The UK’s culture secretary Lisa Nandy today announced the launch of a new government strategy to protect the future of local news, which will include a £12 million fund to fuel local media’s digital innovation, and government commitments to invest ad spend in regional media.
In a statement set to be delivered at the Society of Editors Future of News Conference later today, Nandy described local media as “essential to a cohesive country,” rather than “a nice to have”. But funding pressure is putting these sorts of media companies at risk, and in some cases leading to closures. The government says that up to 37 local authority districts now have no print, online, TV or radio outlet specifically dedicated to that area, placing 4.4 million citizens in local ‘news deserts’.
The government’s initiative aims to fix this. “The strategy we publish today is the start – not the end point – and we recognise there is more to do,” said Nandy. “But it is the start of a new approach to local media, which nurtures it and places it directly at the heart of our government’s support for our country. Because the future of news is local.”
The £12 million fund will be distributed to local media outlets across print, online, radio, and TV, via a centrally managed competitive bidding process. The government suggested that this money could help recipients invest in new tools and software, including ad tech products, apps, and better website infrastructure, which could help them tap into new audiences and revenue streams. Part of the fund will be given to third-party businesses which are developing tools and initiatives that the whole industry could benefit from.
The government says it will also “endeavour to make best use of local media outlets in government advertising campaigns, while championing their value as an advertising channel”. While it hasn’t committed to a specific figure or percentage of ad spend, it says it will pilot campaigns in hyperlocal news titles, and that wherever local outlets are identified as a good fit for a campaign, the government will invest in local media.
Other elements of the strategy include increased investment in community radio, the establishment of a ‘Regional Media Forum’ in the West of England designed to improve the relationship between local journalists and local public services, and a review of the statutory requirements on local councils to publish certain decisions in local print newspapers (with a view to greater digitalisation).
Local harms from national issues
Owen Meredith, chief executive of the News Media Association, said the new measures are “very welcome”, adding that “ensuring publishers are properly rewarded for their investment in local journalism is vital, rather than the lion’s share of the value being siphoned off by big tech”. Dawn Alford, chief executive of the Society of Editors, similarly welcomed the news, while adding that there are already examples which demonstrate that local media outlets can thrive if they make the right investments.
“Publishers and editors have been adapting to a rapidly changing media landscape for years, successfully reaching significantly larger audiences through digital platforms while continuing to inform the public, reflect local voices and hold decision-makers to account,” she said. “In fact, some publishers are now reaching 80 percent of the local population their titles serve – more than ever before.”
That said, the challenges facing local news businesses are undoubtedly severe. As referenced by the NMA’s Owen Meredith, they face the same pressures as national newspapers when it comes to competing with the tech giants for ad revenues, but often with fewer resources of their own to fight back with. There have also been reports that local news outlets are being particularly affected by the introduction of AI overviews into Google search results, with the AI summaries in some cases appearing to favour large national newspapers for local stories, even when those national newspapers’ articles are based on original reporting from a local outlet.
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