Research among nearly 7000 people carried out by The Work Foundation has established that the average amount citizens are prepared to pay for the BBCís current services and proposed new activities through to 2017 is 162.66 a year ñ a sizeable increase on the current licence fee (which excludes proposed new activities) of 131.50 a year. On a monthly basis, this would mean an increase of 2.59 per month.
The independent report, commissioned by the Department of Culture, Media and Sport, set out to analyse the preferences of British citizens regarding the level of the licence fee, and what services would be most valuable to people in the future. In addition, the report measures the BBCís ëpublic valueí ñ the extent to which citizens value the corporation.
The report found:
People want to spend most on BBC television; out of their licence fees, they would choose to allocate 6 per month to BBC TV, 2 to BBC radio, 60p for online and more than 5 per month for the package of proposed new activities.
Among the corporationís proposed new activities, the four that are favoured most strongly are: new digital and online learning opportunities for 14-18 year olds (67.7% in favour); the launch of a new free-to-air satellite service (58.7%); more local news (57.6%); and improving quality programming (57.2%) (see note 3).
Those willing to pay most to fund the BBC (between 15 and 31 a month, as opposed to the current monthly cost of 11) are more likely to earn over 50,000, have some educational qualifications, enjoy the BBCís current output, plan to use the new services, and are supportive of the concept of a licence fee.
On average, UK citizens are also willing to pay slightly more for existing BBC services. The average respondent was willing to pay 138.24, against the current annual cost of 131.50.
While people are willing to pay more for the BBC licence fee, there also appears to be an appetite for greater choice. A total of 75% of respondents said they would like planned new BBC services to be funded by subscription, while keeping the licence fee at its current level.
The study found clear recognition of the public value of the BBC. Most agreed that ëthe BBC makes a moderate contribution to British lifeí.
Dr Rebecca Fauth, senior researcher at The Work Foundation and the lead author of the study, said: ëOverall, the BBC appears to enjoy strong support among British people, and people are willing to pay more for it.
ëAnd in addition, there is a reasonable level of recognition for the view that the BBCís role is bigger than simply producing services that people consume, but that the corporation also plays a significant role in British public and cultural life as well, such as by providing impartial news and by being a global UK brand.
ëBut while that support is solid, there does appear to be some interest in greater choice in future funding arrangements. Significant numbers appear to be ready for a debate about how future BBC activities should be paid for.í
In a major methodological innovation aimed at testing the BBCís ëpublic valueí, the study also sought to find out if British people felt differently about the BBC if they thought about the corporation from the perspective of a ëconsumerí and a ëcitizení. The sample of respondents was divided with one group receiving additional questions on the BBCís ëpublic valueí (for example, its role in increasing tolerance). The survey found there was a slightly higher willingness to pay among those taking the ëcitizen perspectiveí ñ especially among people willing to pay significantly more for the licence fee.
The licence fee is universal. But if asked to imagine an ëideal worldí of BBC funding, the majority prefer that the licence fee should stay at its current level for either the same provision as currently exists, or an increase in new activities in exchange for cutting some of the current services.
British people are willing to pay more for the BBC

British citizens are prepared to pay more money for the BBC licence fee in the future, a new study has found




