A 32 inch flatscreen digital TV seems to cost #1000+, whereas a similar analogue TV costs #600 - #800. What are the benefits of buying a digital TV Will analogue TVs be obsolete in five years time

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Asks alancohen

A. The benefits of buying a digital TV now is that when the changeover from analogue to digital finally happens, you won't have to upgrade your set. In the meantime, it means you can receive digital television services now because a digital TV set has a decoder built into it that allows you to receive digital signals through your aerial, this is known as digital terrestrial TV. The other ways of receiving digital services is through a cable connection (known as digital cable television) or via a digital satellite dish (known as digital satellite television) - both cable and satellite signals are picked up and translated onto your screen using a set-top box.

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So to conclude, if you buy a digital TV now you can receive digital services via your aerial (no cable under your street or satellite dish is necessary) and as you have a decoder built into your TV set you don't have to use a set-top box. The downside is that it is expensive to purchase now.

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Q. So why are the digital TV sets so expensive

A. It is because the market in the UK is still geared towards analogue. According to a recent report issued by OnDigital, over 4 million TVs are sold each year in the UK and the majority of these are still analogue - this is because there is still a lot of confusion about digital in the marketplace and the government has yet to issue a date for the switchover from analogue to digital - so manufacturers continue to make, and retailers continue to sell, analogue TV sets which keeps the price of digital TVs high due to the low volume of production.

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Q. So if we're continuing to buy analogue TV's won't that make the switchover a much bigger problem when it actually happens

A. It certainly will, if 4 million analogue sets are sold every year - that translates into 13,000 analogue sets every day entering our homes, which will eventually have to be hooked up to a set-top box or traded in for a newer, digital model.

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Q. Do you have to pay for all digital channels

A. No, this is another myth that has put people off buying digital TV sets too - and who can blame them, if you have to pay �1000+ for a TV set and then pay for all your channels you can understand the resentment and caution in the market. A lot of digital channels are free - your normal terrestrial channels BBC1, BBC2, ITV1, Channel 4 and Channel 5 are all transmitted in digital format and free of charge as are many others. Additional channels provided by these broadcasters like E4, ITV2 and BBC News 24 are also free of charge.

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It is only channels that show films like Sky Movies, Film 4, or sport that you really have to pay a premium for and you can choose whether to subscribe to these if you wish to - if you don't have any type of digital system installed in your home, you don't have this choice. Packages of payable channels are usually sold for DTT, cable and satellite customers for a monthly fee, which can start at about �5 per month - these channels are in addition to those you receive free of charge.

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For services for which a charge is payable (and in some cases for satellite services that are free) a smartcard is needed to allow reception, this is called conditional access.

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Q. When will the switchover from analogue to digital actually happen

A. The government has yet to announce a final date, but it is believed that the process will begin in 2006 and be completed by 2010 if at least 95% of homes have access to digital receiving equipment.

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Q. How many households have actually taken up digital services

A. At the end of last year it was estimated to be in the region of 6 million homes.

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Q. What exactly does digital TV offer the consumer

A. As digital TV uses a more efficient means of transmission than analogue - it literally squeezes more channels into the space currently taken up by analogue - it means that you can have access to about 200 channels, instead of the five terrestrial ones you are used to. But if less is more in your household and you don't want hundreds of TV channels, there are other benefits that might turn you on to digital e.g. CD-quality sound, clearer pictures, wide-screen format, near video on demand, and access to the Internet are all add-ons to a digital service.

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By Karen Anderson