The FT reports this morning that the government may soon act to abolish the media ownership laws brought into place in order to prevent Rupert Murdoch from expanding his media empire to include terrestrial TV in the UK.
Murdoch, who controls more than 30% of the UK newspaper market with his News International titles, was prevented by the ‘20%’ rule from buying into the terrestrial TV market. No one company owning 20% of the newspaper market may control more than 20% of the terrestrial UK TV market and vice versa.
The legislation, which was introduced in 1996 as part of the Broadcasting Act, will be replaced by regulations with “nobody particular in mind” according to the FT.
Such a move may also pave the way for a single, unified ITV company although any merger between Carlton and Granada is likely to be a long way off and would require the approval of the competition authorities.
