‘Time is running out’: Inside the fraught BBC talks to replace licence fee

Time is running out for a funding deal to rescue the BBC, insiders warned, with the corporation yet to agree with Government on how to replace the “busted flush” licence fee.

The corporation is facing a £500m funding black hole as rising numbers of people stop paying the £180 TV licence.

Ministers are set to publish a White Paper in December, setting out a new funding mechanism to put the BBC on a “sustainable” financial footing.

EX-DUP leader Jeffrey Donaldson sentenced to 15 years – what you need to know

Former Democratic Unionist Party leader, Jeffrey Donaldson has been sentenced to 15 years in prison for child sex abuse and rape.

EDITORS NOTE IMAGE PIXELLATED BY THE PA PICTURE DESK FOR THE PROTECTION OF OFFICERS OF THE PSNI Former DUP leader Sir Jeffrey Donaldson with his solicitor John McBurney arrives at Newry Magistrates' Court, where he is charged with several historical sexual offences. Sir Jeffrey resigned as DUP leader and was suspended from the party following the charges. Picture date: Wednesday April 24, 2024. PA Photo. See PA story ULSTER Donaldson. Photo credit should read: Brian Lawless/PA Wire

What you need to know

The former DUP leader, who was an MP for 27 years until 2024, was convicted of 18 counts of sex abuse earlier this year, which he committed against two women when they were children.

  • Complainant A said Donaldson had touched her breasts and kissed her, and in one incident, had used a light to examine her crotch.
  • Complainant A said Donaldson’s wife, Eleanor, had witnessed an incident where he touched her under her clothing but did not intervene.
  • Donaldson was found guilty of eight offences between 1999 and 2008.
  • Eleanor Donaldson was found to have aided and abetted his crimes after a trial of the facts but cannot be given a prison sentence on mental health grounds.

The second victim

Complainant B is the elder of the two women who was abused by Donaldson.

  • Complainant B described an incident where Donaldson “lifted her top up and her bra and started to touch her exposed breasts”.
  • She added that Donaldson would frequently put his hand down her underwear.
  • Complainant B also said Eleanor Donaldson had witnessed an incident where her husband had “played” with her breasts.
  • The offences were committed between 1985 and 1991.

Victim’s statements

Victim A said the abuse had condition her experiences in adult life. She said she still suffers debilitating nightmares and has been medicated since her 20s.

(FILE PHOTO) Former DUP leader Jeffrey Donaldson sentenced to 15 years in prison for child sexual abuse on October 15,2026 NEWRY, NORTHERN IRELAND - JUNE 19: Former DUP Leader Sir Jeffrey Donaldson leaves Newry court house after the Judge sent the jury home for the weekend requesting them to return on Monday on June 19, 2026 in Newry, Northern Ireland. The former Democratic Unionist Party (DUP) leader is facing 18 charges of rape, indecent assault, and gross indecency, involving two alleged victims between 1985 and 2008. A judge ordered a simultaneous trial of facts for his wife, Lady Eleanor Donaldson, who has been accused of five counts related to aiding and abetting her husband's charges. She is has been deemed unfit to stand trial on mental health grounds. (Photo by Charles McQuillan/Getty Images)
(FILE PHOTO) Former DUP leader Jeffrey Donaldson sentenced to 15 years in prison for child sexual abuse on October 15,2026 NEWRY, NORTHERN IRELAND - SEPTEMBER 10: Sir Jeffrey Donaldson arrives at Newry Courthouse in Newry on September 10, 2024 in Newry, Northern Ireland. Jeffery Donaldson faces 18 charges ??? one count of rape, four of gross indecency with or towards a child and 13 of indecent assault on a female between 1985 and 2008. Mrs Donaldson faces five charges ??? abetting rape, cruelty to a person under 16 years old, and three counts of aiding and abetting indecent assault between 1987 and 2008. (Photo by Charles McQuillan/Getty Images)

Victim B said the abuse has affected every relationship she has ever had.

“I wonder what it is like not to be afraid at night,” she says. “I wonder what it is like not to be afraid at night.”

Why Sally Rooney’s books are being pulled from the UK

EDINBURGH, SCOTLAND - AUGUST 22: Sally Rooney attends a photocall during the Edinburgh International Book Festival on August 22, 2017 in Edinburgh, Scotland. (Photo by Simone Padovani/Awakening/Getty Images)

Irish author Sally Rooney has said her books will no longer be on sale in the UK due to legal complications from her support for Palestine Action, a proscribed terrorist organisation.

A ‘serious criminal offence’

Rooney, who is the author of books such as , previously pledged to donate sale proceeds to Palestine Action.

  • She said: “In July 2025, the direct-action protest group Palestine Action was proscribed as a terrorist organisation in the UK. The following month, I wrote an opinion piece expressing my intention to go on supporting Palestine Action.”
  • The group is not proscribed in Ireland.
  • “As a result, the fulfilment of contracts to publish my work in the UK could now constitute a serious criminal offence […] Faber has therefore determined that it can no longer supply my work within the UK,” Rooney added.
  • From 5 July last year, support for Palestine Action can result in a prison sentence of up to 14 years.
  • The group has challenged the ban in the Supreme Court. The appeal is yet to be heard.

Can you still get her books?

On Wednesday, Ronney’s publisher Faber & Faber announced it would be halting sales in the UK, and her titles appear to have been pulled from sale as ebooks and audiobooks. Booksellers can continue to sell her books until they run out, after which they will not be restocked.

Interior of a modern library with long aisle between bookshelves filled with books. Education, knowledge, research, learning, academic study and information access concept. Quiet public library environment with clean architecture and perspective lines.
  • The BBC also has TV adaptations of some of her work, and it is not clear whether this will be affected. Rooney has said previously that any fees generated by their availability could be problematic.

Watch more from The i Paper

BIRMINGHAM, UNITED KINGDOM - SEPTEMBER 4: Attendees take part in Reform UK's annual conference at the National Exhibition Centre in Birmingham, United Kingdom, on September 4, 2026. (Photo by Rasid Necati Aslim/Anadolu via Getty Images)

What did Reform councillors say?

In the film, Undercover: A Year in Reform, Reform councillor in Solihull, Alan Feeney, was recorded saying the area has been “infested” with Asian families, and called them “absolute parasites”.

ITV reported Feeney had “mutually agreed” to resign from Reform, citing “personal reasons”, and would be continuing as an independent councillor.

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Further allegations

Alongside Feeney, fellow Solihull councillor Chris Whelan was recorded using sexist and Islamophobic language.

  • Speaking about a female Reform candidate, Whelan said: “If she was my daughter, it would still be bath night on a Thursday.”
  • Whelan has resigned from Reform citing health and personal reasons.
  • Dean Miller, another Reform councillor, representing Bromley in south London, was recorded calling black children “animals” while campaigning for the party in the Makerfield by-election.
  • He told ITV he had been heavily medicated and no longer represented the party.

What has been Reform’s response?

Reform has said “there is no room for racism” in the party. A party spokesman said “investigations have commenced” and there have been some suspensions. Reform added that it had improved its vetting but that “a handful of individuals who do not share our values will initially make it through”.

DONCASTER, ENGLAND - OCTOBER 01: Reform UK Leader Nigel Farage speaks during a Reform UK rally at Doncaster Race Course on October 01, 2026 in Doncaster, England. Reform UK Leader Nigel Farage is visiting Doncaster for a rally to announce his party's pledges for its first 100 days in government, if voted into power in the next general election. (Photo by Christopher Furlong/Getty Images)
  • Nigel Farage has repeatedly said he wants to rid the party of “bad apples” and has previously insisted he didn’t want Reform to be “a sectarian or racially based party in any way at all”.

How have other parties reacted?

Labour has described the revelations as “truly sickening”, adding: “Nigel Farage can’t shrug these latest revelations off as being a few bad apples.”

LONDON, ENGLAND - SEPTEMBER 11: Conservative party leader Kemi Badenoch speaks to the media after visiting the Bayeux Tapestry at the British Museum on September 11, 2026 in London, England. Conservative Leader Kemi Badenoch and Shadow Culture Secretary Rebecca Paul are viewing the Bayeux Tapestry while it's on loan to the British Museum from France through July 2027. The 70-metre-long embroidery was made in the 11th century and depicts the story of the events leading up to the Battle of Hastings in 1066. (Photo by Alishia Abodunde/Getty Images)
LONDON, ENGLAND - SEPTEMBER 21: Prime Minister Andy Burnham gives a speech during a reception at no 10 Downing Street to recognise the contribution of organisations and volunteers who supported communities across the UK this summer, including through the recent heatwaves, wildfires and other emergencies, on September 21, 2026 in London, England. (Photo by Jonathan Brady - WPA Pool/Getty Images)

The Conservative Party said: “Nigel Farage promised to make Reform ready for government. These sorry individuals are proof he has failed.”

How one in six on disability benefits ‘do not face extra costs’

Around one in six working age people who receive disability benefit do not incur extra costs because of their conditions, a new report has found.

LONDON, UNITED KINGDOM - 2025/03/26: Protesters hold placards in support of Personal Independence Payment (PIP) and welfare outside Downing Street during a demonstration against benefit cuts. Crowds of protesters gathered in Westminster as Chancellor of the Exchequer Rachel Reeves presented her Spring Statement. (Photo by Vuk Valcic/SOPA Images/LightRocket via Getty Images)

What PIP is meant to do

The personal independence payment (PIP) is a disability benefit designed to help cover extra living costs from long-term physical or mental health conditions.

However, the Resolution Foundation think-tank said its research suggested 16 per cent of those on PIP reported no additional costs due to their condition.

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A saving of £4.4bn

The think-tank said a redesigned system could remove 12 per cent of claimants by 2029-30 and switch payments for a further 4 per cent to improved non-financial support.

Combined, the report claimed the measures could save £4.4bn by targeting those whose conditions increase their outgoings.

Close-up on digital tablet on desk top. (Mock-up.)
  • A change of this nature would affect younger PIP claimants particularly, with 21 per cent of those in the 16- 24 years caseload reporting no additional costs and little limitation from their disability.
Red stair chair lift for people with disability

Other suggestions for reform

The think-tank also suggested one-off payments could be more effective for people who reported a particular cost such as a mobility aid.

It also recommended that claimants should be asked more specifically about their extra costs and needs and be subject to more frequent but “lower stakes check-ins.”

How many people are on PIP?

Official data shows 4.09 million people were entitled to claim PIP as of 31 July, 2026.

  • This is an increase of 7 per cent from last year
  • The number of claimants has roughly doubled since comparable figures began in January 2019
  • Up to £16.3bn was spent on PIP in 2019-20 when adjusted for inflation, which increased to £27.3bn in 2024-25 according to Department for Work and Pensions statistics
  • It is currently predicted to rise to £41.5bn by 2030-31

The key benefit cuts that look likely after Burnham hints at shake-up

Two reviews due this autumn will shape what comes next for universal credit and personal independence payments.

The recruitment scam warning catching out 47% of Gen Z

Young businessman working on laptop and looking worried in modern office conference room

Nearly half of adults aged 18-24 have been sent a message offering a job they had not applied for, a survey by Virgin Media O2 has found.

What people should watch out for

The company warned that recruitment scams can appear convincing, with victims tricked into paying fees, sending money, clicking links or downloading software.

Man using a credit card to pay bills
  • O2 identified scams on its network that promised hundreds of pounds for an hour or so of work per day, whilst others just looked like a regular message from a recruitment agency.

Worries over finding work exacerbates the problem

Half of the 18- to 24-year-olds surveyed said they are concerned about missing a genuine opportunity if they ignore unexpected recruitment messages.

Of those, 35 per cent said they would be tempted to respond to an attractive offer, even if they thought it might not be genuine.

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How to check for a scam

“Before responding to an unexpected job message, check the opportunity directly with the company using contact details you’ve found yourself.”

Murray Mackenzie, director of fraud prevention at Virgin Media O2

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Astronomers discover first ever green star

The first-ever green star has been detected (and catchily named WD J1330+6435) by astronomers at Warwick University.

Enriched from above: The cool white dwarf WDJ1330+6435 has accreted sodium-rich rocky material from its planetary system into its atmosphere. The immense atmospheric density causes the sodium to absorb light over broad range of yellow, orange, and red wavelengths, giving the WDJ1330+6435 a ghostly green appearance. Credit: Mark A Garlick/University of Warwick

What type of star is it?

The star is a white dwarf – the collapsed core left behind when a burnt-out star reaches the end of its life and ejects its outer layers.

But their name can be misleading, with researchers at the university finding them in shades of yellow, pink, purple and now green.

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How scientists worked out its colour

White dwarfs are so dense and dim that they are not bright enough to be seen as a circle even with the use of a telescope, only appearing as a single point.

  • This also means that our eyes can’t detect its colour
  • To work out its shade, scientists had to analyse the chemical make-up of the light to identify the colour of the star if it’s close enough to see
  • They found that in the atmosphere of the star, sodium was absorbing yellow, orange and red wavelengths of light, while calcium absorbed violet and blue
  • A model of the human optical system concluded that because of this, the star would appear a “ghostly” shade of green

How the UK rejoining the EU could impact your money

With the prospect of rejoining the EU now a possibility, many questions have been asked about the possible impact on people’s finances. Our business columnist Hamish McRae aims to answer 10 such questions on what this seismic change could mean.

The impact of the euro

  • 1Would we have to adopt the euro? We don’t know. The opt-outs we had previously have lapsed but we could renegotiate.
  • 2Would the euro be better? Historically, the euro has been stronger, but it would only be a marginal advantage.
  • 3Would inflation be higher or lower? Historically, the UK has a much worse record so you would expect slightly lower inflation.
  • 4How would it affect interest rates? They are generally lower in Europe, but when this has led to inflation or a surge in borrowing, governments have been forced to take other measures to hold down prices.

Membership pros and cons

  • 5Would the EU have control of tax and spending policies? No, but the European Central Bank could have a big influence on these.
  • 6What about unemployment? Unemployment is generally higher in the EU; so, on balance, it would probably go up in the UK.
  • 7Are there practical advantages of membership? There are some, like individuals and companies not having to change currencies, but it does come at a price.
  • 8Is the euro popular with the European public? Yes, 83 per cent support it as per a survey carried out last year.

How popular would it be?

9. What about euro popularity here?
It is impossible to unpack that from the issue of rejoining the EU. If you look at where Britons emigrate to, the top three are Australia, the US and Canada, which all have their own currencies. In that sense, our links are with the Anglosphere, not Europe.

One Euro and British pound coins are seen in this illustration taken, November 9, 2021. REUTERS/Dado Ruvic/Illustration
Prime Minister Andy Burnham departs 10 Downing Street, London, to attend Prime Minister's Questions at the Houses of Parliament. Picture date: Wednesday October 14, 2026. PA Photo. Photo credit should read: Jordan Pettitt/the Press Association

10. What will happen to the Eurozone?
The answer, inevitably, is that we don’t know. What we do know is that adopting the euro, if it were ever to happen, is a long, long way down the line.

Inside Burnham’s Brexit gamble: How under-30 migration is set to unlock a new deal

Andy Burnham is set to sign a landmark Brexit reset deal with the EU next month which he said could provide a £10bn-a-year boost to the British economy.

New world-leading NHS genomics lab to improve cancer care

Female Scientist Performing A Scientific Experiment In A Laboratory, Holding A Petri Dish And Dropper.

A world-leading NHS laboratory has launched in the UK to advance personalised cancer testing and treatment.

Making use of AI

The Royal Marsden Centre for Cancer Genomics will work with to deliver a new generation of cancer diagnostics known as .

This involves information about a patient and their tumour being combined with artificial intelligence to give the fullest picture of their cancer.

It will help doctors ensure NHS patients can access clinical trials, more personalised treatments and flexible treatment plans that can change with their cancer.

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“Currently, workflows in the NHS very much focus on doing a single test for a patient with a single action that follows it. We think that, in the future, to really refine patient treatment to make sure that it’s truly personalised… we’ll be taking multiple measurements from patients during the course of treatment for cancer”

Professor Michael Hubank, scientific director of clinical genomics at the Royal Marsden
A nurse in blue scrubs with a stethoscope consults with a Black patient in a clinic, using a tablet. Warm, professional healthcare scene highlighting patient care and medical teamwork.

How will it work?

  • AI will “integrate” the information to create a score which is very specific,” said Hubank.
  • This score tells doctors where the patient sits on a spectrum of how to treat them and what therapies to give them in the first place.
  • Hubank added: “Not only that, the continuous monitoring of those patients down the line will tell doctors how to tailor that treatment to each individual patient.”

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There is mounting concern within the BBC that this timeline could slip into next year, leaving the corporation in further limbo and meaning viewers could face further cuts to programmes and channels.

Any changes would need to be place by the end of December next year. This is when the BBC’s current royal charter – which sets out how the corporation operates and is funded – runs out.

Meanwhile, tensions are rising behind the scenes over the BBC’s plans to save £500m by cutting 2,000 jobs.

Whitehall insiders say Culture Secretary Lisa Nandy has questioned why the deep and unpopular cuts to programmes and services have been announced while White Paper negotiations are still under way.

“The BBC is facing financial pressures but it is not in the kind of dire straits that some of these cuts would suggest,” said one figure with knowledge of the discussions. 

‘Clock ticking’ down on BBC future 

Director-general Matt Brittin has called the licence fee a “busted flush” which is outdated in the streaming age.

The BBC has suggested replacing it with a household levy paid by everyone, but at a lower rate than the current charge.

Matt Brittin bbc director general bbc image

But the Treasury is understood to oppose any proposal which could be presented as a new tax on households already facing a cost of living crisis.

With its cash reserves drained and licence fee cancellations hitting 539,000 last year, the BBC says it has no choice but to make immediate 10 per cent cuts across its services, in a bid to save £500m.

BBC cuts have so far seen a raft of Radio 4 shows scrapped including You and Yours, plans for 90 jobs to be axed in a consolidation of local radio and regional TV news, and the mooted closure of entire broadcast channels, such as youth service BBC Three.

A senior BBC source said: “The clock is ticking if there is going to be a White Paper agreement before the Christmas recess. Time is running out.

“No organisation can plan its finances when it has no idea what its funding situation will be in 18 months time.”

White Paper could deliver a ‘fudge’

Government sources said Nandy was still discussing options to reform the licence fee with the BBC and no final decision had been taken.

She is committed to putting the BBC on a sustainable financial footing for the long term, they added.

But a former government adviser on media policy said: “It’s too late to agree a major overhaul of the licence fee by December which can be introduced in 2028.

“The danger is the White Paper just delivers a fudge or transitional arrangement that has to be revisited.”

LONDON, UNITED KINGDOM - SEPTEMBER 08, 2026: Secretary of State for Culture, Media and Sport Lisa Nandy leaves 10 Downing Street after attending weekly Cabinet meeting in London, United Kingdom on on September 08, 2026. (Photo credit should read Wiktor Szymanowicz/Future Publishing via Getty Images)

A BBC deal rests in large part on the chemistry between Nandy, a close ally of Andy Burnham, and former Google president Brittin.

Speaking at a private reception hosted by the BBC at the Labour conference recently, Nandy said the corporation needed to go further on devolving programme-making and commissioning power to the regions but gave no assurances on future funding, The i Paper understands.

The BBC has announced plans to shelve proposals for a dedicated Birmingham studio for The Archers, and stop recording the agricultural radio soap in the city for the first time in 75 years.

But Richard Parker, Labour and Co-op Mayor for the West Midlands, said on Wednesday after “constructive” discussions with Brittin he is “encouraged” keeping the show in Birmingham “remains on the table”.

“Let’s be clear: belongs here,” he said.

One industry insider also said Nandy “can seem disengaged with the brief”. They noted she gave just a passing mention to the BBC in her conference speech, which focused on online safety.

Allies of Nandy rejected the suggestion. BBC deputy director-general Rhodri Talfan Davies also recently described her as “very constructive” in discussions, with a clear understanding of “the importance of this moment for the BBC”,

Internet levy proposal

“A lot of progress has been made in talks over the new charter. The discussions are positive,” another senior BBC figure said. “We are probably coalescing around reforms to the licence fee that puts the BBC on sustainable footing. But everything is contingent on that funding solution.”

Other proposals to replace the licence fee include a broadband levy, a monthly surcharge on streaming platform bills and a supplementary payment on devices used to watch video and play podcasts, such as mobiles and laptops.

Although the BBC may not get its preferred funding solution, the White Paper could give the broadcaster other long-term benefits.

The new BBC charter could also require the broadcaster to meet stringent minimum hours of news and education programming and commit to investing more in the nations and regions, a central policy of the Burnham administration.

World Service funding on the table

As part of the talks, BBC is also lobbying the Government to take back responsibility for funding the World Service, which it did until 2014.

Currently the Foreign, Commonwealth and Development Office provides about a third of the budget, with the BBC licence fee covering the rest, The i Paper understands.  

“The UK licence fee payer will ask why they are paying for an international service which projects British ‘soft power’ values of independent journalism across the world,” a BBC News journalist said.

Foreign Office sources said the Government was “open-minded on how the World Service is funded”. The current charter renewal debate was “the right moment to look at potential long-term sustainable and predictable funding mechanisms.”

‘We need a new funding mechanism’

The BBC was approached for comment.

Sources pointed to Brittin’s recent comments where he said the BBC was “having to make half a billion pounds of savings and we don’t yet know what our future financial agreement will be. We need a new [funding] mechanism if we’re going to have the sort of scale of public service media that we’ve had in the past”.

A spokesperson for the Department for Digital, Culture, Media and Sport said Nandy is “heavily engaged in the future direction of the BBC”. This has been “made clear in numerous meetings, speeches, visits and interviews”.

“She has made this Charter Review a clear priority, with the aim of putting the corporation on a sustainable financial footing, so that it has the resources it needs to continue to deliver for the country.”

They said the White Paper will be published “in due course”.

Original source ‘Time is running out’: Inside the fraught BBC talks to replace licence fee

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