In the broadcasting and media sector, it has taken years of policy, regulation and investment to achieve the diversity of expression and creative vitality for which the UK is internationally recognised. Yet all this will be put in jeopardy if the Secretary of State for Culture, Media and Sport, Jeremy Hunt, allows News Corporation’s bid for outright ownership of BSkyB in a decision expected to take place this week.
The bid raises the issue of media plurality under Section 357 of the 2003 Communications Act. This allows the Secretary of State to intervene in order to protect legitimate interests, including the public interest, and in particular “ the plurality of persons with media enterprises”. It is estimated that News Corporation currently controls 37% of the newspaper market and since BSkyB is the largest broadcaster in this country, with a turnover of £5.9 billion against the BBC’s £4.8billion, its takeover by News Corps will create a media group of unprecedented power. Just the scale of BSkyB alone has been enough to lead some
commentators to urge Government to accept concessions thus deterring the company from moving its domicile and stock market listing out of this country, risking job losses, and millions in corporation tax.
What is remarkable is that the case for pluralism is being argued both by government and informed commentators such as David Elstein, former Head of Programming at BSkyB, strictly in terms of media share and editorial independence in the provision of news services. This follows on from the limitations of Ofcom’s report which states that only reach, consumption of news and the importance attached by consumers to different sources of news, will be taken into consideration. From this limited point of view, the concessions offered by News Corps– the sale of Sky News (a loss leader for the News Corps empire) and the guaranteed financing of the service for the next ten years – might appear reasonable. In fact this narrow focus on news fails absolutely to engage with what is critically at stake - access to the diversity of cultural expression in this country.