A decision on whether the Office of Fair Trading will hold a review into the news industry is expected ‘imminently’.

The National Federation of Retail Newsagents submitted what it called an ‘overwhelming’ case for a review by the OFT after it found that cover prices put people off buying newspapers.

The federation employed Him Research and Consulting to survey 1,400 UK consumers about newspapers and magazines.

It found that of those asked 76pc of newspaper readers and 68pc of magazine readers think that the cover price is a fixed price that they must pay rather than a recommended retail price.

It also found that ’43pc of newspaper readers believe that newspapers are generally more expensive than a year ago and a worrying 59pc have considered not purchasing due to price’.

A spokesperson said the federation is now waiting for a decision from the OFT but said it expected to know fairly imminently whether the review would be given the go-ahead.

Chief Executive Paul Baxter said:  “Having been granted an extension by the OFT in order to gather more information, we believe we have used the additional time fruitfully.

“The evidence gleaned in the HIM market research is undeniable and, in our view, provides an overwhelming rationale why the OFT should prioritise a further short review of the news industry, which we expect would lead to a referral to the Competition Commission for a full market investigation.”

The survey also found that 70pc of the UK sample population buy a newspaper at least once a week and almost 60pc of newspaper purchasers say they are reading fewer ‘paid for’ newspapers than a year ago.

Without a cover price 18pc of consumers think there would be more retailer promotions and 27pc think there would be more competition between newspapers and magazines.

Combined with other data compiled by the NFRN, the figures are being used in support of the federation’s supplementary submission to the OFT  in which it calls for another short review of the Newspaper and Magazine Industry.