Do I need a TV licence? BBC licence fee explained and if you need it for Netflix, Prime Video, and iPlayer

The cost of the TV licence went up again in 2025 - but do you still need it? πŸ“ΊπŸš¨

  • The price of a TV licence went up again this year.
  • If you watch shows only on streaming you may wonder if one is needed.
  • But what exactly are the rules around paying the licence fee?

Another year is almost over and the price of everything seems to keep on going up. The cost of living crisis continues to bite for many of us and you might be looking at ways to save a few quid.

The cost of your TV licence is one of the many things that have increased in 2025 - with the rise kicking in earlier in the year. If you are nearing your renewal, you might be wondering whether it fits your watching habits these days.

First introduced in the 20th century, the ways we watched television have changed dramatically in the last decade. Plenty of us are opting for streaming services over watching live tele.

But when exactly do you need a TV licence and what is covered? Here’s all you need to know:

Do I need a TV licence? Rules explained

Ahead of April's price hike, a legal expert from The University of Law has shared their advice on whether you really do need to pay the license fee (and what happens if you don't).placeholder image
Ahead of April's price hike, a legal expert from The University of Law has shared their advice on whether you really do need to pay the license fee (and what happens if you don't).

With the price going up again this year, you might be wondering who exactly needs to pay for a TV licence. If you are planning to watch live TV in any form - that includes via apps like Netflix, Prime Video, ITVX, Now TV - you need to pay the fee.

However, if you simply want to watch shows on streaming services then it isn’t required. Except if they have live coverage, such as Netflix’s broadcasts of boxing matches and NFL games.

If you want to watch programmes on BBC iPlayer, even if they have already aired and aren’t live, a TV licence is still required.

How much does a TV licence cost in 2025?

The price for the licence fee went up another Β£5 earlier this year. Kicking in back in April, the cost is now Β£174.50 from the year - up from the previous price of Β£169.50.

Under the terms of the current BBC royal charter - which dictates how the Beeb is funded - the cost of the fee is set to rise annually in line with inflation. It comes after it was frozen in 2022 to 2024.

Expect further details on potential price rises for 2026 before the end of the year.

How has the TV licence price changed over the years?

The licence fee was actually first introduced back in 1922 and originally it covered just radios. It cost 10 shillings at the time - which was about half a pound back then.

Following the advent of the television, the licence fee started to cover TVs back in 1946 and it cost Β£2 for a monochrome tele. According to the Bank of England’s inflation calculator this would be the equivalent of Β£72.20 in today’s money.

The price of the licence fee was frozen for seven years between April 2010 and 2017 - before the current royal charter kicked in. Since the latest funding agreement came into force, the cost has increased by almost Β£30 in the eight years from April 2017 to 2025 - going from Β£147 to Β£174.50.

However, according to the Bank of England’s inflation calculator the cost of the licence fee back in 2017 would be the equivalent of Β£195.85 in today’s money. So, your wallet is not being hit as hard as it could be.

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