But what exactly is the licence fee - and who needs one? It is clear that the private sector can and will provide every kind of "public service" broadcasting.
"If the Government decides to take it forward it will consider the impact of it in the context of the overall licence fee settlement, with negotiations beginning later this year".
The former Today programme producer, who covered the Romanian Revolution and First Gulf war for the BBC, added: "I think the BBC does need to change".
Prime Minister Boris Johnson's Conservative government - which is increasingly at odds with the country's news media - said it would hold a "public consultation" on whether to stop charging people with a criminal offence if they don't pay the annual levy that funds the BBC.
Culture Secretary Nicky Morgan has launched a public consultation on whether non-payment of the TV licence fee should remain a criminal offence.
The department for Digital, Culture, Media and Sport will be considering options about how to enforce the licence fee rather than through the courts once the consultation has been concluded. "Our mission is to help public service broadcasters be better prepared to meet the challenges of the digital age", she advised. As the world around us changes, our laws must change too.
Even though the Conservative government acknowledges the decriminalization move would hit the BBC's funding, it's not proposing any way to make up the gap.
DCMS Committee Chair Elect Julian Knight MP said: "Today's announcement from the Government which could see an end to people getting a criminal record for not buying a TV licence marks a significant shift in the broadcasting landscape, with major implications for the future of the BBC".
This will look at the BBC's governance and regulatory arrangements and Morgan confirmed that ahead of the next Charter Review process the government would undertake a detailed look at the future of the TV Licence model itself.
She said: "The BBC is the most used media organisation in the UK".
"It did not recommend change - in part because the current system is effective in ensuring payment with very few people ever going to prison". Baroness Morgan noted that the BBC is in a strong position to support the commercial sector, and spent over four times as much on original United Kingdom programming in 2018 that Netflix, Amazon Prime and other subscription streaming services combined.
AN INCREASE in the cost of the television licence is "yet another blow" to the over-75s, says Age UK.
Previous year on the campaign trail, Prime Minister Boris Johnson had questioned whether it was right to continuing forcing consumers to sustain the BBC, saying: "How long can you justify a system whereby everybody who has a TV has to pay to fund a particular set of channels?"
A supplementary licence for colour TVs was introduced in 1968.
From June, the current scheme of all over-75s receiving free TV licences will be restricted to those who claim pension credit.
The current system entails that anyone who watches live TV or uses the BBC iPlayer must pay the fee.
There were 25,752,560 TV licences in force in the United Kingdom in 2018/19, according to TV Licensing.
She said: "If you are a pensioner in the position of struggling to pay an extra £157.50 a year for a licence, being able to spread out your payments will not change the fact that the sum is simply unaffordable on your low fixed income".