Fox-Sky Merger Debate

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Department: Scotland Office

Fox-Sky Merger

Lord Falconer of Thoroton Excerpts
Thursday 20th July 2017

(6 years, 9 months ago)

Lords Chamber
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Lord Falconer of Thoroton Portrait Lord Falconer of Thoroton (Lab)
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My Lords, I am grateful to the noble and learned Lord for repeating the Secretary of State’s Statement in this House. I am also grateful to the Secretary of State for keeping Parliament informed as to what her process is. I am glad that she is minded to refer on plurality and horrified that she is minded not to refer on broadcasting standards. I understand and accept what the noble and learned Lord says: no decision has been made about either matter at the moment. My concern is that Sky, a trusted broadcaster, could go the way of Fox News in the US, and we could lose an impartial broadcaster that complies with our standards. I am extremely worried that Sky will fall 100% into the hands of a family who have been guilty of allowing regulatory standards to be ignored in relation to the newspaper industry in the UK and have allowed Fox News to be guilty of a whole series of illegalities and breaches of the law, particularly in relation to sexual harassment.

From a legal point of view I am extremely concerned that the Secretary of State will rely too heavily on what appears to me a flawed finding by Ofcom that Sky would remain fit and proper if it became 100% owned by 21st Century Fox. I appreciate what the noble and learned Lord says about the Secretary of State’s role being quasi-judicial. What advice is the Secretary of State receiving on the legal position in relation to the extent to which she is bound by Ofcom’s fit and proper finding? To what extent is she aware that a totally different threshold has to be passed to refer the broadcasting standards issue to the CMA from the standard applied by Ofcom in relation to the fit and proper test?

I have a final observation. I would not mind if the Secretary of State referred the matter to the CMA on grounds of both broadcasting standards and plurality. However, I would be horrified if she thought that she could rule out any consideration of whether that was right during a recess. That would be wholly inappropriate.