The UK government has indicated it may intervene in Paramount Skydance’s proposed acquisition of Warner Bros. Discovery.
The $110 billion (£83 billion) transaction would bring together major film, television, news and streaming assets, including Warner Bros., HBO and HBO Max, CNN, TNT Sports, Cartoon Network, Nickelodeon, Channel 5, Paramount+, the DC Universe, Harry Potter, Game of Thrones, and The Lord of the Rings.
Culture Secretary Lisa Nandy has written to both the current and prospective owners of Warner Bros. Discovery, stating she is minded to intervene on public‑interest grounds.
This does not block the merger; if Nandy proceeds, she may issue a Public Interest Intervention Notice, prompting additional review by Ofcom and the Competition and Markets Authority.
Ofcom would assess the deal’s effect on media plurality in the UK, while the CMA would evaluate any competition concerns.
Nandy said in a written statement, ‘Following engagement with the parties and independent research, my department has written to both the current and prospective owners of Warner Bros. Discovery to inform them that I am minded to intervene.’
She added, ‘I am conscious that the proposed acquisition is global in nature. My focus, and that of my department, is 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.’
Paramount said it remains confident the deal will clear UK scrutiny, stating, ‘We are confident that our proposed transaction does not pose any media plurality issues in the UK and remain confident in our stated timeline.’ The spokesperson added, ‘We thank all interested government bodies and relevant authorities, including those in the UK, for their constructive engagement.’
The development follows the US Justice Department’s green light for the merger, despite significant industry backlash.
Negotiations over Warner Bros. Studios have been ongoing for months, with Netflix initially seen as the frontrunner.
In February, Netflix withdrew from the bidding, paving the way for Paramount Skydance to acquire the studio.
In April, Warner Bros. Discovery shareholders approved the $111 billion (£82 billion) takeover, which is backed by tech billionaire Larry Ellison and his son David.
The decision was widely expected, given Donald Trump’s known close relationship with the Ellison family, who praised Larry in May as a ‘tremendous man’.
The merger has drawn criticism from across Hollywood, with more than 1,000 industry professionals signing an open letter opposing it.
Mark Ruffalo, among others, strongly criticised the merger, writing, ‘We must fight this. It will mean fewer films, less TV, less creativity, and less of everything decided by industry executives.’
He added, ‘This merger is bad for everyone except the billionaire class. Please fight this.’