BT Group PLC (LSE:BT.A), ITV PLC (LSE:ITV), Sky and IMG Media are being investigated by the UK competition authorities over whether they are fixing rates of pay for freelance workers who work on sports broadcasts.
The probe is related to the purchase “of freelance services which support the production and broadcasting of sports content in the UK”, the Competition and Markets Authority (CMA) announced in a statement on Wednesday, saying it had “reasonable grounds” to suspect at least one breach of competition law.
It was reported that the investigation will scrutinise whether there was any potential cartel actions being used to set the pay for skilled workers such as camera operators and sound engineers, according to media reports.
These freelancers often work for whichever broadcaster is showing a game.
The CMA is investigating the broadcasters under Section 25 of the Competition Act, which focuses on potential cartels.
“The CMA has not reached a view as to whether there is sufficient evidence of an infringement of competition law for it to issue a statement of objections to any party or parties,” the regulator said.
In response, ITV said it was “committed to complying with competition law and is cooperating with the CMA's inquiries. ITV does not propose to comment on this investigation further at this stage.”
BT said in a statement: “It is clear that CMA’s investigation is focused very specifically on the purchase of freelance services and not any other aspects of the BT Sport or wider BT Group business.”
A Sky spokesman said: “We are co-operating fully with the CMA.”
The CMA can fine companies up to 10% of turnover if it uncovers wrongdoing.