"Tough trading conditions" remain headline news for Northcliffe Newspapers in the latest trading update from owners Daily Mail and General Trust.

It reports advertising revenues for the 11 months to August down eight per cent, with only property advertising seeing a boost.

But the ongoing Aim Higher cost-reduction programme cut operating costs for the same period by seven per cent, with annual savings from the initiative currently running at around £33m.

Northcliffe remains on target to achieve its announced £45m annual savings by the end of September next year, the company saying: "The regional newspaper restructuring continues to progress well."

The DMGT group as a whole is on course to generate approximately half of its profits from its non-newspaper operations, including its digital activities, this year.

The full year results, due later this year, will show “exceptional gains” of around £180m from the sale of businesses, including Aberdeen Journals and Study Group. It will also report other income of around £20m, mainly from the sale of shares in Reuters for £27m.

There will be a reported cost of £40m as exceptional operating costs, to cover for the second phase of Northcliffe's reorganisation programme.