The UK government plans to allow foreign countries to own up to 15% stake in British newspapers and magazines under new media reform.
The proposed changes, released Thursday, come a year after the former Conservative government banned ownership of foreign newspapers or magazines amid concerns over Telegraph’s Abu Dhabi-led takeover of Telegraph.
The Labour government, which came to power after the July landslide election victory, argues that a 15% cap for state-owned investors will help UK news organizations seek investment while limiting the risk of foreign state impact.
As part of the reform, regulations regarding media mergers will be expanded to include online news publications and magazines. Currently, they only apply to television, radio and printed newspapers.
“It is right that the UK’s free and independent press is an asset to a country like no other and is taking strong steps to allow for scrutiny of UK acquisitions that could violate the public interest,” said Culture Secretary Lisa Nandi.
“We are fully supportive of the need to protect news media from foreign state control, recognizing that news organizations must raise important funds,” she added.
Changes that can only be made after votes in the House and House of Representatives could end two years of uncertainty on Telegraph and Sunday Telegraph.
The Abu Dhabi royal family-backed joint venture between US Redbird Capital and IMI effectively controlled both the paper and the audience in 2023 after partially repaiding the debts of the Barclay family, the former owner of the title.
But the last conservative government blocked the ownership of Redbird Imi by introducing the 2024 Digital Markets, Competition and Consumer Act.
The new 15% cap on foreign ownership by the UK government allows telegraph sales to go ahead.
