The Telegraph has reported that it understands that it is to be proposed that Sky News is ‘hived off’ into an independent trust as part of News Corporation’s efforts to assure Ofcom that its bid for full ownership of BSkyB will not reduce media plurality.
In January culture secretary Jeremy Hunt announced that he had delayed his decision over whether to refer News Corporation’s BSkyB bid to the Competition Commission, as advised by Ofcom, in order to hear further “undertakings” from the company.
According to the Telegraph’s report the soon-to-be proposed independent trust would be funded by News Corp in the long-term.
Essentially, the arrangement will see Mr Murdoch’s News Corporation cede control of Sky News.
Government sources said yesterday that Jeremy Hunt, the culture secretary, has not yet made his decision, as he is waiting to receive the submissions from the OFT and Ofcom.