Plans to means test the over-75s TV licence have been dismissed as an “abject disaster”.
The Tories vowed at the 2017 election to keep the perk enjoyed by 4.5million households.
But ministers had already put free TV licences at risk under a 2015 deal passing responsibility for funding the £745million-a-year perk to the BBC from June 2020.
The BBC says they would have to make huge cuts to afford footing the bill and is currently considering a range of options.
These include making over-75s pay half the cost of a TV licence, currently £154.50, or raising the entitlement age to 80.
But it’s understood that plans to means-test the subsidy by limiting free TV licences to over-75s who received pension credit was gaining ground.
This would slash the cost from £745 million to £209 million a year, according to BBC analysis.
It would strip free TV licences from 3.75 million households, protecting only 900,000 of the poorest pensioners.
Age UK charity director, Caroline Abrahams, said: “Means testing the TV licence would be an abject disaster for older people.
“Means testing doesn’t work with pensioners – more than one in three of the poorest do not get the means tested help to which they are entitled because they just don’t claim.”
Labour ’s Tom Watson said: “You cannot means test for social isolation. This Tory Government should stand by its manifesto promise and preserve free TV licenses today.”
The BBC will announce its plans for the future of the benefit within the next few weeks.
A BBC spokeswoman said: “We set out a range of options in our consultation to help the BBC make the fairest decision.
“We are carefully considering all the responses before making any decision.”
