Eligible state pensioners aged 75 or over on Pension Credit can qualify for a free TV licence, cutting their annual £180 bill to £0
A Department for Work and Pensions (DWP) benefit can slash BBC TV licence costs to nothing for state pensioners who satisfy particular conditions. A TV licence now stands at £180 annually following a £5.50 rise on April 1, or £60.50 each year for those with a black and white television set.
Another price increase is scheduled for April 2027, as the UK Government determined the TV licence fee would rise with inflation for the remainder of the Charter period, which extends until the end of 2027. This year, the licence fee has increased in line with inflation as mandated by the 2022 Licence Fee Settlement, and will rise again according to CPI inflation next April.
Households require a TV licence to watch or record programmes on a television, computer or other device on any channel or service as they are broadcast – including on-demand BBC programmes on BBC iPlayer. However, eligible pensioners can sidestep the licence fee entirely, effectively reducing bills to £0 courtesy of one DWP benefit: Pension Credit.
Pension Credit delivers additional money to state pensioners on a low income. Following a 4.8% increase on April 6, the benefit is now valued at an average of £4,300 annually.
Under the new April 2026/27 rates, single claimants can supplement their income to £238 weekly, or their combined weekly income to £363.25 if they have a partner, reports the Express. However, claiming Pension Credit also grants access to a range of additional financial support, including a free TV licence for those aged 75 or above.
Commenting on the Pension Credit uplift this month, the DWP said: “Pension Credit will also rise by 4.8% and be worth an average of £4,300 a year, unlocking further support including help with housing costs, council tax and free television licenses. Between 2026 and 2027, the government will provide a £6 billion boost to spending on State Pensions and pensioner benefits.”
According to the DWP, applying for Pension Credit takes just 16 minutes on average, and for those who qualify, the benefit can unlock thousands of pounds in additional support. Those already in receipt of Pension Credit can apply for a free TV Licence upon turning 74, though payments must continue until the end of the month preceding their 75th birthday, after which the free licence takes effect.
For pensioners who do not meet the Pension Credit eligibility requirements, alternative options exist to reduce or eliminate their TV Licence fee entirely.
TV Licensing advises cancelling your TV Licence if you no longer watch live television on any channel, TV service, or streaming platform, or use BBC iPlayer. Those who fall into this category may also be entitled to a refund if, before their licence expires, they will not be undertaking any of the following:
- watching TV on any channel, like BBC, ITV, Channel 4, U&Dave and international channels
- watching TV on pay TV services, like Sky, Virgin Media and EE TV
- watching live TV on streaming services, like YouTube, Netflix, and Amazon Prime Video.
- using BBC iPlayer
This encompasses recording and downloading programmes on any device. However, for those who still require a TV Licence, there are further avenues to help bring down the cost. Residents of care homes, supported housing or sheltered accommodation may be eligible for a reduced fee TV Licence. Those who are severely sight impaired and can provide relevant documentation are entitled to apply for a 50% discount. However, if neither circumstance applies, the full rate will be payable.
For those who do not qualify for Pension Credit or a reduced fee TV Licence, there are still several ways to cut costs. TV Licences are issued per household rather than per individual, meaning that those sharing a property do not each require their own licence and can split the cost between them.
A single TV Licence can be shared across an entire household, provided residents watch television in a communal area or hold a joint tenancy agreement. Those with separate tenancy agreements who watch TV in their own rooms, however, will each need to obtain their own licence.
It is also worth noting that a TV Licence is not required to access streaming platforms such as Netflix and Disney Plus, on-demand services including All 4 and Amazon Prime Video, video-sharing sites such as YouTube, or physical media such as DVDs and Blu-rays.
Those content to limit their viewing to these options, while refraining from watching or recording live television or BBC iPlayer, could save themselves £174.50. Be warned, however — watching or recording live TV without a valid licence can result in a fine of up to £1,000.

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