The cozy relationship that Rupert Murdoch long enjoyed with the British power structure came to an abrupt end Tuesday, just as he needed it to complete one of his biggest media buys ever.
The billionaire, tainted by a cell phone hacking scandal at one of his newspapers, suddenly faces stiff government opposition to his bid for total control of a much more lucrative property: the satellite British Sky Broadcasting company.
The news came in a stunning announcement from Prime Minister David Cameron's office that the government will support a motion calling on Murdoch and his News Corp. to withdraw the $12 billion bid for BSkyB.
Cameron knows that he cannot afford to flap around on the issue as he did during Monday's Downing Street presser. If it gets rough, expect more of the Tory line that they've done more in seven days than Labour did in 13 years to grasp the nettle of a blagging and other media abuses.
The PM knows that by making a statement - straight after PMQs - he can try to take the wind out of the sails of the Opposition Day debate that will follow it. I hear that it's still undecided if Cameron himself will lead for the Government in response to Miliband.
The meeting between the three party leaders over phone hacking lasted about an hour and ended without a statement. The Prime Minister is likely to make an announcement after PMQ's tomorrow. Press Association is quoting Labour sources who are confident the government will support "tough judge-led inquiry with a broad scope".
Tony Blair gave an interview to CNN last night about phone hacking. He said claims that he warned Brown against an investigation for fear of angering News International were "absolutely untrue". He says the Daily Mail "pretty much" tortured Cherie while he was in office.
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