They have only days to save money on a new licence. On 31 March 2008, the Government will increase the price of a colour licence by £4 to £139.50. The cost of a black and white licence is set to rise from £45.50 to £47.00.

 

In addition to watching standard TV sets without a licence, it is also illegal to view or record programmes on work computers and laptops. However, businesses do not require a licence to play videos, DVDs or view footage captured on security cameras.

The FPB's spokesperson, Phil McCabe, warned the owners of smaller firms to check whether they have the correct TV licence.

"Many will not realise that the rules apply to watching television on the internet as well as TV sets," he said. "There should be no doubt over the legal requirements for TV licensing – if you plan to allow your staff to watch television at work, then you must have a licence, or risk a fine of £1,000."

For most business premises, one licence covers a single site. Exceptions are hotels, mobile units and entertainment venues, such as sports stadiums, which contain individual corporate boxes. Businesses that sub-let part of their premises, or which have an on-site social or welfare club, may require an additional licence. Any residential accommodation attached to a place of work needs to have a separate licence as well.

"As the new financial year draws closer, it makes sense to check whether you could save some cash by renewing your TV licence before the end of the month," said TV Licensing's Abigail Forbes. "TV Licensing would always prefer people to pay for their licence, than risk prosecution and a fine of up to £1,000."

She added: "The law is clear – if a business uses or installs any equipment in order to watch or record TV programmes as they are being shown on TV, including TV sets, laptops and PCs, it needs to be covered by a TV licence."

Businesses must also hold a licence allowing their staff to play music at work, or face fines from the Performing Right Society (PRS) and Phonographic Performance Ltd.