Nandy targets streaming safeguards in Sky–ITV merger review
October 16, 2026 10.36 Europe/London By Julian Clover


Culture Secretary Lisa Nandy is considering extending the UK’s media merger rules to streaming, raising questions over the breadth of on-demand programming available to viewers if Sky completes its £1.6 billion acquisition of ITV’s television business.

Nandy said she was “minded to intervene” in the transaction, with concerns extending beyond news plurality to the availability of high-quality programmes appealing to different audiences on streaming platforms.

The proposal would bring the streaming dimension of the acquisition into the public-interest assessment. Sky would gain control of ITVX alongside ITV’s free-to-air channels, while ITV Studios would remain outside the transaction.

In her statement to Parliament, Nandy identified a gap in legislation written when viewing was predominantly through linear channels. The existing public-interest consideration covering the range and quality of broadcasting does not currently extend to a merger’s effect on streaming or on-demand programmes.

“Having considered the anticipated merger, I am of the view that there are reasonable grounds to believe that it might affect availability of a wide range of high-quality and varied programming on the on-demand platforms that are now widely used by UK audiences,” she said.

“Consequently, if I decide to intervene on the basis of this new public interest consideration, I will bring forward legislation which amends section 58 of the Act to extend the application of the public interest consideration relating to the availability of a wide range of broadcasting to on-demand programmes.”

The distinction is significant for the review. Alongside questions about competition, advertising and news ownership, the proposed test would allow scrutiny of whether the transaction could affect the variety and quality of programmes available to streaming audiences.

It would extend a media merger safeguard to on-demand viewing, rather than create a general requirement for every streaming platform to carry a particular mix of programmes.

Streaming scale is central to the companies’ case for the acquisition. Sky hopes to combine its pay-TV operations with ITV’s broadcast and digital business to create a “national streaming champion” capable of competing with Netflix and Disney+.

The companies expect £200 million in cost synergies, predominantly from combining marketing and technology, alongside a reduction in ITV’s annual spending of more than £100 million on acquired non-UK content.

That places the commercial rationale for combining resources alongside the government’s interest in preserving a broad programme offering as audiences move online.

Sky has already made commitments to protect ITV’s identity, its free-to-air services and public service broadcasting obligations, and to maintain Sky News and ITV News as two distinct services.

Nandy is separately considering intervention on existing grounds covering freedom of expression, plurality of news views and the number of people controlling media businesses.

No final intervention decision has been taken. Sky and ITV have until 09:00 on October 20 to respond. If Nandy issues an intervention notice, Ofcom would report on public-interest considerations and the Competition and Markets Authority would examine competition issues. She would then decide whether to refer the transaction for a more detailed investigation.