HL Deb 03 February 1948 vol 153 cc821-2

2.34 p.m.

LORD BROUGHSHANE

My Lords, I beg to ask the question standing in my name on the Order Paper.

[The question was as follows:

To ask His Majesty's Government, whether in view of the existing deficiency in the revenue of the British Broadcasting Corporation by reason of the increased costs of productions and other expenditure, consideration will be given to releasing the heavy charge now made by the Post Office, estimated at approximately £1,500,000 per annum, merely for issuing licences to the public, before any increase in the present licence fee of £1 per annum is authorized.]

THE MINISTER OF STATE FOR THE COLONIES (THE EARL OF LISTOWEL)

My Lords, His Majesty's Government are not aware of any deficiency in the revenue of the British Broadcasting Corporation. The Licence and Agreement between the Postmaster General and the British Broadcasting Corporation provide for a percentage to be deducted by the Postmaster General from the sums received from licences to cover any expenses incurred by him in relation to the broadcasting system. Six per cent. was deducted from the 1047 receipts, and this amounted to £661,800. The expenses cover such items as the printing and issuing of broadcast receiving licences and the prosecution of unlicensed listeners. Of the remaining 94 per cent. it was decided that 85 per cent. shall be paid to the Corporation during the first three and a quarter years of the period of the Charter and Licence, beginning on January 1, 1947, and the balance of 15 per cent. accrues to the Exchequer. There is provision for the percentage of 85 to be revised if the need arises. Your Lordships will recollect that in the White Paper on broadcasting policy it is stared that, if necessary, to ensure the full and efficient maintenance and development of the broadcasting and television services, the whole of the net revenue from licen; es will be made available to the Corporation.

LORD BROUGHSHANE

Are the Government not aware that it is generally understood that the existing revenue of the B.B.C. will not enable them to pay the very heavy additional charges which they have now to meet, owing to the general increase in expenditure? In those circumstances, do no: the Government consider that a charge of three shillings by the Post Office merely for handing a licence over the counter is excessive? Further, do the Government not consider that that sum might well be handed over to the B.B.C. to enable them to meet the large additional charges which it is well known they will have to meet, rather than that there should be any increase in the charge for the licence, which is now £1? It will be very severely felt by many people in the country districts and elsewhere if it is raised to thirty shillings

THE EARL OF LISTOWEL

I am not aware that the expenditure of the B.B.C. exceeds its revenue, and I cannot agree with the noble Lord that a charge of 6 per cent. is excessive in relation to the costs incurred on behalf of the B.B.C.

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