under £175.

It means that the cost of an annual colour TV licence will rise by £5.50, or the equivalent of an extra 46p a month.

In November, the Labour Government confirmed that the fee would increase from £169.50 to £174.50 starting in April. The BBC went on to collect nearly £4 billion from the charge in 2025.

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