LONDON: Former Chancellor of the Exchequer and Conservative MP Nadhim Zahawi has criticized the UK government for blocking the sale of The Daily Telegraph and The Spectator to a UAE-led media company earlier this year, calling the decision “a terrible error of judgment.”
Speaking in an exclusive interview with Arab News for the season premiere of “Frankly Speaking,” Zahawi expressed disappointment at the decision.
“If Margaret Thatcher (had a say, she) would have said the UK should always be open for business.
“The way you protect particular sectors of the economy, if they require protection, whether it’s nuclear or media, it’s through regulation — good regulation — not legislation.”
The sale of the titles was halted due to government concerns over foreign ownership in critical sectors like the media.
Zahawi, who served as chair of the Conservative Party until January 2023, said he disagreed with colleagues who opposed the sale, especially given the growing economic ties between the UK and the UAE.
He said RedBird IMI, a joint venture between Abu Dhabi’s International Media Investments and US-based RedBird Capital led by former Vice President of CNN International Rani Raad, deserved credit for securing what he called an “incredible sale” of The Spectator for £100 million ($133 million) to Sir Paul Marshall, a hedge fund tycoon and major investor in GB News.
Zahawi, who founded and served as CEO of market research firm YouGov, declined to comment on the ongoing discussions regarding the sale of The Telegraph and dismissed those who questioned his own possible involvement in a takeover.
“I won’t comment on a live commercial process,” he said. “Suffice to say that it would be an honor and a privilege to lead a great newspaper like The Daily Telegraph.”
RedBird IMI, which owns The National, Sky News Arabia and holds stakes in Euronews and other media companies, took control of The Telegraph and The Spectator in December 2022 after repaying a £600 million debt owed by the Barclay family to Lloyds Bank.
However, UK legislation passed in April aimed at curbing foreign state ownership of newspapers prevented the group from assuming full control.
In September, reports surfaced that Zahawi, who acted as a mediator between RedBird IMI and potential buyers, had allegedly approached former Conservative Party treasurer Sir Mohamed Mansour, an Egyptian-born businessman, to help finance his own bid for the broadsheet.
He was also reported to have held talks with the Reuben family, property billionaires with a stake in Newcastle United Football Club.
In the interview, Zahawi also reflected on his personal journey from Baghdad to the UK, sharing experiences of financial hardship, racism and political awakening during his time at university. He discussed his new book, “The Boy from Baghdad,” his views on the Labour Party, the recent riots in the UK and the country’s immigration policies.
The full “Frankly Speaking” interview will be available on Sunday on Arab News’ website and social media platforms.
