UK to change law to ban foreign states from owning newspapers

Britain's government outlined plans on Wednesday to stop foreign states from owning newspapers, potentially giving ministers the power to block Abu Dhabi-backed Red Bird IMI's bid to buy the Telegraph.

The proposed changes to the law would in effect block the Telegraph takeover bid by Red Bird IMI as currently structured, one government official said.

The group also planned to buy the Spectator news magazine. The new ban on foreign control is expected to be put to a vote in the House of Lords in the next few weeks. It would have to be passed there and in the lower House of Commons before the new rules would come into force.