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BBC bosses set to spend ‘£63m on taxis’ as calls to scrap licence fee surge

The BBC has been accused of “treating licence fee-payers’ money as an open tab” after it emerged £63 million had been earmarked to cover taxi costs.

BBC building in London

The broadcaster has admitted it faces an ‘unprecedented content funding challenge’ (Image: Getty)

The BBC has been accused of “treating licence fee-payers‘ money as an open tab” after it emerged bosses are planning to spend £63 million on taxis for employees and guests this year. The broadcaster will set up a 24/7 cab service for staff, presenters and guests as part of a five-year contract, equivalent to the cost of more than 361,000 TV licences, according to reports.

The contract, as advertised on a Government website, will cover a “ride-hail” app service, totalling £35.5 million, and pre-booked taxi services across the UK and abroad, adding up to £17 million. The deal is reportedly set to run from July 2027 to June 2030, with the possibility of an extension thereafter.

Modern London Taxis queing

The contract will cost the equivalent of over 361,000 TV licences (Image: Getty)

It comes amid governmental debate over the corporation’s future as part of the charter renewal process, including suggestions of replacing or supplementing the £174.50 licence fee with advertising or a subscription service.

BBC bosses have previously admitted they face an “unprecedented content funding challenge”, with a 2025 Annual Plan warning that “without intervention, it will be difficult to maintain the current ambition and volume of UK content”.

The corporation’s latest report also revealed that licence fee cancellations and evasions cost it over £1 billion last year, despite a major escalation in enforcement efforts.

But Shimeon Lee, policy analyst at The TaxPayers’ Alliance, said the huge sum earmarked for taxi services is “a perfect example of how the BBC treats licence fee-payers’ money as an open tab”.

She told The Sun:“While households are struggling to cover energy bills and food costs, the BBC is lining up app-based ride-hailing and international chauffeured travel for its own staff. These perks should be scrapped, and so should the licence fee.”

Conservative MP Ben Obese-Jecty added: “Given there are serious questions over the value that the licence fee represents, this raises yet more questions about its priorities and how its funding is spent.

“We desperately need the Government to deliver a leaner and more focused national broadcaster.”

The licence fee is expected to rise to over £180 in April, in line with inflation, as pressure continues to mount on the broadcaster following the resignations of top executives and a lawsuit from US President Donald Trump, who is seeking up to $10 billion (£7.5 billion) in damages in response to the editing of a speech he made before the 2021 attack on the Capitol.

A BBC spokesperson said: “This contract will cover global taxi services for both the BBC’s public service and commercial arm, including transport for staff, productions, contributors and equipment.

“We have strict guidelines in place around the use of taxis and when their use is and isn’t acceptable. The figure quoted is the maximum potential value of the contract over a five year period, not the final cost.”

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