News Corporation takeover bid for BSkyB the deal, the proposal was referred to Jeremy Hunt, the Secretary of State for culture, media and sport. Hunt initially elected not to refer to the deal to the Competition Commission, announcing on 3 March 2011 that he intended to accept a series of undertakings given by News Corporation, paving the way for the deal to be approved. The undertakings would have led to Sky News being severed from BSkyB. On 23 June it was reported that News Corp had reached an agreement with Ofcom to approve the takeover, on the basis of Sky News becoming a separate company. By
News Corporation takeover bid for BSkyB days later, with the News of the World phone hacking scandal exploding, Ofcom intervened, saying that it has "a duty to be satisfied on an ongoing basis that the holder of a broadcasting licence is 'fit and proper'". It was in the wake of the Milly Dowler phone hacking allegations that a significant number of people, including former deputy prime minister John Prescott and other politicians, began to seriously question whether the takeover of BSkyB by News Corporation ought to be blocked. The Media Standards Trust formed the pressure group "Hacked Off," to campaign for a public inquiry. Soon after