The Labour government unveiled plans to allow foreign states to acquire up to a 15% stake in British newspapers and magazines, overturning a Conservative-era ban enacted amid concerns over Gulf influence in UK media, according to Euronews.
Culture Secretary Lisa Nandy argued the reforms strike a balance between safeguarding press independence and enabling “vital funding” for struggling news outlets.
Britain’s free and independent press is a national asset like no other and it is right that we have strong measures in place to allow scrutiny of UK takeovers that might go against the public interest. We are fully upholding the need to safeguard our news media from foreign state control whilst recognising that news organisations must be able to raise vital funding.
Announced on Thursday, the policy marks a reversal of the 2024 Digital Markets, Competition and Consumers Act, which barred foreign state ownership entirely following Abu Dhabi-backed RedBird IMI’s attempted takeover of The Telegraph. Under Labour’s proposal, state-linked investors could now hold minority stakes, provided they remain below the 15% threshold.
The rules will also expand to cover online news platforms and magazines, closing a regulatory gap that previously applied only to print, TV, and radio.
The reforms could end a two-year impasse over The Telegraph and Spectator magazine, effectively controlled by RedBird IMI since 2023 after settling debts owed by the Barclay family. The Conservative government blocked the UAE-linked deal last year, citing national interest concerns. Labour’s revised cap may permit the sale to proceed, though critics warn even minority stakes could enable foreign interference.
Prime Minister Keir Starmer’s administration faces scrutiny over the timing, with media analysts noting the shift coincides with growing financial pressures on traditional publishers.
