Lisa Nandy, UK culture secretary, will ask UK media and competition watchdogs to examine Paramount’s $110 billion (€96.2bn) acquisition of Warner Bros Discovery (WBD) – even if she has to change the law to do it.

The WBD takeover will affect assets including the 5 UK channel; news channel CNN; TNT Sports (which broadcasts UEFA European football tournaments, Premier League football and the Olympics); and the Paramount+ and HBO Max streaming services.

Nandy said she was “minded to” task the communications regulator Ofcom with looking at the impact of the mega-merger on media plurality, and request the Competition and Markets Authority (CMA) to investigate whether the proposed deal creates competition issues.

“Following engagement with the parties and independent research, my department has today written to the current and proposed owners of Warner Bros Discovery on my behalf to inform them that I am minded to intervene,” said Nandy. “I am conscious that the proposed acquisition is global in nature. In reaching this decision, my focus has been, and will remain, on the UK public interest and the range of services available to UK audiences, including Channel 5, TNT Sports, Cartoon Network, Nickelodeon, and CNN International, as well as Paramount+ and HBO Max.”

Nandy said that investigating public interest issues regarding streaming is not covered in the Enterprise Act 2002, but that she may legislate to allow Ofcom to investigate the merger’s impact on on-demand services.

“As the legislation was drafted at a time where viewing was largely via broadcast linear channels, it does not cover the effect of a merger on streaming or video-on-demand services,” Nandy added. “I believe this ought to be able to be considered in relation to this and all future media mergers given the role on-demand viewing now plays in the market.” Nandy said that if she decides to intervene she will bring forward secondary legislation to include streaming and on-demand services in the Enterprise Act.

The culture secretary has given Paramount and WBD until July 6th to respond.

“It is important to note that I have not taken a final decision on intervention at this stage,” she concluded.

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Tags: Channel 5, HBO, Lisa Nandy, paramount, UK, WBD