Johnston Press

Lord Blunkett Excerpts

Monday 19th November 2018 Lords Chamber

[Viscount Younger of Leckie]

I thank my noble and learned friend, who makes some good points. First, as I said, the move to online is happening, it is inevitable and it is fair to say that a lot of young people only go online. But it is also important that the transfer for local newspapers from paper form to online is effected in a measured way that does not lead to the sudden putative loss of jobs that might have happened if JPI had not stepped in for Johnston Press. I also take note of his point that it is very important that any government money should be put into a long-term future. We await the results of the Cairncross review, which will be looking at all aspects of this, including the online focus.

[Lord Blunkett (Lab)]

My Lords, would the Minister acknowledge that the £220 million debt run up by Johnston Press over a number of years was a scandalous mismanagement, which led to its mortgaging the operations, including the work of local journalists, for reasons other than for delivering what we want—and what I am sure the Government would want—in terms of the revitalising of local democracy that we will be talking about? Is it not true that, in picking up the pension entitlement, the Pension Protection Fund will have to use public money once again to bail out what was a scandalous misuse of the resources of Johnston Press over the years?

[Viscount Younger of Leckie]

I am not prepared to comment or respond to the comment made about the debt. The fact is that the debt is there, Johnston Press had it and JPI is taking it on and is looking ahead. On the PPF, again I think that it is right that the Government do not comment until we hear back from the PPF, which will in due course take a view on the pension situation at Johnston Press.