Television Licensing in The United Kingdom - Licence Fee Expenditure

Licence Fee Expenditure

The BBC Trust gives the following information for expenditure of licence fee income during the year 2009-10 of £3.56 billion (expressed here in percentage terms):

  • 66% – All TV
  • 17% – National and local radio
  • 6% – Online e.g. BBC websites, iPlayer
  • 11% – Other e.g. transmission and licence fee collection costs*

To date, the BBC World Service on radio and BBC Arabic Television have been funded by a grant from the government's Foreign and Commonwealth Office, not the licence fee, whilst S4C receives a fixed annual grant from the Department of Culture, Media and Sport; however, it was announced in October 2010, that these grants will be funded from licence fee by 2015.

BBC World News and the BBC's other international television channels are operated commercially and will continue to not receive licence fee money. The revenues they generate supplement the licence fee in financing the UK services.

In addition, the BBC Alba Gaelic language television service is predominantly funded by MG Alba, an organisation funded by the Scottish Government.

(*) During 2007/2008, the BBC stated that 3.6% of the licence fee was spent on collection.

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