Ofcom rules against Fox News UK

UK media regulator Ofcom has cast doubt over 21st Century Fox’s takeover of pay TV operator Sky after ruling its Fox News channel in the UK breached broadcasting standards.

James Murdoch

The regulator said Fox News, which was taken off air in the UK earlier this year, had breached impartiality rules covering broadcasting in the country.

The rulings related to Fox programmes Hannity and Tucker Carlson Tonight, and followed the Manchester Arena bombing in May and US president Donald Trump’s travel restriction order.

Ofcom said the programmes had not offered balanced reporting, with hosts not challenging views but reinforcing opinions.

Shares in Sky slumped almost 2% on the news, as the Fox-Sky deal continues to stumble.

In September the UK government confirmed it would refer 21st Century Fox’s proposed buyout of Sky to competition authorities.

UK culture secretary Karen Bradley had said she would refer the takeover to the Competition and Markets Authority (CMA) on the grounds of media plurality.

Having received additional guidance from UK broadcasting regulator Ofcom, Bradley said she was now also “minded to refer” the deal to the CMA on the grounds of “genuine commitment to broadcasting standards.”

21st Century Fox CEO James Murdoch told the annual RTS Conference in Cambridge that he was still confident his company’s deal for the 61% of Sky it doesn’t already own would go ahead despite the political problems.

Reports in the US today suggest 21st Century Fox is mulling the sale of its TV and production business to Disney, leaving it focused purely on news and sport.