BBC licence fee payers drop by 539,000 as Scott Mills tops presenter pay list before sacking

The BBC is facing a "moment of real jeopardy", according to its director general Matt Brittin, as the corporation's annual report laid bare a sharp decline in licence fee payers and an awkward pay list topped by a presenter it had already fired.

Licence fee decline accelerates

The number of TV licences in force fell by 539,000 to 23.3 million in the 12 months to the end of March 2026. The drop is significantly steeper than the 300,000 fall recorded a year earlier, and the annual report itself conceded a "steeper projected decline in licence fee sales". Fewer than 80% of UK households now pay the £180-a-year licence fee, even though the BBC says it reaches 94% of adults on average per month.

It is a moment of real jeopardy, not just for the BBC but for public service broadcasting and the UK as a whole.

Brittin has described the licence fee funding model as "no longer fit for purpose". The BBC is planning to cut up to 2,000 jobs as it grapples with the need for large savings.

Scott Mills tops pay list after sacking

Scott Mills was the highest-paid on-air presenter in 2025/26, earning between £745,000 and £749,999. His salary jumped by around £400,000, or 108%, from the previous year, when he earned between £355,000 and £359,999. Mills was sacked in March after the BBC received new information relating to a 2016 Metropolitan Police investigation into alleged historical sexual offences involving a boy under 16 between 1997 and 2000. Prosecutors ultimately dropped the case, determining there was not enough evidence to press charges.

The BBC had made remarkable progress in cutting presenter pay in recent years, but it was a balancing act because it has to compete with commercial rivals to attract talent.

Mills was replaced on the Radio 2 breakfast show by Sara Cox, whose salary stood at nearly £325,000 in 2025/26.

The rest of the pay list

Radio 1 breakfast host Greg James was the second highest-paid presenter, earning between £440,000 and £444,999. Northern Irish broadcaster Stephen Nolan was third with between £425,000 and £429,999, up from £405,000 to £409,999 the previous year. Laura Kuenssberg, the highest-paid female staff member and top-earning news presenter, took home between £405,000 and £409,999, joint fourth with Radio 2's Vernon Kay. Alan Shearer saw his pay decrease from between £440,000 and £444,999 to between £390,000 and £394,999, placing him sixth.

Gary Lineker, who had topped the list for eight consecutive years, earned between £325,000 and £329,999 after leaving the BBC in May 2025. His final salary was down roughly £1 million from the previous year's £1,350,000 to £1,354,999. Zoe Ball, second on last year's list, also departed and will present an afternoon show on Greatest Hits Radio from September.

What the pay list does not show

The published figures only cover presenters paid directly from the licence fee. Stars paid via independent production companies, such as Claudia Winkleman (Strictly Come Dancing, The Traitors), Michael McIntyre, and Graham Norton, do not appear. Stephen Nolan's show Peelers is made for the BBC by his own production company, Third Street Studios. Overall, the BBC's total talent costs edged up nearly 1.5% to £14.2 million, the highest level in six years.

Northern Ireland performance

BBC Northern Ireland reported a strong year, with hit dramas Blue Lights and Hope Street filmed locally, the launch of The State of Us podcast, and dedicated YouTube films. It remained the most used media brand in Northern Ireland, used by 84% of adults per week. BBC Northern Ireland director Adam Smyth was paid between £185,000 and £189,999, up from £178,000 to £184,999 the previous year.