Local newspapers should get tax breaks and charitable status in a bid to save local news provision from the threat of the digital revolution, says a new report.

The Oxford-based Reuters Institute for the Study of Journalism has been carrying out a major investigation into the future of the profession and the threat to what it calls the “civic role” of the news media.

Its report, to be published tomorrow, paints a bleak picture of the industry’s future in a “search-powered” era in which consumers are “increasingly unwilling to pay for news.”

It proposes a series of “life support” measures designed to preserve local news provision, including tax incentives to encourage investment in original reporting, and widening the scope of charitable funding.

The report, entitled ‘What is Happening To Our News?’ also calls for the introduction of a “digital kitemark” designed to enable consumers to distinguish between “professional” journalism sources and bloggers and aggregators.

It says the “reasoned voices of editorially-disciplined argument and professional reporting” risk being drowned out by the “polyphony of self-appointed reporters and commentators.”

Tim Gardam, chair of the Reuters Institute, said: “There are two points at issue: what is the future business model for commercial news gathering, and what is the future for professional journalism when the price of information has in many places dropped to zero?

“No commercial news organisation can afford to ignore the online market, but equally it is unclear how any will be able to profit from it.

“The basis of journalism as a transaction, where in the past the many have paid to gain access to the writings of the few, has changed fundamentally.

“Yet it remains hard to imagine a civil society that functions effectively, or a citizenry that can hold its government democratically to account, without a confident, independent and viable media.”

The report argues that the quality of journalism, as well as its commercial viability, is also under threat.

“To position themselves for the digital revolution, publishers are building integrated newsrooms, where staff are under immense pressure to process the news into print, online text and real-time video as quickly as possible,” it says.

“This process of industry convergence is driven by the remorseless pursuit of productivity and cost-efficiency.

“Under pressure to exploit content across multiple platforms, many publishers are morphing into a form that favours the processing rather than the generation of content,” it says.

The report draws on interviews conducted with over 70 key players at the front line of the UK news media – including editors, journalists, academics, parliamentarians, campaigners and regulators.

It will be launched at a special panel session with the report’s authors and other media academics at the Oxford Media Convention taking place tomorrow.

Comments

Alan Salter (21/01/2009 09:58:26)
At last! Someone has recognised the dangers of using bricks from the foundations to build the extra storeys!

James Blackman (21/01/2009 10:12:52)
I think tax breaks are a good idea, actually.
But how they would decide who gets the slack I don’t know.
Still, one of the better ideas I’ve heard.
I am sure I am wrong though.

Realist (21/01/2009 17:51:19)
What a ridiculous suggestion. Just like the banks regional press has enjoyed decades of profit margins that most businesses would die for and paying its senior managers salaries and bonuses that most people can only dream of. Also just like the bank managers regional press owners and managers totally failed to recognise or plan strategically for the inevitable decline in printed products. UK plc is on the brink of bankruptcy and some bright spark academic think tank suggests rewarding negligent management and supporting a dying industry with tax payers money!