The criticism came from former Tory and Ukip MP Douglas Carswell who told TalkRADIO he would force the BBC to switch to a subscription service like Netflix. Mr Carswell compared the broadcasters to a “cartel” arguing no other TV service would threaten viewers with a prison sentence like them. He said: “I heard from a BBC journalist the other day saying the BBC was really good value and incredibly good value for money.

“In which case, they’ll have no difficulty attracting people as subscribers every month as Netflix does.

“But Netflix would never be allowed to threaten you with a prison sentence for not renewing your subscription.”

He added: “If I was 20 years younger and I was looking to go into politics, I’d be focussing number one on taking on the BBC cartel.

“Getting rid of the licence fee.”

It comes as Baroness Nicky Morgan launched a scathing attack on the BBC on Sunday, warning bosses at the top of the corporation any reluctance to accept change is “not an option”.

The former Culture Secretary has insisted “reform is unavoidable” as the BBC comes under increasing scrutiny over the future of its TV licence.

It is understood Downing Street is considering replacing the annual £154.50 licence fee with a Netflix-style subscription model in the coming years.

The Government is already consulting on proposals to decriminalise non-payment of the licence fee and ministers have suggested it could be abolished altogether when the BBC’s charter comes up for renewal in 2027.

The BBC is undergoing major changes at the top after Lord Hall announced he would step down as director-general in the summer – his successor is yet to be confirmed.

Ms Morgan has called on the BBC to take control of the uncertainty and stated the “best way” for it to move forward is to “start the ball rolling yourself”.

The 47-year-old said: “When reform is unavoidable the best way to tackle it is to start the ball rolling yourself.

“The future leadership of the BBC would best aid their cause by accepting that ‘no change’ is not an option.”

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The former MP for Loughborough also dismissed concerns the BBC could suffer financial loses by axing the licence fee and pointed to the beeps several revenue streams.

Writing for the Sunday Telegraph, she added: “The BBC already receives income from sources other than the licence fee.

“BBC World Service receives some Foreign Office funding and is a huge feature of Britain’s global soft power.

“The BBC’s successful commercial subsidiaries demonstrate the ability to bring in further income and this must surely be a bigger part of the BBC’s future.”

On Saturday, veteran BBC broadcaster David Dimbleby leaped to the defence of the corporation and stated it was “under threat in a way it has never been before”

The Former Question time anchor said the Government was using the “pernicious route” by arguing the licence fee is “wrong and unfair”.

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