The battle over the future of local newspapers has print barons crying foul over competition from councils. But Chris Smith discovers local government is not going to back down Media moguls have long cherished their access to ministers, but until now, their interest in local government has been confined to its use as a source for stories, rather than as a rival. Yet culture secretary, Andy Burnham, has been dragged into a row which pits local government against an industry in crisis – and both sides are lobbying hard. At the centre of it all are the newspapers sent out to residents by councils to update them on what they are doing in their communities, and key advice such as how to contact officers. The newspaper industry has claimed that the increasing number of publications, and their decision to take paid-for advertising, is unfair competition, as well as a threat to democracy. On the opposing side, councils say they rarely get a fair hearing from newspapers, and most of their journals are not published weekly, so they could not count as competition. The Local Government Association is currently conducting research into just how many councils have publications, and how often they publish, as part of the argument. Insiders say they are confident of proving a ‘clear-cut case'. The culture secretary is set to hold a summit within weeks in Westminster with councils, newspaper group owners and other interest groups to hear the arguments. Officials at the Office of Fair Trading have already been pulled into the row with a consultation into the issues raised. Their findings will help inform the decisions by Mr Burnham. The issue is complicated by the fact that newspaper owners are asking for a relaxation of the rules on media ownership to enable buy-outs or mergers. Until now, regulators had not been keen to see large monopolies develop by the big four regional media groups. A local government lobbyist, who is arguing local government's case in Westminster, claimed the owners, who have also seen revenue squeezed by the rise of the Internet, are using the council newspapers as a smokescreen. What is also telling is that the Government's verdict will be delivered as part of the Digital Britain policy initiative, which is also driving the roll-out of high-speed broadband across the UK. Bob Satchwell, executive director of the Society of Editors, warned newspapers – which have already been hit by the advertising downturn – would be driven out of business. He argued that this, in turn, would reduce accountability. He said: ‘Council newspapers, by definition, cannot be independent. ‘They are intervening in a delicate marketplace which could put local newspapers at risk. We have to work in the commercial world – and local government doesn't.' Claims that councils are set to start loss-making enterprises or vanity projects are dismissed by the authorities which are stepping up their media operations. The first edition of Barking and Dagenham LBC's newspaper The News will be hitting the streets in May, and published every two weeks. The council, which is recruiting a team of journalists, has pledged it will keep residents up-to-date on current events. It will merge three existing council publications, Citizen, Spotlight and Neighbourhood Matters, and include content from community groups. Chief executive, Rob Whiteman, said: ‘This new initiative will save more than £75,000 a year through savings in advertising expenditure and streamlining our publications. ‘The newspaper will be cost effective, efficiently run, and have a larger reach than any previous council publication. He also claimed local people wanted to read more of the good news. ‘We have talked to residents in recent months, and they told us they wanted one community-based publication which reflected pride in the borough, and provided honest, factual and useful information.' Tony O'Regan, managing director of Verve Communications and founder of one of the first council newspapers, Tower Hamlets' East End Life, went further. He said: ‘Many newspapers see their local councils as too easy a target for bad news.' Ultimately, the UK local media will have a mix of community digital TV and radio stations, Internet sites and local newspapers, all competing with the traditional print media. Council publications will be a part of that mix – together with websites which will increasingly carry content driven by the communities they serve. But council leaders also pledged to do what they could to support the local and regional press. The LGA's head of communications, Edward Welsh, told The MJ: ‘We want a more vibrant newspaper sector, not less. It is nonsense to suggest council publications are the cause of troubles facing local newspapers.'
