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Ministers refuse to name companies that lobbied them over foreign ownership of UK newspapers
Ministers refuse to name companies that lobbied them over foreign ownership of UK newspapers

The Guardian

time26-06-2025

  • Business
  • The Guardian

Ministers refuse to name companies that lobbied them over foreign ownership of UK newspapers

Ministers are refusing to name the media companies that lobbied them over laws restricting foreign state ownership of British newspapers, the Guardian can reveal. The government announced last month it was tripling the proportion of a British newspaper that could be owned by an overseas power to 15%. The change paves the way for the Telegraph to be bought by a consortium including an investment vehicle backed by the United Arab Emirates. However, ministers have taken the unusual step of ordering secrecy over the names of four media companies who responded to a consultation on the issue. A crossbench group of peers scrutinising the proposed law change said they had been told not to reveal the companies involved. The group, which includes Labour peers, said: 'We were asked by the department not to reveal the identity of the organisations which responded. We are concerned about the department's decision to treat information about the respondents to a public consultation confidentially. 'This is an unusual approach, especially as the published consultation document made clear that a summary of the key points raised would be published on the department's website, including 'a list of the organisations that responded'.' The Guardian understands that Rupert Murdoch's News UK was one of the companies to respond. Lord Rothermere's Daily Mail and General Trust (DMGT) group, which owns the Daily Mail, Mail on Sunday and the i Paper, has also reportedly given its view to ministers. It is not known what position either company took. News UK and DMGT declined to comment. The Guardian has already revealed that a UAE delegation met Downing Street officials weeks before the law change was announced. DMGT has links to the Gulf, where it has focused its events business. Lord Rothermere was also spotted among the high-profile media figures in Doha last month meeting the US president, Donald Trump, and the Qatari emir, Tamim bin Hamad Al Thani. The law change, which is to be subjected to a House of Commons vote, is seen as part of Keir Starmer's drive to woo overseas investors as part of his search for UK economic growth. But there are concerns in parliament over easing of the state ownership law. Max Wilkinson, the Lib Dem spokesperson for culture, media and sport, said: 'It's unbelievable that ministers will not reveal who advised them. Many people will assume the worst: that vested interests have bent the will of the government on this vital issue. 'Our country has a proud history of free and independent journalism. It's a principle that lies at the heart of our democratic tradition. The willingness of our government to water that down is deeply concerning. The ministers involved must come clean. Meanwhile, me and my Lib Dem colleagues in parliament will work fearlessly to stand up for our free press and block this legislation from passing.' According to the government's summary of the arguments presented to it over the proposed law change, one unnamed company pushed for the threshold for state ownership to be raised to 25% of a newspaper. It pointed to national security laws that currently allow foreign states to own 25% of vital infrastructure, like nuclear power plants. Such pressure to relax the rules around state ownership is a sign of the increasing role in the media played by funds backed by Gulf states. While the UAE is poised for a share of the Telegraph, Saudi Arabia is already invested in television sports rights via the streamer Dazn. The law change effectively paves the way for the Telegraph to be acquired by US fund RedBird Capital, with a minority stake held by IMI, a UAE-controlled vehicle. The Guardian understands Lord Rothermere is still in talks over his own minority stake in the Telegraph Media Group, as part of RedBird's consortium. However, the takeover has still not taken place. A Department for Culture, Media and Sport spokesperson said: 'In deciding whether to reveal the names of individual consultation respondents we must balance the public interest of transparency with the needs of commercial confidentiality. 'Our approach in finalising the foreign state influence rules will safeguard our news media from foreign state control whilst recognising that news organisations must be able to raise vital funding.'

Labour pledges to close foreign states loophole to ease Telegraph sale
Labour pledges to close foreign states loophole to ease Telegraph sale

Telegraph

time19-06-2025

  • Business
  • Telegraph

Labour pledges to close foreign states loophole to ease Telegraph sale

Ministers have promised to block foreign powers from teaming up to own newspapers after peers threatened the Government with an embarrassing defeat. The House of Lords has been preparing to derail proposals by Lisa Nandy, the Culture Secretary, to allow the United Arab Emirates to own a passive stake in The Telegraph of up to 15pc. She intends to ease an outright ban on foreign state shareholdings and end two years of damaging limbo. However, the Government was facing a rare Lords defeat after it emerged that it had failed to account for the risk that multiple foreign powers could take stakes of up to 15pc each in a single title. It raised the prospect that states could secretly team up to gain sway over Britain's free press. Responding to these concerns in the Commons on Wednesday, Stephanie Peacock, the media minister, pledged to introduce further legislation to close the loophole. She pledged to publish draft legislation to guard against the risk by July 16, which would allow peers to review them before deciding whether to allow 15pc foreign state ownership. The vote to close the multiple stakes loophole would be likely to come after the summer recess. Ms Peacock said: 'Our policy intention has always been to prevent any foreign state influence over the affairs and policies of UK newspapers and news periodicals. 'Although a remote risk, we acknowledge that in some circumstances different state-owned investors from different states could, in theory, each acquire up to 15pc of UK newspaper enterprises. 'The Government intends to lay, in draft, a second statutory instrument in the autumn to amend the foreign state investment exceptions to put the issue beyond doubt. 'We have chosen not to withdraw the regulation before us today due to the pressing need to have the main foreign state investment exceptions in place as soon as possible. This is important in order to give UK newspapers, and potential investors, greater certainty about the overall regime.' Planned takeover By pressing ahead to set the limit on foreign state ownership at 15pc, ministers hope to avoid further delays to a planned takeover of The Telegraph led by RedBird Capital, a US private equity firm. It had been the junior partner in the attempted takeover last year by RedBird IMI, a vehicle mostly funded by the UAE vice-president Sheikh Mansour bin Zayed Al Nahyan. That bid was blocked following an outcry over press freedom. Baroness Stowell, a Conservative peer who played a critical role in changing the law to prevent the UAE takeover, said the Government pledge to close the multiple stakes loophole could satisfy concerns. She said: 'This is a step in the right direction. Nothing is certain yet, but it will mean that we can consider and vote on a 15pc limit having had sight of draft legislation to close the loophole. 'We all want to see certainty for The Telegraph, its readers and staff. However it remains unacceptable to create a risk that multiple foreign states could own 15pc each of any newspaper. If the Government delivers on what it has promised there could be a way forward. 'The outcome has to be both press freedom and financial stability.' Gerry Cardinale, the founder of RedBird, has been putting the finishing touches to his planned takeover of The Telegraph and awaiting legal certainty before notifying regulators. He has pledged significant investment in journalism. As well as IMI, the UAE's media investment vehicle, the ownership consortium is expected to include as minorities Lord Rothermere, the owner of The Daily Mail, and the billionaire businessman Sir Leonard Blavatnik. The Conservative government last year proposed a 5pc cap on foreign state ownership. However, Ms Nandy has opted to treble the limit after lobbying from Rupert Murdoch and Lord Rothermere. They argued that a lower cap would have a chilling effect on investment in news publishing at a time of business upheaval. Ministers have been seeking to repair relations with the UAE, which were badly damaged by the decision to block its attempted takeover of The Telegraph.

UAE reveals new media rules with fines of up to Dh2 million
UAE reveals new media rules with fines of up to Dh2 million

The National

time29-05-2025

  • Business
  • The National

UAE reveals new media rules with fines of up to Dh2 million

The UAE Media Council on Thursday announced a comprehensive new system to regulate the country's media sector. The framework, which will apply to everything from traditional publications to modern-day content creators and influencers, introduces a clear set of 20 content standards that media entities must meet. These include respect for all religions, the UAE's sovereignty, national institutions, and privacy rights. Content deemed harmful to the country's foreign relations, economy, or public trust such as fake news will not be tolerated, the council said. What are the punishments? Those who break the new regulations could face administrative fines of up to Dh1 million, which can be doubled to Dh2 million for repeat offences. Additionally, temporary closure of a business for up to six months or permanent closure may be enforced with cancellation of the licence. 'This isn't about tightening control, but empowering the sector,' said Mohammed Al Shehhi, secretary general of the UAE Media Council on Thursday in a press conference in Dubai. 'The new system offers flexible services and licences for all segments of the media industry, supporting innovation without adding financial strain. We are protecting intellectual property without limiting free speech.' How does it affect influencers? The UAE has introduced rules to regulate social media influencers in recent years. One of these is the need for a licence. If you are making money from your social media posts anywhere in the UAE then you will need to apply for the licence from the National Media Council. This costs Dh15,000 in Abu Dhabi and Dubai but the total costs can vary depending on which emirate you operate in. For more on influencer licences, check out The National's guide here. The new system establishes a solid foundation for a future-proof media landscape, addressing advancements in digital media, artificial intelligence, gaming, on-demand broadcasting, and other evolving fields, Mr Al Shehhi said. How will it be regulated? Maitha Al Suwaidi, chief executive of strategy and media policy at the UAE Media Council, said they will launch a unified AI and analytics platform to regulate and assess media content before publication. 'The new AI-powered platform will report fake advertisement and false information,' she said. Designed to support the council's national regulatory mandate, the platform provides a single, AI-powered environment to analyse, inspect, and validate media content that is pending release such as books, films, artworks, and more. This will ensure accelerated, thorough and accurate reviews of content that aligns with UAE laws, values, and standards before reaching the public. Previously, tasks such as the inspection and licensing of media content were conducted manually. 'Our aim to empower media talent, cultivating a competitive local media ecosystem, driving development of the media industry, and bolstering UAE status as a global media hub,' added Ms Al Suwaidi.

UAE announces new media law in 40 years with MAJOR changes for digital content sector
UAE announces new media law in 40 years with MAJOR changes for digital content sector

Arabian Business

time29-05-2025

  • Business
  • Arabian Business

UAE announces new media law in 40 years with MAJOR changes for digital content sector

The UAE has unveiled its first media law in more than four decades as part of a sweeping overhaul of the country's media regulatory framework announced at a press conference in Dubai yesterday. The Media Regulation Law and its Executive Regulation mark a shift towards regulating emerging technologies including artificial intelligence, gaming, and on-demand broadcasting platforms that did not exist when previous media legislation was enacted. Mohammed Saeed Al Shehhi, Secretary-General of the UAE Media Council, told reporters at Creators HQ in Emirates Towers, Dubai, that the new system represents a departure from traditional media regulation approaches and embodies the UAE leadership's vision for a modern and integrated media landscape. New UAE Media Regulation system targets AI, gaming and on-demand broadcasting 'The new system transforms the way the media sector is regulated and developed, as it combines updated legislation, comprehensive media services, and policies covering various sectors to enhance efficiency and sustainable growth,' Al Shehhi said, according to a statement by the Emirates News Agency (WAM). The legislation follows a two-year development process involving what Al Shehhi described as 'close collaboration with federal and local entities, media organisations, content creators, and international experts, reflecting a belief in partnership-based legislation grounded in practical application.' He added that 'this approach ensures responsiveness to change, empowers talent, fosters innovation, and attracts investment.' The Secretary-General emphasised that the regulatory framework goes beyond establishing frameworks, focusing on content as the core of the industry. 'We ensured that it incorporates clear standards for responsible, balanced content that respects values and identity while promoting creativity and impact,' he said, highlighting what he described as the importance of creative individuals as the foundation of effective media. 'The goal is to empower the media sector to become a driving force for development and a vital economic engine contributing to the national GDP and enhancing the UAE's regional and global competitiveness. The new system aims to unlock potential, stimulate investment, and empower content creators through a flexible environment, streamlined procedures, incentivising exemptions, and strategic partnerships at both local and international levels,' Al Shehhi added. Maitha Al Suwaidi, CEO of Strategy and Media Policies Sector at the UAE Media Council, told the conference that the Council is spearheading a transformation of the national media landscape through what she described as a comprehensive legislative roadmap designed to modernise the sector's regulatory framework and create a flexible, contemporary environment. She said this environment will both keep pace with global media trends and foster a more impactful and sustainable media industry. Al Suwaidi explained that the roadmap extends beyond traditional legal frameworks, incorporating not only the Media Regulation Law and its Executive Regulation but also a series of policies and regulatory decisions that reflect what she called 'a deep understanding of the challenges and opportunities presented by new media, with the aim of enhancing media practices to ensure they align with the UAE's core values,' according to the statement. A key component of the new system is a resolution regulating social media advertising by individuals, which Al Suwaidi said aims to build public trust, protect audiences, and improve the quality of online media content. The measure also offers concrete support to content creators through a three-year exemption from permit fees, she stated. UAE announces new age rating system following rising concerns over digital content access The UAE Media Council will implement a comprehensive age rating system for media content to safeguard children and adolescents from inappropriate material, which Al Suwaidi described as particularly crucial given the rise in digital content consumption. Officials are also developing a new policy for licensing digital news platforms to establish what they describe as clear professional and regulatory guidelines to enhance credibility, ensure adherence to journalistic standards, and promote responsible practices within a balanced legal framework. The regulatory package includes the Cabinet's resolution on media service fees and the resolution on violations and administrative penalties, representing what Al Suwaidi called 'a significant step towards a unified, flexible, and transparent media services system.' She said this user-friendly system aligns with the UAE government's vision for proactive and integrated digital services, streamlining processes for media organisations and content creators within a growth-oriented regulatory environment. Al Suwaidi emphasised that the local content empowerment policy is central to the system, prioritising Emirati talent and creative projects within the national media strategy. Fee exemptions for several media services will support local producers, writers, and creatives, and encourage content that reflects national identity and elevates the quality of the media message, she explained. She concluded that the new legislative system represents what she described as 'a pivotal moment in the development of a modern Emirati media landscape founded on transparency, professionalism, and quality.' The system provides media organisations and content creators with a robust regulatory structure that enhances their production capabilities and unlocks opportunities for growth and global competitiveness, according to Al Suwaidi. The Media Council was established in February 2023 as part of broader government restructuring aimed at consolidating media oversight under a single regulatory body, building the foundation for what officials describe as this transformative journey.

Up to Dh2 million fine: UAE announces new system to regulate media
Up to Dh2 million fine: UAE announces new system to regulate media

Khaleej Times

time29-05-2025

  • Business
  • Khaleej Times

Up to Dh2 million fine: UAE announces new system to regulate media

The UAE Media Council has launched an integrated system to regulate, empower, and stimulate the growth of the media sector, it was announced at a press conference in Dubai on Thursday. A new platform will soon be established to enable community monitoring of content as part of this comprehensive initiative. This new framework, developed over the past two years to align with contemporary changes while carrying the nation's message, includes regulations for business operations, violations, exemptions for content creators and innovators, and other regulatory decisions. Among the key provisions is allowing individuals to own media institutions and outlets under specific controls and conditions. This marks the first media regulatory law issued in over 40 years. The system regulates media activities for individuals and various media institutions, establishing 20 new standards for media content circulated and published in the country. These standards aim to preserve national identity and set conditions and controls for advertising to ensure all media entities comply with content guidelines. The regulations prohibit misleading content, prevent confusion between content and advertising, require clear advertising messages, and ban unauthorised content in related sectors such as health advertisements. Administrative penalties outlined in the law include warnings and financial fines reaching up to Dh1 million. These penalties can be doubled to Dh2 million in case of repeated violations. Other penalties may also include cancellation of licenses, permits, and approvals issued to individuals, establishments, or media institutions. The council announced an incentive system to support local content, including exemptions for creators, writers, and local productions in cinema and theatre. The system introduces specialised packages for publishing, cinema, and electronic games, and creates categories for small cinemas to support their business development. The new regulatory framework aims to develop a modern legislative and investment media environment to keep pace with changes and transformations in the media sector, regulate media activities in the country in all their types and forms, and elevate media content while stimulating the production of local content that aligns with media content standards.

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