Hollick rules out cable merger
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.The cable industry was dealt a fresh blow yesterday after it emerged United News & Media, Lord Hollick's media conglomerate, had ruled out joining merger talks with cable operators Telewest and NTL. Separately, NTL also announced a large restructuring which will mean the loss of 50 jobs.
United had been courted by NTL's head, Barclay Knapp, as part of a plan to merge with Telewest to create a rival to Cable & Wireless Communications, the UK's largest cable company. However, a source close to United said yesterday: "United never had any intention of joining the talks."
City observers said United's presence in the merger would have given the consolidated group greater clout, and would have added impetus to the rationalisation of the industry.
NTL, which announces its second-quarter results this morning, said it was merging its three customer operations departments into one over the next six months. Its Fleet office will also be absorbed into offices in Farnborough and Guildford.
A spokeswoman for NTL said last night that upwards of pounds 1m would be saved by the job cuts and reorganisation of the business. She added that further cost cuts and redundancies could not be ruled out, and that some of the 50 redundancies announced yesterday would be senior positions.
The news comes just one week after Telewest, the second biggest UK cable company, said it was to slash 1,400 jobs, a quarter of its workforce. The company also said it would slow down its investment spending and would inject more funds into marketing.
The cable industry has come under fire from the City in recent months as the number of customers signed up has failed to increase as fast as anticipated.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments