Galaxy
Yes we understand the system which is why I continue to pay and just hope they change the system soon. I would think the increasing number of people not paying will eventually lead to a shift.
We, too, continue to pay because we know what the system is.
I think it is a daft system because it has become so very outdated; licences for things like radios and dogs were abolished a long time ago, I assume because the cost of policing them far outweighed any benefit that might have accrued from collecting them.
The fact that very few people are prosecuted for not paying the TV licence tells me that it is futile of government to make having one a legal requirement if the sanction for not having one is not going to be consistently applied.
I very much value that we have a good and extensive (it encompasses radio, too, don't forget) public broadcasting system which doesn't carry advertising and is, theoretically, free from political bias. I think it is an essential 'public good'. like education, justice, health services etc. which should be paid for by the state without the pretence that it is funded by our licence fees.
Just as with any other of the state provided services the money put into the BBC will circulate in the economy, not only by payment of wages and salaries but by helping to sustain the private enterprises which depend on it, both directly and indirectly.
Incidentally, the mention of VED reminds me that in the days before motorised vehicles, horse drawn transport was subject to some sort of taxation... It wasn't a novel concept for motor vehicles.