Sky/Fox Merger

Debate between Karen Bradley and Ed Miliband

Tuesday 12th September 2017 Commons Chamber

[Karen Bradley]

My hon. Friend is right that this process has taken a significant period of time. It was always known that this would be a lengthy process. I remind the House that the proposed merger was set out in December last year, but no official notification of the merger was made to the authorities until February. We have been determined to deal with it as promptly as possible. The small matter of purdah also got in the way earlier in the year, I am afraid to say. I am mindful that I have to act as promptly as is reasonably practicable. I am aware that there are those who are keen to see this matter progress. I want to get the CMA working on it as soon as possible, and that will be the final part of the official process set out in the Enterprise Act, although there are always opportunities for discussion at that point.

[Edward Miliband (Doncaster North) (Lab)]

I welcome the Secretary of State’s decision on plurality and her “minded to” decision on broadcasting standards. I join my hon. Friend the Member for West Bromwich East (Tom Watson) in praising the Secretary of State. She has made a brave decision—or is minded to make a brave decision—but it is the right decision and one that the Murdochs will not like. I have my own experience of the Murdochs, and she is absolutely to be commended for that.

The Secretary of State is ignoring what is, in my view, the unreliable and flawed advice of Ofcom. She knows that I and a number of colleagues believe that its view on “fit and proper” is also flawed and unreliable. If its advice on broadcasting standards is flawed, I think we can draw some conclusions about its position on “fit and proper”, although I know she will not comment on that.

I have one specific thing that I want to ask the Secretary of State. Can she reassure us that if the CMA holds the inquiry she is minded to have, it will be a comprehensive look—the first time this has happened, I think—at the Murdochs’ disgraceful record in news and, indeed, broadcasting—from the News of the World to Fox News to Sky News Australia? Crucially, will she confirm that it will look at the issue of corporate governance, which was something that she flagged up in her letter to Ofcom, although I do not think it looked at that properly? That needs to be looked at, as it relates to broadcasting standards.

I end by saying that the Secretary of State has done her job today; it is now for the CMA to do theirs.

[Karen Bradley]

I thank the right hon. Gentleman for his question. Together with the right hon. Member for Twickenham (Sir Vince Cable) and my right hon. and learned Friend the Member for Rushcliffe (Mr Clarke), he contributed one of the 30 substantive representations that I received. He referred to the “fit and proper” test. One question that he raised in his representation was the level of the threshold. What has become clear from the conversations we have had and our work is that the threshold for referral to the CMA is a different threshold from the “fit and proper” test. The “fit and proper” test is, quite rightly, something for Ofcom.

If the right hon. Gentleman looks at my statement, he will see the reasons I have set out for referral to the CMA. As and when the “minded to” decision becomes a final decision, I will set out those reasons in full.

Fox-Sky Merger

Debate between Karen Bradley and Ed Miliband

Thursday 20th July 2017 Commons Chamber

[Karen Bradley]

Of course I will join you, Mr Speaker, in congratulating Roger Federer. I was lucky enough to see him play on Friday, and I know you were there as well. I should also congratulate Lewis Hamilton. I was, unfortunately, not able to be at the Wimbledon final because I was at the grand prix, where I was able to congratulate Mr Hamilton personally on his great success. Four British grands prix in a row is a fantastic achievement. I am sure the whole House will join me in celebrating what is turning into the most incredible summer of sport for Britain and British athletes—and Roger Federer. I think he is almost an honorary Brit at this stage.

I agree with my hon. Friend the Member for Eastleigh (Mims Davies); I think Wimbledon is one of the places that have equal pay for men and women. I want to see gender disparity removed from all employers, and I was as surprised as she was by yesterday’s annual report.

[Edward Miliband (Doncaster North) (Lab)]

The Culture Secretary has just shown us why she has an enviable job in Government. She is the Minister for tickets, as well as for many other things. May I wish you—and your staff, as seems to be the fashion—a happy summer, Mr Speaker?

I welcome what the Secretary of State said about plurality and the fact that she is minded to refer on plurality grounds. I welcome what she said to Ofcom about meeting me and colleagues regarding the fit and proper issue. She needs to make the decision on broadcasting standards in a timely way, but she needs to look at some detailed issues. When she invited representations, she said in her statement to the House that she wanted new evidence, or evidence on Ofcom’s approach. My argument, and that of my right hon. and hon. colleagues, is that Ofcom’s approach is flawed and that she needs to do what it did not, which is to look at the evidence—including the evidence about Fox and the News of the World—on the basis of the right legal threshold; look at the evidence about James Murdoch, which she asked it to do and it failed to do; and, indeed, look at the wider concerns about Sky News becoming like Fox News. I think that that will take a bit of time.

On those grounds, as well as those of parliamentary accountability—she has shown a desire all along to be accountable and open to Parliament on this issue—the Secretary of State can come back at the beginning of September, after having a good summer and scrutinising these issues, and tell us her decision. That is the right thing to do, and she should not, as my hon. Friend the Member for West Bromwich East has said, give in to the old tricks of the Murdochs, which are to bully people into making wrong and rushed decisions.

[Karen Bradley]

I should wish you a happy summer, Mr Speaker, as it appears that that is the order of the day. [Interruption.] And Roger, of course.

I have been as transparent as possible. As I said in my statement, I may make a decision over the course of the summer recess, but it may take longer. I am taking the time to consider all representations, including the right hon. Gentleman’s, those of the right hon. Member for Twickenham (Sir Vince Cable) and those of my right hon. and learned Friend the Member for Rushcliffe (Mr Clarke), who is not in his place. I will look at the evidence and make a decision on that basis.

21st Century Fox/Sky Merger

Debate between Karen Bradley and Ed Miliband

Thursday 29th June 2017 Commons Chamber

[Karen Bradley]

If my hon. Friend looks at the Ofcom report, which should now have been published, he will see the consideration that was given. One point of concern about the Fox-Sky merger is that the media company is unique among media organisations in having positions in broadcasting, radio, newsprint and online. He is right that we are in an ever-changing media landscape. We need to be cognisant of that when we are looking at how best to ensure that the public receive a wide and diverse range of accurate and fair news.

[Edward Miliband (Doncaster North) (Lab)]

I welcome the Ofcom report recommending a referral to the CMA on grounds of plurality, and I urge the Secretary of State not to do a grubby deal with the Murdochs. We know their history. As my hon. Friend the Member for West Bromwich East (Tom Watson) who spoke from the Front Bench said, they break every undertaking they make, from The Times to The Wall Street Journal.

May I also ask about fitness, propriety and broadcasting standards? I do wonder what it takes to be declared unfit and improper to hold a broadcasting licence. Ofcom has apparently found a second significant corporate failure on the part of the Murdochs. Given the Secretary of State’s responsibilities for broadcasting standards, is she not worried that this entity has been found responsible for a second huge corporate failure at Fox News, after News International?

[Karen Bradley]

I suggest that the right hon. Gentleman puts his comments about fitness and propriety to Ofcom, which is rightly the independent regulator. He will see its report later today. It ill behoves him to use the word “grubby” about the work that we will do. If undertakings are given and if, as a result, I am minded to consider them, there will be a full statutory public consultation on those undertakings so that we can be as transparent as possible and there can be no allegations of anything being grubby at all.