Virgin Media slams BT’s TalkTalk takeover as a “stitch up”
Key Points
- Virgin Media called BT's TalkTalk deal a stitch up masked as a rescue.
- Lisa Nandy issued a Public Interest Intervention Notice on 5 October.
- The CMA must report back to Nandy by 19 October 2026.
- Virgin Media will raise concerns with government and regulators.
- TalkTalk customers do not need to take any action.
Virgin Media has attacked BT Group’s deal to buy TalkTalk, a day after the government intervened in the takeover.
The Department for Digital, Culture, Media and Sport (DCMS) announced on Monday (5 October) that Secretary of State Lisa Nandy had issued a Public Interest Intervention Notice in relation to the deal.
The notice allows Nandy to weigh the wider public interest once the Competition and Markets Authority (CMA) has reported on competition concerns.
Nandy has asked the CMA to report back to her by 19 October 2026.
“This has all the characteristics of a stitch up masked as a rescue deal in the public interest,” said a Virgin Media spokesperson.
“Just days after the competition regulator proposed potentially blocking a logical deal between nexfibre and Netomnia that would accelerate fibre investment and create a genuine, financially sustainable challenger to Openreach, it now appears that rules might be watered down so the incumbent can roll its tanks over competition and further tighten its grip on the market,” the spokesperson added.
“The logic simply doesn’t add up. We don’t believe rules should be thrown out the window to allow TalkTalk to fall into BT’s lap without a proper process,” said the spokesperson.
Virgin Media said it would raise its concerns directly with the government and regulators.
Why the government stepped in
DCMS said TalkTalk had been looking for a buyer for its consumer and wholesale businesses following a period of financial difficulty.
It added that several potential buyers failed to agree a deal for the whole business after an extensive open bidding process, before BT reached an agreement to acquire the company.
The department said TalkTalk’s networks support critical services, including emergency calls, ambulance and hospital communications and medical alarms.
“Phone and broadband services are vital national infrastructure. If TalkTalk services fail, there is a genuine risk to life and public services – including to hospitals, schools and emergency care,” said Nandy.
“These are unprecedented circumstances that require action now. That is why I am acting with urgency to ensure that impacts on public health, critical national infrastructure and supply to vulnerable customers are fully considered as part of this process,” she added.
Nandy will also urgently lay an Order before Parliament amending the Enterprise Act to add continuity of telecoms supply as a new ground for intervention.
The Enterprise Act lets her rely on these proposed new grounds in her initial intervention.
DCMS said TalkTalk customers do not need to take any action, and services should continue as normal while the acquisition goes ahead.
It said customers would hear directly about any changes they need to know about.
