Netflix to promise cheaper streaming for UK viewers amid Hollywood takeover battle

The US streaming giant is preparing to unveil lower overall costs as it merges its service with the soon-to-be-launched HBO Max.

The move is to form part of Netflix's defence as regulators scrutinise its proposed $83billion (£60bn) takeover of Warner Bros.

The company faced backlash by unions representing film and TV, who claimed it would eliminate jobs, push down wages and worsen conditions for entertainment workers.

Donald Trump also said the deal "could be a problem," amid a wave of industry backlash.

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Warner Bros has confirmed that HBO Max will launch in the UK next month at a starting price of £4.99 per month. The service will carry the upcoming Harry Potter TV series alongside other hit shows Succession and The Sopranos.

The launch of another streaming service will add to costs for British households, but Netflix will argue that a combined package of its own service and Warner’s HBO Max would cost less than two separate subscriptions if its deal goes through.

The emphasis on cost savings is understood to form part of Netflix’s defence as it gears up for scrutiny by the Competition and Markets Authority.

The deal followed an auction process in which Netflix was the front-runner to buy the business, despite being up against Paramount Skydance and Sky owner Comcast.

Despite Netflix framing its pitch to regulators around consumer costs, the monthly price of an ad-free Netflix subscription has risen by more than 60pc since 2019, from £7.99 to £12.99.

Ted Sarandos, Netflix’s co-chief executive, told a US Senate committee earlier this month that people who subscribed to both would receive a 'meaningful discount."