Sky's £1.6 Billion ITV Takeover Faces Government Scrutiny
Culture Secretary Lisa Nandy intervenes, citing public interest concerns over broadcasting diversity and on-demand content.
Carla Rooney
Sky's planned £1.6 billion acquisition of ITV's media and entertainment arm will undergo investigation by the CMA and Ofcom.
The intervention targets the critical need for high-quality broadcasting, widely available across the UK, to appeal to diverse tastes and interests.
Nandy stated, "The legislation already specifies a public interest consideration on the need for the availability, throughout the UK, of a wide range of broadcasting which is both of high quality and calculated to appeal to a wide variety of tastes and interests."
She further explained her position, saying, "As I explained in my written statement dated 15 October, I believe that this consideration should be modified to apply to on-demand programmes as well as broadcasting in line with modern viewing habits and my specific concerns regarding this merger."
The Competition and Markets Authority (CMA) and Ofcom must report their findings to the Culture Secretary by January 27, 2027. Nandy retains the power to refer the deal to the CMA for a more in-depth investigation.
The deal, in the works since late 2025, includes ITV's terrestrial TV channels and its streaming service ITVX. ITV Studios, the production arm, remains separate.
This tie-up creates a significant competitor to global streaming giants. Sky, however, will likely seek cost savings, potentially decommissioning certain ITV shows or renegotiating existing contracts.
ITV is legally mandated to provide a free-to-air service until at least 2034. This requirement adds another layer of complexity to the proposed acquisition.