I think this makes things a bit clearer- see the bit on what is licensable (is that really a word?) and what is non-licensable
3. Definitions
3.0 Licensable activity – under the Communications Act 2003 and Communications (Television Licensing) Regulations 2004 (as amended) licensable activity broadly means using or installing any device to: a) watch or record any television programme service;
b) watch or record any television programme at the same time (or virtually at the same time) as it is being shown on any television programme service; or
c) (as of 1st September 2016) watch or download any BBC programme on demand on BBC iPlayer, even if it is accessed through another provider, such as Sky, Virgin Media, Freeview or BT.
Licensable activity does not include:
a) watching programmes by means of pre-recorded media such as DVD and Bluray;
b) downloading or watching S4C TV on demand on BBC iPlayer or listening to radio programmes on BBC iPlayer.
c) downloading or watching on demand programmes from other providers, such as:
ITV Hub, All 4 or Demand 5 BT Vision, Virgin Media or Sky Go Netflix or Now TV