U.K. Plans New Law to Undo Foreign Deals on Security Grounds

[Borg Refinery]

https://au.finance.yahoo.com/news/u-k-plans-law-undo-162235669.html

(Bloomberg) -- Boris Johnson's government is drawing up plans for a radical new law that would give ministers power to unravel foreign investments in U.K. companies -- potentially casting doubt on deals that have already been concluded -- to stop hostile states gaining control over key assets.

The National Security and Investment Bill is in the final stages of drafting and could be published later this month, according to people familiar with the matter who spoke on condition of anonymity because the subject is sensitive.

It aims to cover deals in sectors such as defense and critical infrastructure, and will make provisions to protect sensitive intellectual property.

Among the most potentially controversial parts of the draft law is a proposal to allow the government to intervene retrospectively in circumstances where national security is an issue. That would mean allowing government officials to look at past takeovers and mergers where concerns have been raised.

Darren Jones, an opposition Labour Party lawmaker who chairs Parliament's Business, Energy and Industrial Strategy Committee, said that while a bill is needed to update U.K. powers regarding foreign takeovers, the government "mustn't go so far as to scare off those who wish to invest in the future success of our country."

https://commonslibrary.parliament.uk/research-briefings/cbp-8784/

I think it's a great idea and who cares what CityAM et al thinks.

I would have Chinese & Indian rules to prevent or heavily regulate rich American property developers or Russian oligatcs from mass buying up property, or from starting harmful businesses or branches of them over here. Keep out asset strippers and the like..