Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Culture, Media and Sport, whether she has had recent discussions with Reach plc on its third round of proposed redundancies.
The Government is committed to supporting local and regional newspapers as vital pillars of communities and local democracy. They play an essential role in holding power to account, keeping the public informed of local issues and providing reliable, high-quality information.
As society is increasingly moving online and local news publishers are facing significant challenges in transitioning to sustainable digital business models, the Government has taken action to support them.
This includes delivery of a £2 million Future News Fund, the zero rating of VAT on e-newspapers; the extension of a 2017 business rates relief on local newspaper office space until 2025; the publication of the Online Media Literacy Strategy; and our work through the Mid-Term Review of the BBC Charter, exploring how the BBC seeks to act as a complement to, rather than a substitute for, local commercial news outlets. The BBC also continues to support the sector directly, through the £8m it spends each year on the Local News Partnership, including the Local Democracy Reporting Scheme, which was expanded in 2020 to fund the placement of 165 journalists in newsrooms across the UK.
We have also introduced legislation to address the far-reaching power of the biggest tech firms, building on the findings of the Competition and Markets Authority’s market study into online platforms and digital advertising. Among many other things, the Digital Markets, Competition and Consumer Bill will help rebalance the relationship between publishers and online platforms on which they rely increasingly.
DCMS Ministers and officials continue to engage regularly with representatives from across the press sector, including Reach plc, on matters relating to the financial sustainability of the press.