News UK - Neighbourhood Retailer https://neighbourhoodretailer.com The authoritative voice of the grocery industry in Northern Ireland Mon, 21 Jul 2025 11:04:14 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.5 https://neighbourhoodretailer.com/wp-content/uploads/2020/05/cropped-NR-SIte-Icon-2-32x32.png News UK - Neighbourhood Retailer https://neighbourhoodretailer.com 32 32 178129390 Pro rata terms set out to News UK amid protests against retail margins cut https://neighbourhoodretailer.com/pro-rata-terms-set-out-to-news-uk-amid-protests-against-retail-margins-cut/ Mon, 21 Jul 2025 11:04:14 +0000 https://neighbourhoodretailer.com/?p=36302 Talks have taken place between the Fed and News UK executives following protests by Fed members outside the company’s offices. Dozens of Fed members gathered

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Talks have taken place between the Fed and News UK executives following protests by Fed members outside the company’s offices.

Dozens of Fed members gathered outside the newspaper publisher’s London and Glasgow offices as well as its print site in Merseyside in early July in protest about News UK’s plans to cut the retail margin on both The Times and the Sun at the same time as cover prices rise.

From Monday 14th July, the price of UK weekday editions of the Times will increase to £3.20. However, the new retail margin paid for each copy sold will not take effect until January 2026 and, even then, will drop 1%.

At the same time, all editions of the Sun will rise in price, with Monday to Friday editions increasing to £1.20. The Saturday edition will rise to £1.60 and the Sunday edition to 1.90. The margin on all editions will drop 1% to 20%.

Ahead of the protests, the Fed’s National President, Hetal Patel said: “Independent retailers are operating under intense financial pressures. When cover prices rise, pro-rata terms are a necessity for retailers to simply stand still.

“Reducing terms accelerates the decline in availability of newspapers to consumers and threatens the viability of the home delivered copy, which is a lifeline for the old, infirm and those without transport.

“Publishers have to take responsibility for the future of the news industry. That’s why we want News UK to reverse its decision and for the Fed to be involved in future discussions before any price changes go ahead.”

Hetal Patel, as well as national vice president Hemanshu Patel and director of news and operations, Brian Murphy were subsequently invited to meet with News UK’s director of retail and wholesale, Tracy Hart. During the 45-minute meeting, the Fed explained the impact that the move would have on members’ viability and the knock-on effect on local communities.

Speaking after the meeting, Hetal Patel said they had appealed to News UK to think again and reverse its decision to cut the percentage retail margin.

“We explained that members are being squeezed so much, that if publishers are not careful, there will be no retail estate left to sell its products,” he said.

“Pro rata terms are necessary if Fed members are to cover increasing overheads. Only by doing this can publishers ensure that independent retailers remain viable as news retailers.

“Ms Hart listened to our concerns and said she would raise them internally with News UK executive officers, ahead of a follow-up meeting.”

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The Fed criticises publishers as having ‘no Christmas spirit’ with cover price increases https://neighbourhoodretailer.com/the-fed-criticises-publishers-as-having-no-christmas-spirit-with-cover-price-increases/ Mon, 11 Dec 2023 11:11:12 +0000 https://neighbourhoodretailer.com/?p=30315 The Federation of Independent Retailers (the Fed) has accused newspaper publisher Reach PLC of acting like Scrooge, after it announced imminent increases to the cover

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The Federation of Independent Retailers (the Fed) has accused newspaper publisher Reach PLC of acting like Scrooge, after it announced imminent increases to the cover prices of its national titles.

From 1st January, editions of the Daily and Sunday Mirror, as well as the Daily Record and Sunday Mail, will all go up in price by 10p per copy. The cover price of the Daily and Sunday Express will increase by 10p, with Saturday editions going up by 15p.

The Daily Star price will also increase by 5p on midweek editions and by 10p on Saturday and Sunday, with the Sunday People also costing an extra 10p.

However, the price increases will not include pro rata profit margins for retailers – a move that has angered Fed members within the news trade.

The Fed’s National President Muntazir Dipoti said: “We are very disappointed with the latest announcement from Reach. In their trade letter they closed off by thanking retailers for their ‘much valued support’ – we would have preferred a pro rata terms adjustment as a more acceptable thank you.”

He added: “Whilst we appreciate that trading conditions are tough for everyone, our members are the last link in the supply chain and the most vital. Without us, there are no sales.

“We are seeking an immediate meeting with senior Reach management to make our feelings known and to recoup the lost margins this latest move has created.”

Meanwhile, news retailers will finally see a return to their original profit margins on copies of daily and weekend editions of The Times.

Publisher News UK increased its cover prices on The Times in June, but reduced retailers’ profit margins and deferred a return to the original margins for six months, using subscription dates as the reason why.

The Fed’s head of news Brian Murphy said: “It was grossly unfair to delay paying retailers their fair dues, particularly on countertop sales where there was no justification for delaying the increase.”

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Independent retailers’ anger over deferred Times profit margins https://neighbourhoodretailer.com/independent-retailers-anger-over-deferred-times-profit-margins/ Tue, 06 Jun 2023 15:40:20 +0000 https://neighbourhoodretailer.com/?p=27529 The decision by News UK to reduce newsagents’ profit margins for six months has been criticised by The Federation of Independent Retailers (The Fed). The

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The decision by News UK to reduce newsagents’ profit margins for six months has been criticised by The Federation of Independent Retailers (The Fed).

The move is part of increases to the cover prices of The Times and The Sunday Times.

From Saturday 10th June weekday copies of the Times will increase in price from £2.50 to £2.80.

The Saturday edition will go up in price from £3 to £3.50, while the Sunday Times will rise from £3.50 to £4.

However, the current retail margin paid for each copy sold, either through subscriptions or over the counter, will be reduced and will not return to percentages equivalent to current levels until 9th December.

The Fed’s National President Jason Birks said: “It is very disappointing that News UK has chosen to penalise its most loyal trading partners by cutting percentage margins and deferring a return to current levels for six months.

“It is totally wrong to delay paying retailers their fair dues, particularly on countertop sales where there is no justification for delaying the increase.

“Once again, news retailers are losing out while helping to swell the coffers of the publishers.”

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