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Media

The UK media have long been important international sources of information and
insight on China, reporting independently and critically. While independent reporting
continues, Chinese official media have become more influential in the United Kingdom
and internationally through their UK presence. Primarily, they have expanded their
operations and reach. For example, the re-branded China Global Television Network
Europe Ltd (CGTN), headquartered in London, is seeking to increase activities and
China Daily now distributes its China Watch “supplement” as an advertisement inside
the respected conservative newspaper the Daily Telegraph. The UK and Chinese
governments have also concluded a Television Co-Production Agreement that provides
a framework under which TV producers in both countries can share resources but have
to respect “stipulations in the relevant Party’s law and regulations.”16

Given the United Kingdom’s special historical relationship with Hong Kong, the
central authorities’ heavy influence on the Hong Kong media and the deterioration of
media freedom in Hong Kong are of relevance in the United Kingdom, where the case
of rising self-censorship at the South China Morning Post, for example, has been noted.17
According to confidential reports, some journalists who have left Hong Kong for the
United Kingdom have encountered intimidation attempts.

The effects of media-influencing activities taking place in the United Kingdom are
hard to assess. Critical reporting continues, but the rise of commercial ventures
transporting censorship into the United Kingdom looks set to continue too. For the
moment, increasingly difficult access to information and insight in China, as a result
of domestic repression, is at least as great a problem as attempts to influence or repress
remotely in the United Kingdom.

The Economy

For years, the United Kingdom was a bit of an outlier in its openness to Chinese
investment and its willingness to grant Chinese firms, even state-owned ones, access to
its critical infrastructure. Nonetheless, there is now growing concern in London about
China’s ability to leverage its growing economic power into political influence and to
use its riches to buy, borrow, or steal key Western technologies that sit at the heart of
Western economies.

In partnership with France and Germany, the UK government has also introduced
mechanisms to monitor and block Chinese takeovers of high-technology companies in
sensitive sectors.18 The three nations also support efforts to tighten EU-wide regulations
to govern Chinese investment so that Chinese entities cannot exploit the weaker
regulatory systems of some European countries to gain access to potentially sensitive

Appendix 2

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