Hermes, the activist UK fund manager, will vote against a proposal by BSkyB which would allow Rupert Murdoch's News Corp to increase its stake in the satellite broadcaster without bidding for the entire company.

Colin Melvin, director of corporate governance at Hermes, told Financial News the company would vote against the resolution on November 4 despite reassurances given by BSkyB with which it has been talking over the past week and a half.