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The government considered licence fee funding during BBC Charter Review in 2015. While
no funding model meets all the criteria of an ideal system, the current model provides
the BBC with a sustainable core income paid by all households that watch or receive
television. This model has wider support than any alternative: 60% of Charter Review
consultation responses indicated that no change was needed to the current licence
fee model, and only 3% favoured full subscription funding. As a result, we have committed
to maintain the licence fee funding model for the BBC for the duration of the new
11 year Charter period. The BBC is independent of government. The BBC Board is therefore
responsible for the appropriate use of licence fee revenue, and it is for licence
fee payers to determine whether the BBC is value for money.
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