NUJ raises concerns over Northcliffe Media sale branding it as a "fire sale"
The NUJ has voiced its concerns over the £52.5 million sale of Daily Mail and General Trust’s regional newspaper division, Northcliffe Media, to Local World claiming it “amounts almost to a fire sale”.
In a statement made today NUJ deputy general secretary Barry Fitzpatrick described the sale as a “great cause for concern,” adding: “Once again a huge swathe of our media has changed hands with little transparency and, some could say, by stealth”.
Fitzpatrick continued: “Local World said it has a ‘vision to create comprehensive content for local communities’. Experience shows that large groups soon lose contact with their local communities as they close local and district offices. We want to hold Local World to its word that it will protect news coverage for local communities.
“We would like to see hard evidence that the dash to digital can be backed by a solid business case. We want guarantees from David Montgomery that revenues will not be lost in the switch from print to online. We also want guarantees that there will be a print option for many in the community who do not get access to local news and information online.”
The group’s titles now include the Bristol Post and Derby Telegraph, Cambridge Evening News, Hertfordshire Mercury and Leicester Mercury. David Montgomery, chairman, said the new venture would have an enterprise value of about £100milion on completion of the deal and employ more than 2,800 people.
The NUJ, however, have raised concerns over possible cuts at the group, with Fitzpatrick commenting: “We would also like to warn the managers of Local World that there is no fat left on these titles to cut. Year- on-year cuts to staffing and resources have left very little to trim.
“These cuts mean that courts are not being covered and councils are not being held to account. This democratic deficit is further increased when large sections of the community, who do not have access to computers or smart phones, are unable to get access to their local news”
Local World Group CEO Steve Auckland, responded: '‘We’ve reiterated that there will synergy savings through linking together Iliffe and Northcliffe. At this stage it is not envisaged there will be major reductions in staff on frontline content gathering and sales. The plan is growth not cost cutting."