The review, which will set out to explain the BBC's role in broadcasting after the digital switchover, is taking place in the run-up to the BBC's current charter expiring in 2006.
Culture secretary Tessa Jowell has said that that the usual 10-year charter may not be automatically granted and that the length of this could be cut to five years. According to Jowell, the only certainty is that the BBC would remain "strong and independent".
However, MPs have hit back, urging the government to keep the 10-year review intact.
The BBC argues that the 10-year charter is essential for it to be able to plan its future, particularly in the crucial run-up to the digital switchover, which is due to take place in 2010.
Labour MP for Selby, John Grogan, said that a five-year charter would inhibit the BBC's ability to plan for its role in broadcasting after the digital switchover.
Tory MP Michael Fabricant said: "If the BBC is going to provide its public service remit, a 10-year period would really be necessary." He added that to plan ahead and give good programming, five years would be too short.
Jowell responded by claiming that she was "well aware of the arguments" on the continuation of the 10-year licence and that commented that "this and all other aspects of the BBC's governance and financing are currently subject to the process of review of its charter".
Although the views of rival broadcasters are believed to be mixed, ITV also said that it believed that a 10-year licence period would be desirable to provide the BBC with sufficient time to implement changes to funding, regulation and governance. The comments were made earlier this year in its submission to a parliamentary committee investigating the future of the BBC.
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