The BBC will come under growing financial strain as the government blocks an expected 9 per cent licence fee increase, the culture secretary has suggested.
The rise in the annual fee, if in line with inflation, would be by around £15 to £173.30, but Ms Frazer said she was concerned this would be high while the cost of living crisis is ongoing. She said the licence fee will still rise, but added: 'As it rises, the BBC needs to be realistic about how much it can rise by.'
The BBC is already under pressure because of the two-year licence fee freeze - which has left its funding flat despite spiralling inflation. It is scaling back its programming to make £500 million of savings and last week announced that nightly current affairs show Newsnight would be reduced to a 30-minute programme, with more than half of its staff being cut.
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