Around 475,000 UK households are missing out on a £174.50 annual saving due to a lesser known TV licence rule – here’s how to find out if you’re eligible to get a free licence.The logo for the Broadcasting House, the headquarters of the BBC is displayed outside on July 25, 2015 in London, EnglandAround 475,000 households are missing out on a saving of £174.50 a year due to a little-known TV Licence rule(Image: Getty)

A little known TV Licence rule that could save 475,000 people £174.50 a year has been revealed. It’s been confirmed that UK households can lower their BBC TV Licence fee from £174.50 to zero, providing a notable saving amidst the current cost of living costs.

The fee applies to any home that watches or records programmes as they’re being broadcast live on any TV channel or watches live programmes on any online TV service such as Channel 4, YouTube, or Amazon Prime Video.

Those eligible must be 75-years-old and over and receiving pension credit from the Department for Work and Pensions (DWP), potentially saving you £174.50 annually. According to Policy in Practice, there are currently 425,000 eligible individuals over the age of 75 who qualify for pension credit based on their income that have not yet applied.

The free TV licence scheme for those aged 75 or over was altered in August 2020. You can now apply for a free TV licence if you’re over this age and either you or your partner residing at the same address is receiving Pension Credit. This can be Savings Credit or Guarantee Pension Credit, Yorkshire Live reports.

elderly woman sat on an armchair pointing her remote control at the TVThose 75 and over and receiving pension credit from the Department for Work and Pensions (DWP) are eligible for a free TV license(Image: Nick Ansell/PA Wire)

The TV licence needs to be registered under the name of the person in your household who is 75 or older and receiving Pension Credit.

UK households have been advised that a free licence will not be given automatically.

You can find out if you qualify for a free TV licence by contacting TV Licensing on 0300 790 6071. Applications can also be submitted via this method.

Two pieces of evidence confirming that you’re receiving Pension Credit and are aged 75 or over will be required if applying online or by post. Your passport or driving licence can typically serve as one piece of evidence.

Make sure that the name you use to apply for your complimentary TV licence is the same as the one held by the DWP.

If the licence at your address is under a different name, you’ll need the existing licence number when applying for your free licence.

A free TV licence covers everyone that lives with you, regardless of their age.

If no one in your home is a recipient of Pension Credit, you’ll need to pay for your TV licence.

Other circumstances can see people receive a substantial discount on their TV licence.

For example, if you live in residential care or sheltered accommodation, you are entitled to a discount.

If you stay in a qualifying residential care home, sheltered accommodation or supported housing, you can receive a TV Licence for £7.50.

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To meet the conditions, you must also be either retired and over 60 or disabled.

Your housing manager can find out if you’re eligible and apply on your behalf.

Meanwhile, if you’re registered as blind or severely sight impaired, or live with someone who is, you can claim a 50 per cent discount.

The licence must be in the name of the blind person. If it’s not, a new application can be made to transfer it into their name.