INM changes did not reduce media ‘plurality’ – report

A consultant's report on media ownership and diversity in Ireland has concluded that the decision by businessman Denis O'Brien to increase his stake in Independent News and Media (IMN) did not lead to a "material reduction in plurality".

The report, commissioned by the Broadcasting Authority of Ireland (BAI), examined the media landscape between 2012 and 2014 to see if any change of ownership or control had impacted on diversity.

The study was conducted by UK-based media consultants Communications Chambers and was was sent to Minister for Communications Denis Naughten last week.

The report concluded Mr O’Brien’s decision to increase his stakeholding in INM from 22 per cent to 29.9 per cent did “not seem to have created a significant interest, since such an interest likely existed already.”

Former chief executive

That was a reference to the changes that occurred in INM prior to the period of the study, when then chief executive Gavin O’Reilly was ousted at a time Mr O’Brien held a stake of 22 per cent. The move was widely reported as having been sought by Mr O’Brien.

Overall the consultants’ report concludes that there has not been a material reduction in plurality due to changes of ownership and control in the two-year period under review.

There were three other significant changes of ownership during that period.

In relation to Mr O’Brien’s interests, the report notes there were subsequent changes in INM including staff changes at board and management level.

Editorial charter

It also refers to a proposed editorial charter which required written approval for sustained adversarial reporting. However, that charter was subsequently withdrawn.

There were three other changes in media ownership in the two years that had the potential to impact on plurality. They were: the acquisition by Mediaforce of Johnson Press' portfolio of local newspapers; Landmark Media (controlled by the Crosbie family) acquiring most of the Thomas Crosbie portfolio including the Irish Examiner; and Celtic Media buying Dunfermline Press' five local newspapers.

The report notes that ownership of local media remains diverse while on the national level, there are two clear cross-media leaders, RTÉ and INM/Communicorp.

In July 2012, a few months after the departure of Mr O’Reilly from INM and Mr O’Brien’s increase in his stake, the BAI decided it would not take action over Mr O’Brien’s media interests. The members of the authority concluded it was “not obliged” to consider whether these represented “an undue amount of communications media”.