[ad_1]
The chief executive of Ofcom will remain recused from a probe into the takeover of The Daily Telegraph even after Lloyds Banking Group – which employs her husband – is repaid a £1.16bn loan by the newspaper’s owners.
Sky News has learnt that Dame Melanie Dawes, who has run the media regulator since 2020, will play no part in its investigation into RedBird IMI’s proposed deal with the broadsheet titles because of her marriage to Ben Brogan, the bank’s public affairs chief.
Ofcom said in July, when Lloyds placed the Telegraph’s holding company into receivership, that Dame Melanie would recuse herself from discussions about its future owing to her relationship with Mr Brogan, who will leave Lloyds next year.
However, some people close to the process had expected the repayment of the Barclay family’s debt to Lloyds to pave the way for the Ofcom chief executive’s involvement in what will be one of the most politically sensitive public interest probes it has conducted since its creation.
Ofcom confirmed her status in relation to the Telegraph investigation on Monday.
Lucy Frazer, the culture secretary, has issued a public interest intervention notice (PIIN), triggering inquiries by Ofcom and the Competition and Markets Authority, amid concerns about the Telegraph’s editorial independence if it is majority-owned by a state-backed Abu Dhabi investor.
Conservative politicians, including the former party leaders Lord Hague and Sir Iain Duncan Smith, have been among those calling for the deal to face intense scrutiny and potentially to be blocked.
News of Dame Melanie’s continued recusal from the Telegraph process comes as Lloyds awaits the repayment of its long-standing loans by the Barclays, with the transfer of the funds expected to be completed later on Monday.
The deal will represent a stellar outcome for Lloyds and its chief executive, Charlie Nunn, who is expected to sanction the return of hundreds of millions of pounds of excess capital to…
[ad_2]
