The tv licence fee will increase by £10.50 in April meaning it will be £169.50 a year.
They should just make it a subscription so people can simply opt in or out.
They should just make it a subscription so people can simply opt in or out.
The current BBC licence fee of £159 will increase by £10.50 - a rise of 6.6% - the government has announced.
The figure has been determined using September's rate of inflation, rather than an average across the last year.
Due to the recent fall in inflation, that means the £169.50 figure is less than the BBC and Office for Budget Responsibility (OBR) had anticipated.
The decision to raise it by a smaller percentage will leave a expected funding gap of around £90m.
The government is also launching a review of the BBC's funding model, Culture Secretary Lucy Frazer told MPs.
The increased fee will come into effect in April, having been frozen at £159 for the past two years.
In a statement, the BBC Board said: "We note that the government has restored a link to inflation on the licence fee after two years of no increases during a time of high inflation.
"The BBC is focused on providing great value, as well as programmes and services that audiences love. However, this outcome will still require further changes on top of the major savings that we are already delivering.
"Our content budgets are now impacted, which in turn will have a significant impact on the wider creative sector across the UK. We will confirm the consequences of this as we work through our budgets in the coming months."