This isn't new, it has been going on for years.
First with the "National" PPL being renewed with a JAA PPL, same thing occurred. An additional few numbers and having to go through the motions again.
Same thing all over................
But it's still free.
Lots of pilots still have CAA "National" lifetime PPL's and did not convert to JAR. Lots of Engineers still have their old CAA licences as well as Part 66 licences so what is stopping a pilot keeping their old lifetime CAA PPL as well as an EASA one?? The licence CAA PPL supporting the 61.75 will still be a valid ICAO licence which, I guess, would still be recognised outside the EU. The EASA licence is just another piece of paper issued to keep the EU gravy train running.....
No, it isn't free, that's the point. The CAA demand a payment to tell the FAA you are current. And, if you can't make it to the USA,..... well that's another story, another cost and another argument.