Stars including Jeremy Paxman and Michael Palin line up to blast licence fee ...

Stars including Jeremy Paxman and Sir Michael Palin have blasted the decision to axe BBC-funded free TV licences for 3.7million over-75s, as a petition to reverse the move topped 430,000 signatures. 

The former Newsnight host accused the BBC of 'shooting itself in the foot' for accepting responsibility for the benefit from the government. 

'Benefits are the business of government, not broadcasters,' he said. 'Like many of the BBC's friends, I keep wondering how the organisation can keep shooting itself in the foot. It must look like a chunk of Emmental by now.' 

Newly-knighted Sir Michael said: 'I know the BBC did a pretty bad deal [on licence fee negotiations]… I just wish it wasn't at the expense of the people who now have to fork out for their licence.'

The fightback over the decision is continuing today, with furious viewers tweeting that they were cancelling their direct debit payments to the BBC in outrage. 

Other BBC stars also condemned the decision to restrict the benefit solely to people on Pension Credit, although many blamed the Government.

Baroness Bakewell, the presenter and former 'tsar' for the elderly, said responsibility for the over-75s concession was 'a government decision imposed on the BBC' and 'pensioners who do not claim tax credits but are still needful should get a free licence'.

Meanwhile, broadcaster Ben Fogle announced he would donate his entire salary from this year's BBC Animal Park to pay for pensioners' TV licences

It is not known how much the former Countryfile Star will be donating, but he did not feature on last year's list of BBC stars earning over £150,000.

In a post on Instagram, Fogle said: 'I love the BBC. I think it is one of the greatest institutions in the world. It is the envy of most nations, it makes amazing content and I'd argue it is still value for money.

'I also owe my whole career to the BBC. They gave me my first break and they (you) employed me for many years but I am disappointed in the recent announcement on the abolition of free licences to the over 75s.' 

The generous move comes as the scandal added further attention to  the BBC's 'profligate' spending, including the whopping salaries of its presenters, with Match of the Day host Gary Lineker topping the table with a £1.8m pay packet. 

Age UK's petition, which calls on the government to return to funding free licence fees for the over-75s, has already racked up more than 430,000 signatures. 

Another 128,000 people have signed one of the Parliament website calling on the universal benefit to continue - breaching the 100,000 level needed for it to be considered for a debate. 

Meanwhile, another to abolish the licence fee altogether because it is 'too expensive' has attracted more than 186,000 supporters.  

The government used to cover the bill for free TV licences, but the responsibility was handed to the BBC in 2015.

This had saddled the broadcaster with a bill of at least £745m from 2021, rising to more than £1billion by 2029. In return, the Government gave the BBC permission to either limit or remove the entitlement. 

They were also allowed to raise the general licence fee by inflation.  

The changes, which come into effect in June 2020 will give the BBC a total saving of £495m from 2021. 

Six Tory leadership hopefuls have now spoken out against the move.  

As the backlash grew yesterday, furious pensioners posted pictures on social media of themselves ripping up their TV licences in a symbolic protest. 

On Twitter user wrote: 'Just cancelled my DD for TV licence! If everyone in the UK done the same what could they do?!'

Another tweeted: 'Just cancelled my BBC TV licence and disconnected my aerial in response to the BBC's poor decision to cancel TV licence fee waiver for the over 75s!'

And a third said: 'We must stop watching the BBC. I just cancelled my TV licence because I am annoyed they want to start charging over 75s to pay TV licences.'

World War Two veteran Victor Gregg led the condemnation yesterday, accusing the BBC of 'robbing the piggy banks' of the generation who saved the world from Hitler. 

Mr Gregg, 99, told Good Morning Britain: 'It's only two days ago that they were patting all these old people on the head and calling them heroes.

'It's disgraceful - they want money, they're overspending. Who do they attack? Those who can't answer back.'

These was further controversy last night as it emerged people forced to buy TV licences will help top up generous BBC staff pensions.

Some former corporation bosses are entitled to six-figure handouts in retirement as members of a gold-plated payment scheme.

But the BBC faces a financial crisis with a black hole in its pension pot, its accounts reveal. It plans to spend £2billion plugging the gap by 2028 at a rate of around £200million a year, some of which will come from licence payments.

Some have questioned whether the BBC's pension crisis played a part in its decision to scrap most free TV licences. Corporation staff have long enjoyed enviable pension deals, with some entitled to six-figure sums because they are on a 'final salary' scheme.

Former BBC creative director Alan Yentob's pension is at least £216,667 a year, according to a calculation by analysts in 2010. Ex-deputy director general Mark Byford gets at least £229,500 a year, according to analysts – although others say it is closer to £400,000.

The BBC's final salary pension scheme was deemed unsustainable in 2006 and closed to new joiners in 2010. The broadcaster no longer publishes the entitlements of executive board members.

Pensions expert Baroness Altmann wrote in a letter to The Times yesterday: 'One week our country salutes the magnificent D-Day veterans who fought for our freedom, the next it snatches away their much-valued benefit.'

The BBC said last night it 'is no different to many organisations in having a deficit in its pension scheme caused by external market factors'. 

A spokesman added: 'We closed the scheme to new joiners in 2010, are required by law to make payments to close the deficit and by managing this over the next decade we're minimising the impact on our services. The reality is that the Government decided to stop funding free licences for all over-75s and the BBC has made the fairest decision on the future policy.'