Tory Treasury axeman George Osborne left the BBC “no choice” but to cut free licences for over-75s with his funding deal, MPs heard.
Osborne warned Director General Tony Hall: “You are now going to have to go out there and socialise this policy because it’s going to very difficult for you.”
In two hours of bombshell evidence to MPs today, Lord Hall said Tory austerity was behind the “nuclear” decision in 2015 to make the BBC responsible for funding free licences from 2020.
The cost of continuing with the concession for all over-75s would be £745million a year. He said: “From the beginning it is the Government who are withdrawing the concession and we had no choice whatsoever other than to take that on.
“We are carrying out what the Government said we should do to a tee.”
(Image: Steve Reigate)
He told the Commons Culture Committee: “The idea that somehow it’s not a possibility or somehow we reneged on some settlement is just plain wrong.”
The BBC announced this spring that only over-75s on Pension Credit would be eligible for free licences.
Blasting claims the BBC did not have to accept the deal to transfer funding, Lord Hall said: “This was a process that was going to happen anyway.
“The notion that somehow we had any possibility of not accepting the over-75s is risible. They were coming at us with that, it was going to happen.”
(Image: House of Commons/PA)
He said: “As part of that settlement in 2015 with the Chancellor of the Exchequer, it was clear reform of the over-75s was likely, not inevitable, but likely.” Lord Hall said the BBC was shocked by the Tories’ 2017 election pledge to maintain the concession for the duration of this Parliament.
He told the committee: “We asked the Government quite why the manifesto didn’t reflect the powers they had given to us. I don’t have a satisfactory answer.” An estimated 3.7 million people will lose the free licence, with just 1.5 million still eligible.
Setting up a means-testing system will cost the BBC £38million, with £13million annual running costs.
The Mirror is fighting to save the benefit, backed by more than 18,000 readers who completed our campaign coupons. More than 600,000 people have also signed Age UK’s Switched Off petition.
BBC chairman Sir David Clementi said campaigners were “very clear that the body who should reconsider is that of Government”.
Labour ’s Ian Lucas told the broadcasting chief: “The reason why the Government passed it to you, bluntly, is because it is a hand grenade politically.”
(Image: Ian Vogler/Daily Mirror)
As the BBC bosses were being grilled, Age UK activists protested outside Tory Campaign HQ in Westminster chanting: “Don’t switch us off!”
They delivered a sample of 37,500 letters addressed to Tory leadership hopefuls Boris Johnson and Jeremy Hunt , urging them to honour their election manifesto pledge.
Tony Gomm, 79, said the party risked losing “millions” of votes unless it saved free licences.
He said: “We have to hope they will take notice of the strength of feeling. It’s going to be difficult for the BBC. They can’t save much on salaries.”
Doreen McKenzie, 72, said: “ “We have to stand up to the Government. Next they will take away our bus passes, then they will take everything.”
Radha Virahsawmy, 76, said: “It’s a slap in the face from the Government.”
Lord Hall defended Match of the Day host Gary Lineker’s £1.75million salary. He said: “Gary does a great job for the BBC.”
