Government intervenes in proposed Telegraph takeover

The Abu Dhabi-backed investment fund had agreed to provide loans to repay debts owed by the previous owners the Barclay family, which would bring the titles out of receivership, and would see the firm’s chief executive Jeff Zucker – who used to hold the same role at CNN – run the business.

Culture secretary Lucy Frazer said she issued the PIIN after considering the possible impact of the deal on the Telegraph’s reporting.

Its issuing has also triggered an in-depth inquiry by both Ofcom and the Competition and Markets Authority (CMA). Ofcom’s inquiry will focus on areas such as whether the deal could breach requirements around the need for the accurate presentation of news and the free expression of opinion, while the CMA will look at any competition issues.

Explaining her decision in the Commons, Frazer said: “My decision to issue the PIIN triggers the requirement for the CMA to report to me on jurisdictional and competition matters, and for Ofcom to report to me on the media public interest consideration in section 58(2A) of the Enterprise Act 2002 – namely, the need for accurate presentation of news and free expression of opinion in newspapers.

“I have asked both the CMA and Ofcom to report back to me by 26 January 2024.”