The forthcoming funding blueprint for RTÉ, set to be approved by the government, doesn’t anticipate an extension of the TV licence fee to comprise a comprehensive household levy for homes without a TV. This plan, which should be confirmed by the Cabinet on Wednesday, is thought to encompass a mix of the licence fee and multiannual exchequer funding.
The possibility of widening the scope of the €160 annual licence fee, currently required only by households owning a television, to include a universal charge irrespective of device type has previously been mooted. This would increase the number of households expected to contribute. However, insiders familiar with the upcoming funding provisions have discounted this being part of the Cabinet’s plan due to potential political repercussions ahead of a general election. The current fee remains as is.
Instead of overhauling the existing system, improvements to collection will be prioritised. In this effort, additional support will be given to An Post, with a focus on information collection and further initiatives to reduce avoidance of the charge. Within the new financing structure, it is proposed that RTÉ will have increased opportunities to grow revenue in commercially viable ways independent of government authorisation.
In the UK, a TV licence is legally necessary for using the BBC iPlayer service, monitored through self-reporting rather than a confirmed login system. Yet RTÉ has indicated that it has no plans to limit access to its online streaming service. Intentions to institute a sign-up process for the online player are reportedly designed to assist with optimisation and content tailoring rather than restriction.
The government’s choice to maintain the current device-dependent structure for the licence fee rather than pursue broader reforms could attract criticism. However, this could also be a politically astute move given the potential fallout from such a significant change.
According to the Future of Media Commission’s 2022 report, a move towards a wholly taxpayer-funded model has been advised for RTÉ. This is grounded in the belief that the device-specific concept of the licence fee does not align with current consumer behaviour in the digital age. They perceive content via television, mobile phones and computers, rather than the traditional methods.
The transition in advertising income, which favours new media over traditional, has been exacerbated for print media by reduced circulation rates. Additionally, public service media is further burdened by the growing insustainability of the television licence fee as a public financing method.
There was also a mention of the continuous decline in TV licence compliance, a trend that showed no signs of reverting, especially after the acceleration during last year’s Ryan Tubridy payment controversy.
The report also included research commissioned to evaluate public perception of the licence fees. Only about 29% of those surveyed considered the fee as good value for money whereas a narrow majority, at 52%, deemed it as not providing value for money.