TV licence fee could be cut: advice to Ahern

The Minister for Communications, Mr Ahern, has received advice saying he could cut the television licence fee without reducing…

The Minister for Communications, Mr Ahern, has received advice saying he could cut the television licence fee without reducing RTÉ's revenue, his spokesman has confirmed. Mark Brennock, reports.

This is because the growing number of households in the State has ensured that a higher number of television licences is being sold annually. Revenue will therefore increase significantly as a result of the growing number of residences, opening the prospect for a fee reduction, the document argues.

However, a spokesman said that no decision had been taken on what to do about the 152 fee, which is up for annual review at the end of this year. Last year the Government refused to give RTÉ an increase in line with inflation, claiming not enough progress had been made in reducing staff numbers.

Mr Ahern pointed out in a radio interview last week that he had the power to reduce the fee, leading to speculation that for the second year running it will not be increased in line with inflation.

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The Government gave RTÉ a very substantial fee increase of €43 from 107 to 150 in 2002, but just a €2 increase last year.

Mr Ahern's spokesman confirmed yesterday that the Minister had received advice on the matter from within his Department recently, and that this highlighted the option of reducing the licence fee.