THE BBC could be funded in future through Netflix-style subscription model instead of the licence fee, its director-general has said.

However, Lord Hall told MPs that this would deliver a “very different” BBC.

The licence fee model is guaranteed until at least 2027 after which the broadcaster will have to negotiate a new funding arrangement with the Government.

It comes amid controversy over the decision to scrap free TV licences for the majority of over-75s.

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Giving evidence to Westminster’s digital, culture, media and sport select committee, Lord Hall said: “You could decide the BBC is a subscription service.

“It would be very, very different to the sort of BBC you have now, because you would be giving subscribers what they want, not the breadth of the population.

“I would argue that’s the wrong model for supporting the BBC.”

However, the director-general said the BBC should learn from providers such as Netflix if they did adopt a subscription service by making it as easy as possible to opt in or out.

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He said he would favour a weekly payment plan.

The BBC has been criticised for axing free licences, but the broadcaster has blamed the UK Government for withdrawing financial support for it.

Ministers say they also introduced a guarantee to raise the licence fee line with inflation.