UK govt delays decision on Fox takeover of Sky

Nieuws Video Verenigd Koninkrijk 21 JUL 2017
UK govt delays decision on Fox takeover of Sky
The UK government has delayed a decision on whether to investigate further the proposed acquisition of Sky by 21st Century Fox. In a statement to parliament, the culture Secretary Karen Bradley said she was still minded to refer to deal to the Competition and Markets Authority for a Phase 2 investigation, but needed more time to consider responses to a consultation completed 14 July. 

She confirmed Fox provided detailed representations, and letters were also received from Sky and Lachlan and James Murdoch. Fox questioned a number of points in Ofcom’s public interest test of the company, contesting the communications regulator's view that the transaction raises public interests concerns which justify a referral for further investigation. However, neither of the parties have offered any further or amended undertakings in an attempt to prevent the referral. 

Bradley said she will consider the responses from the companies and the public and hopes to make a final decision on referral "in the coming weeks, and potentially during summer recess".

21st Century Fox urged the secretary to take a decision "expeditiously". It also welcomed Ofcom's clearance of the company's commitment to broadcasting standards and that Sky would remain ‘fit and proper’ to hold a broadcasting licence after the proposed merger. 

In respect of the media plurality public interest concerns, the company noted that Ofcom approved of its proposal to ensure editorial independence of Sky News to mitigate any concerns around media plurality. Fox said it was disappointed that the Secretary of State still remains minded to refer the case to the regulator on plurality concerns.

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