A free TV Licence will only be available to households with someone aged over 75 who receives Pension Credit from June 2020, the BBC has announced.

The BBC posted a tweet which explained: "From June 2020 any household with someone aged over 75 who receives Pension Credit will be eligible for a free TV licence funded by the BBC.

"This means: Those least able to pay will still get a free licence

"Viewers & listeners will still receive the best programmes and services that the BBC can provide."

Around 1.5 million households could be eligible for a free licence under the new scheme.

It is thought more than three million pensioners will now have to pay the fee.

The corporation's Director-General, Tony Hall, said: "This has not been an easy decision. Whilst we know that pensioner incomes have improved since 2000, we also know that for some the TV Licence is a lot of money. I believe we have reached the fairest judgment after weighing up all the different arguments.

"It would not be right simply to abolish all free licences. Equally it would not be right to maintain it in perpetuity given the very profound impact that would have on many BBC services.

"This decision is fairest for the poorest pensioners. Around 1.5 million households could get free TV licences if someone is over 75 and receives Pension Credit. It protects those most in need. And importantly, it is not the BBC making that judgment about poverty. It is the Government who sets and controls that measure.

"It is fairest for all audiences - of all generations, old and young - who we know value the BBC and the programmes and services we provide. It means these services can continue.

"We also need to look at how the level of the licence fee is set in the future. The last two settlements have been made in the dark and without proper consultation. It is vital that future decisions are evidence-based and made after proper consultation and scrutiny. We need to find a better way."

Caroline Abrahams, charity director of Age UK, said: "Make no mistake, if this scheme goes ahead we are going to see sick and disabled people in their eighties and nineties who are completely dependent on their cherished TV for companionship and news, forced to give it up.

"Means-testing may sound fair but in reality it means at least 650,000 of our poorest pensioners facing a big new annual bill they simply can't afford, because though eligible for Pension Credit they don't actually get it.

"The BBC's decision will cause those affected enormous anxiety and distress, and some anger too, but in the end this is the Government's fault, not the BBC's, and it is open to a new prime minister to intervene and save the day for some of the most vulnerable older people in our society who will otherwise suffer a big blow to their pockets and to their quality of life.

"The decent thing for the Government to do is to continue to fund the entitlement until the BBC's overall funding deal comes up for negotiation in 2022.

"This would be warmly welcomed by our older population as a much fairer way to proceed."