Manchester Evening News sale spells further concentration of local media
Article published: Thursday, March 11th 2010
Centralisation of the UK’s local media continues following the sale of the majority of the Guardian Media Group’s regional arm, including the Manchester Evening News and its associated weeklies, to Trinity Mirror Plc.
The £44.8 million deal secures Trinity Mirror’s dominance of the major local newspapers in Greater Manchester, Merseyside, North Wales and Cheshire, leaving the Oldham Evening Chronicle as the only major title in the region not under Trinity’s control. The move could also see the MEN, which itself had cut staff and closed regional offices last year, be moved out of the centre of Manchester to Trinity’s offices in Oldham with further job cuts feared.
The NUJ’s deputy general secretary, Michelle Stanistreet, warned the deal “raises issues of editorial independence which should be of concern to government and community leaders as well as the media industry.”
Carolyn McCall, chief executive of Guardian Media Group, defended the sale of its regional titles on the grounds that they could no longer act as a “safety net” for the loss-making Guardian.
“Regional newspapers have been at the very sharp end of disruption from digital and for us it was a very small scale business,” argued McCall in a podcast interview, echoing the claim by pro-deregulation lobbying group the Local Media Alliance that the growth of digital media on the internet provides a quick and free alternative that print media struggle to match.
The Local Media Alliance, an association of seven of the largest media groups that collectively account for 72 per cent of the UK market, was recently joined by internet giant Google in calling for the relaxation of anti-monopoly legislation.
However, the NUJ contends the fall in demand is also due to a decline in the quality of local newspapers brought on by a business model focused on short-term shareholder profit. In a report to the Office of Fair Trading the NUJ criticised “the stripping of assets by the plcs, which have cut costs drastically to maintain profits and dividends and to meet their debts.”
The report claimed that as a result many local newspapers were unable to maintain in-depth coverage and investigative journalism, often relying on “barely-processed public relations material – in particular from the public sector.”
“They had no strategy for long-term growth and sustainability,” said Lawrence Shaw, deputy NUJ organiser for the north of England. “They don’t fully appreciate how journalism is an important side of the business and just expect it to write itself.”
Although four out of five adults still read a local newspaper, circulation has fallen by a fifth in the last decade while advertising funds have moved online. Recent years have seen a concentration of the UK’s regional media ownership by four large media corporations – Trinity Mirror, Newsquest, Johnstone Press and the Daily Mail and General Trust.
“With declining revenues and circulation, another round of consolidation is probably an inevitable strategy for the biggest groups,” predicted the former editor of the Trinity-owned Birmingham Post, Marc Reeves.
One possible consequence of the decline of local newspapers for local democracy was highlighted last January when the MEN Media Group-owned Salford Advertiser stopped delivering to certain Salford estates. An estimated two-thirds of Salford households lack the internet, effectively depriving some areas of any local coverage.
When pressed for an answer by the community organisation Salford Youth Council, the MEN admitted that it would only deliver to areas thought economically worthwhile and explained that “in order to remain in the marketplace and attractive to advertisers we alter the households that receive a home delivered free newspaper.”
The Office of Fair Trading has invited critics to make representations over the deal and the NUJ has made it clear it will be raising concerns. The sale is expected to be finalised on 31 March.
Richard Goulding
More: Manchester, News
Comments
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While it’s true that Trinity is becoming all-powerful in the world of local media (obviously a bad thing), and I’m sure there are also going to be more cuts, can the MEN actually get any worse?
I mean it really is a terrible paper, GMG were embarassed by it. It’s not just that MEN has been making cuts so the quality’s gone down, its editorial line is just fucking horrible, it’s as bad as the Mail.
In terms of content and decent journalism I wonder whether this takeover will make the slightest bit of difference either way.
Comment by Free Movement for All on March 11, 2010 at 9:31 pm -
Something should be done about Council run newspapers like the Stockport Review. This was only delivered to 123,000 households in February 2010 and yesterday I received yet another edition. All propoganda for the Council -no mention of the “top sclicing” of services to disabled children, the fact that we have the highest council tax rise in Greater Manchester and the potential £45 million black hole in Council’s finances – all good news stories and yet more pre-election photos of grinning LibDem Executive councillors delivered as a boost to them before the polls yet again delivered to 123,000 households. Not what I want my money spent on.
Comment by Sheila Oliver on March 13, 2010 at 6:54 pm -
Whilst the MEN is no world leader in local newspapers, it’s a damn site better than comparatives such as The Echo in Liverpool, which is like the Sun but without the boobs.
I think the mail comparison is a little harsh!
Comment by John on March 14, 2010 at 1:35 pm
The comments are closed.
