Yahoo News BBC and Channel 4 deny merger claims
The BBC and Channel 4 have denied claims that they will be merging, amid upcoming licence fee negotiations.
First introduced in 1946, the licence fee pays for various BBC shows and services including radio, iPlayer and apps. According to the broadcaster, it accounted for about 65% of the BBC's total income in 2023.
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Negotiations with the government about the future of the licence fee will begin in January. The Guardian reports that discussions will take two years, with a deal needing to be in place by the end of 2027.
A decision will be made to determine if the fee will remain in its current form, transition to a subscription model, or be replaced by a new tax.
Following reports that 500,000 households a year were cancelling their TV licence, it was rumoured that the BBC was considering a merger with Channel 4.
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The move would allow the public service broadcasters to stay relevant and offer competition to streaming services. It would potentially add £1 billion in revenue to the BBC's balance sheet, and could enable other parts of the BBC to be subsidised by Channel 4's profits.
However, despite the claims, a BBC spokesperson has strongly denied any plans for a merger: "There are no ongoing discussions regarding the acquisition of Channel 4 and nor are we developing a proposal to do so."
Channel 4 itself has also refuted the claims to The Telegraph, with Chief Executive Alex Mahon saying, "The BBC have categorically denied this nonsense and hypothetical imaginings of ownership models will not distract us from delivering for our partners, stakeholders, audiences and the whole of the UK. Channel 4 is not for sale."
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