Proposed SKY takeover

Thank you for your email regarding proposals set forward by Rupert Murdoch to buy out Sky TV. Firstly, I have literally provided the transcript of the speech that the Secretary of State made on 10th January 2017 in the Houses of Parliament as follows:

‘Sky PLC announced on Friday 9 December that it had received an approach from 21st Century Fox Inc to acquire the 61% share of Sky PLC which it does not already own and I made a statement on 20 December about the proposed merger and the process that would need to be followed.

21st Century Fox have been in contact with my officials and have confirmed that they intend to notify the proposed merger to the European Commission for review under the EU Merger Regulation. Before formal notification, the parties intend to engage in pre-notification discussions with the Commission from January onwards. The timing of a formal notification to the Commission is therefore not fixed and will happen dependent on the parties’ ongoing discussions with the Commission. It is in the nature of this process that we cannot know in advance the dates upon which certain steps will happen.

As I made clear to the House on 20 December, I will aim to make a decision on whether or not to intervene within 10 working days of formal notification being made to the European Commission. Given the clear intention of the parties to engage with the Commission informally, I have asked my officials to prepare and put in place the necessary procedures to ensure that when I need to make a decision I can do so as quickly as possible and with the relevant information in front of me. As such, my officials have commenced their work to analyse the relevance of the public interest considerations as set out in the Enterprise Act 2002 to the merger. In doing so, they will look at the available evidence and will consider representations which are relevant to those specified public interests. This is preparatory work, and I am clear that the point has not yet been reached where I will be taking a decision on whether or not to intervene.

Any decision I do take on whether or not to intervene will be a quasi-judicial one and it is important that I am able to act independently and that the process is scrupulously fair and impartial. As a result, I will not be commenting on the merits of the proposed merger. I do, however, I recognise that this is an issue of significant interest to the public and has raised a lot of interest in Parliament, as well as being a significant issue for the parties concerned. I will therefore be keeping Parliament informed of the process as it moves ahead and will make a further statement when the parties have formally notified the Commission, ahead of making any decision about whether to intervene.’

The issue in question is that of media plurality. I agree with Ofcom that plurality of media sources is important for a well-functioning democratic society through “informed citizens and preventing too much influence over the political process”. It is for this reason that I will be paying close attention to this area, and will encourage Karen Bradley to do what she can to prevent this purchase.

Thank you once again for contacting me, please do not hesitate to contact me if you require any further information.

 

UPDATE NOVEMBER 2017 PLEASE CLICK HERE 

Regards,

Derek Thomas MP