A new scheme will affect free TV Licences for over 75's.
The free TV Licences were paid for by the Government. It was announced in 2015 that they would stop paying for it.
Following a public consultation, the BBC Board has decided that from 1 June 2020, anyone aged 75 or over who receives Pension Credit will still be eligible for a free TV Licence.
Households where there is no one aged 75 or over that receives Pension Credit will need to buy a licence if one is needed.
The broadcasting company say that over 1.5 million households could get free TV licences if someone is over 75 and receives Pension Credit.
Anyone who already has a free over 75 Licence will be covered until 31 May 2020. The BBC will write to all free over 75 Licence holders before 31 May 2020 to let them know how they will be affected and what they will need to do.
Kate Forbes MSP said: "After years of Tory austerity, the last thing older people need is the extra burden of £154.50 on top of their household bills.
"The UK Government is picking on the most vulnerable pensioners. It should rethink and fully fund the TV licence for over-75s."
Through an Act of Parliament, the Government gave the BBC the power to decide on the future of the free TV Licences. The new scheme will cost the BBC up to £250 million by 2021/22, depending on implementation.
Sir David Clementi, BBC Chairman, and Tony Hall, Director General of the BBC, stated: "We want to make claiming the free licence simple and straightforward.
"Individuals will simply need to demonstrate their receipt of Pension Credit in order to qualify. If you're over 75 and currently get a free licence, you don't need to do anything yet. You will carry on being able to get a free licence until June 2020.
"TV Licensing will be in touch before then to tell you what you need to do. If you want to find out about our decision in more detail you can read all our documents here."