The UK’s Secretary of State for Digital, Culture, Media and Sport (DCMS) has written to both Sky UK and ITV Media and Entertainment Holdings regarding the proposed deal.
In her letters, Lisa Nandy MP has notified the parties she is considering whether to issue a public interest intervention notice (PIIN) to the Competition and Markets Authority (CMA) and Ofcom under the Enterprise Act 2002, outlining the following specific reasons:
- She considers she has reasonable grounds for suspecting that arrangements are in progress or in contemplation which, if carried into effect, will result in the creation of a relevant merger situation, as defined in section 23 of the Act.
- She believes it is, or may be the case, that one or more public interest considerations are relevant to a consideration of the relevant merger situation concerned.
According to the letters, the public interest considerations that may be relevant are:
- The need for free expression of opinion in news media
- The need for a sufficient plurality of views across markets in the UK.
- The need for sufficient plurality of persons with control of the media enterprises serving audiences in the UK.
- The need for availability of a wide range of high quality broadcast and/or on-demand programmes with appeal to a wide variety of tastes and interests.
The letters said the Secretary of State recognised the prominence of Sky News and ITV News, which jointly share 26 per cent of UK viewers, adding, “She is minded to believe that the public interest considerations specified in this letter may be relevant to a consideration of the proposed acquisition, and that the appropriate course is for her to receive reports from the CMA and Ofcom, before deciding whether to make a reference under section 45 for a more detailed consideration of these matters by the CMA.”
Sky and ITV have been invited to provide written representations by 20th October, ahead of a final decision on whether a PIIN should be issued.
