Investors lose faith in Murdoch as BSkyB chief

BSkyB chairman James Murdoch is set to receive a bloody nose at the broadcaster's annual meeting tomorrow, with several big investors planning to vote against his re-election over his handling of the News of the World phone-hacking scandal. Legal & General, Kames Capital and the Local Authority Pension Fund Forum (LAPFF) are all poised to oppose Mr Murdoch's re-election.

But the support of other big shareholders and the backing of News Corporation, which owns 39.1 per cent of BSkyB, mean he is likely to survive the vote by a comfortable margin.

However, a vote of more than 20 per cent, including abstentions, against him will ratchet up the pressure on Mr Murdoch.