Wogan's health declined following Christmas 2015. He did not present Children in Need, complaining of back pain as the reason for his absence from the long-running annual show. His friend, Father Brian D'Arcy, visited him during January, and noticed he was seriously ill. He died of cancer, aged 77, on 31 January 2016, at his home. British Prime Minister David Cameron said that "Britain has lost a huge talent" and President of Ireland Michael D. Higgins praised Wogan's career and his frequent visits to his homeland. Taoiseach Enda Kenny and Tánaiste Joan Burton remembered Wogan for his role in helping Anglo-Irish relations during the Troubles. D'Arcy speculated that a public funeral would be logistically difficult, as there would be too many people wanting to pay their respects.
After Wogan's death on 31 January 2016 and his private funeral a few weeks later, a public memorial service was held on 27 September the same year. The public service featured a number of his celebrity friends making speeches, such as Chris Evans and Joanna Lumley. It was opened by a recording of Sir Terry Wogan himself and was held at Westminster Abbey. The service was broadcast live on BBC Radio 2.
In February 2016, a memorial montage was aired as part of the United Kingdom's selection show for the 2016 Eurovision Song contest, Eurovision: You Decide.
On 16 November 2016, the BBC renamed BBC Western House, home of BBC Radio 2, in his memory to BBC Wogan House.