§ Mr. BowisTo ask the Secretary of State for the Home Department whether he is yet able to announce the level of the television licence fees to take effect from 1 April 1990; and if he will make a statement.
§ Mr. WaddingtonOn 27 October 1987, at column204, my right hon. Friend the Member for Witney (Mr. Hurd) announced that the licence fees for the three years starting from 1 April 1988 would be calculated in accordance with changes in the retail prices index, which determines the rate of increase of pensions and other state benefits. The RPI figure for September published on 13 October showed a year-on-year increase of 7.6 per cent. I have accordingly decided that from 1 April 1990 the colour licence fee should be £71 and the monochrome fee £24. The necessary regulations will be laid before the House in due course.
As was made clear in last year's White Paper on "Broadcasting in the '90s" (Cm 517), fee increases from 1 April 1991 onwards may be set at less than RPI in a way which takes account of the BBC's capacity to generate income from subscription.