Culture Secretary Lisa Nandy stated she is 'minded to intervene' in Sky's £1.6bn purchase of ITV's media division, citing concerns over media plurality and news freedom.
UK Culture Secretary Lisa Nandy has announced she is "minded to intervene" in Sky's proposed £1.6bn acquisition of ITV's media and entertainment division. The move signals a potential formal review of the deal, which would combine two of the UK's largest commercial broadcasters under US-owned Comcast.
Nandy issued a letter to Sky and ITV outlining her reasons for considering a Public Interest Intervention Notice (PIIN). She cited "public interest considerations" including the need for "free expression of opinion in news media," a "sufficient plurality of views," and a "sufficient plurality of persons with control of the media enterprises."
The Culture Secretary also raised concerns about the impact on on-demand programming. Current UK legislation allows ministers to intervene in broadcast television deals but does not explicitly cover streaming or on-demand services. Nandy stated she is considering bringing forward legislation to amend section 58 of the relevant Act to extend these powers to on-demand platforms.
"Having considered the anticipated merger, I am of the view that there are reasonable grounds to believe that it might affect availability of a wide range of high-quality and varied programming on the on-demand platforms that are now widely used by UK audiences," Nandy said.
The proposed deal involves Sky acquiring ITV's terrestrial television channels and its streaming service, ITVX. It does not include ITV Studios, the production arm that creates shows such as Love Island and I'm a Celebrity... Get Me Out of Here, which will remain a standalone company on the London Stock Exchange.
Nandy's letter noted that Sky News and ITV News are two of the most prominent sources of television news in the UK, holding a joint 26% share of linear TV news viewers. She argued that the merger could eventually lead to 86% of the linear TV news market being controlled by the BBC and the combined Sky/ITV entity. The letter suggested this concentration could particularly affect the North of England, nations other than England, and those from lower socio-economic backgrounds, who rely more heavily on broadcast news.
Sky and ITV have until October 20 to respond to Nandy's letter. If she decides to formally intervene, the deal would be referred to Ofcom, the media regulator, and the Competition and Markets Authority (CMA) for investigation.
A Sky spokesperson said the company would "carefully consider" the letter and "engage constructively" with the review. "We remain confident that bringing Sky and ITV's media and entertainment business together will create a stronger British media," the spokesperson said. Sky also reiterated commitments to keep ITV News and Sky News as "distinct editorial voices" until at least 2030.
An ITV spokesperson welcomed the letter as "expected" and stated the company looks forward to "fully cooperating in the process." ITV argued the deal would help it "compete with global streaming platforms, benefiting viewers, advertisers and the UK creative industries."
This intervention highlights the growing tension between traditional broadcasters seeking scale to compete with global streaming giants like Netflix and Amazon, and regulators concerned about media plurality. If Nandy proceeds with the intervention, it could set a precedent for extending media ownership rules to cover streaming services, a sector that has largely operated under different regulatory frameworks than linear television.
Sources
This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.
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