§ Lord Astor of Heverasked Her Majesty's Government:
How much will be spent in total per year on administering the concessionary television licence scheme for the over 75s, broken down into staff costs, publicity, postage and any other major areas of expenditure; and what discussions they have had with the BBC to ensure the money is used efficiently. [HL4492]
§ Lord McIntosh of HaringeyThe estimated cost of administering free television licences for people aged 75 or over is £24.3 million in the current year, falling to £10 million in 2001–02 and £8 million in 2002–03. A detailed breakdown by type of activity is not available. Discussions have taken place between the Department of Social Security, which has responsibility for meeting these costs, and the BBC, and agreement has been reached on accounting procedures, payment phasing and audit arrangements. The agreements reached will be incorporated into a Memorandum of Understanding between the DSS, the Department for Social Development and the BBC. The Memorandum of Understanding will require the BBC to ensure that all resources are used prudently and efficiently.