By Tony O’Reilly-
Publishers for two of the UK’s biggest newspaper publishers have proposed combining their printing operations amid a climate of declining print sale
In a strategic move to adapt to the changing media landscape and navigate the challenges of declining print circulation, News UK and DMG Media have unveiled a proposal for a joint venture that would merge their print operations.
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The companies – which publish The Sun, The Times and The Daily Mail – would create a new company (NewCo), which would run their combined print operations.
The proposed venture aims to create a new company, referred to as “NewCo,” which would oversee the printing operations currently run by Newsprinters (News UK) and DMG Media at their sites in Thurrock (Essex) and Dinnington (South Yorkshire).
The primary goal of this collaboration is to enhance the efficiency of print operations and establish a sustainable business model for the future of national newspaper printing in the United Kingdom.
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The proposal comes in response to a stark decline in national print newspaper circulation, which has plummeted by more than 60% over the past decade.
This decline, exacerbated by economic challenges, rising inflationary costs, and the ongoing effects of the Covid-19 pandemic, has put significant pressure on the media industry.
If the proposal is approved and the NewCo established, it is expected to print an average of over three million newspapers each night, amounting to nearly 22 million newspapers per week. The NewCo would operate independently, with its own senior leadership team drawn from Newsprinters and DMG Media.
It’s important to note that this collaboration is specific to printing operations and does not signify closer cooperation between News UK and DMG Media in terms of media, editorial, or commercial activities.
Under the proposed arrangement, Newsprinters’ existing sites in Broxbourne (Hertfordshire), Knowsley (Merseyside), and Eurocentral (Glasgow) would be retained, while DMG Media’s sites in Thurrock and Dinnington could potentially face closure. However, DMG Media would maintain ownership of the Carn print site in Northern Ireland, which would remain unaffected.
News UK and DMG Media are actively engaging with regulatory authorities, including the Competition and Markets Authority, as part of the approval process. Until these regulatory procedures are finalized, DMG Media’s printing business and Newsprinters UK will continue to operate independently.
Managing Director of Newsprinters UK, Darren Barker, emphasized the importance of this joint venture, stating, “I believe this joint venture is a genuinely exciting solution which sets out a long-term sustainable future for the newspaper printing industry, clients, and the national daily newspaper ecosystem in the UK.”
Julia Palmer-Poucher, DMG Media Group Production Director, added, “The decade-long decline in print circulation has not been matched with changes to print capacity, and we must find ways to keep physical newspapers, which have an important future, commercially viable. This proposed combination would provide a long-term solution for the Mail print titles and a sustainable future for the newspaper printing industry.”
The proposal signifies a significant development in the media landscape and raises questions about the evolving role of print media in the digital age. It also highlights the ongoing challenges faced by traditional newspaper publishers as they seek to adapt and ensure the survival of print journalism.
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