Media merger laws can be “modernized” as news habits change

The scope of the UK’s media merger laws could be ‘widened’ under plans unveiled by the government.

The proposals would allow ‘greater scrutiny’ of deals involving the sale of UK online news publications and news magazines, it has been announced.

This will extend the scope of current powers beyond television, radio and printed newspapers.

Culture Minister Lisa Nandy said yesterday that media merger laws had “not kept pace with technology” or “evolving news consumption habits”. Under the current regime, the Culture Secretary can intervene in mergers and acquisitions involving broadcasters, British daily and Sunday newspapers and local newspapers.

The new plans would allow ministers to examine whether deals involving the purchase of British online news publications and news magazines are in the public interest.

The deal would come under scrutiny if it was deemed “could have a negative impact on accurate reporting, freedom of expression and media plurality.”

The scope of the UK’s media merger laws could be ‘widened’ thanks to plans unveiled by the government (File image)

Secretary of State for Culture, Media and Sport Lisa Nandy arrives for a Cabinet meeting in Downing Street

The new powers could be applied to mergers involving the online arms of print publications, online-only news providers such as HuffPost, or magazines such as The Economist.

The government claims the rules are being ‘modernized for the digital age’. It added that the measures would ensure that the public interest “can be safeguarded in these popular sources of news content.” The Culture Secretary could “intervene where necessary” to protect the availability of “a wide range of accurate, high-quality news,” especially for younger audiences.

The plans would also allow the Culture Secretary to intervene in mergers where a foreign power can control or influence the policies of an online news site, provided the acquired entity has a UK turnover of at least £2m.

Ms Nandy said: “Since the media mergers regime came into force more than two decades ago, our laws have failed to keep pace with technology and evolving news consumption habits.

‘Now that people are increasingly getting their news online, we need a regime that is future-proof. That is why I am proposing further reforms to ensure media freedom is preserved.”

The Culture Minister has launched a consultation on the proposal, which is due to conclude on December 18.