| answer text |
<p>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.</p><p>However, as the independent Cairncross Review into
the future of journalism identified, society is increasingly moving online and local
news publishers are facing significant challenges in transitioning to sustainable
digital business models.</p><p>The Government supported the majority of Cairncross
recommendations and has taken them forward through a range of fiscal and regulatory
interventions. This has included the delivery of the £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 Government was also pleased to see the BBC conduct a thorough review
of the Local Democracy Reporting Service in 2020, as recommended by the Cairncross
Review. As set out in our response to the Review, we would support any efforts by
the BBC to grow the scheme.</p><p>Most importantly, we are introducing a new, pro-competition
regime for digital markets. The regime, which aims to address the far-reaching power
of the biggest tech firms, will help rebalance the relationship between publishers
and the online platforms on which they increasingly rely. This will make an important
contribution to the sustainability of the press.</p><p>I am pleased that the DCMS
Select Committee has also looked into this issue in detail. We will continue to consider
all possible options in the interests of promoting and sustaining the sector, including
carefully reviewing the recommendations made in their report.</p>
|
|
