NFRN National President Kieran McDonnell said: “This means retailers will now receive just 0.066p of what should have been a 1.21p share of the 5p cover price increase.
What is particular cynical about the move is that The Mail has written to retailers portraying this change as an “increase”, but because of the margin cut it has not pointed out that retailers will be losing 0.055p on every copy they sell.
It is a huge blow for our members that The Mail has chosen to disregard the fact that newsagents need pro rata terms increases to meet increasing overheads and to remain viable as newspaper retailers.
With fixed cover prices, margins determined by publishers, no choice of wholesaler and with ever increasing carriage charges, how are retailers expected to survive in business, especially if their terms are eroded?
Mail Newspapers justifies its cover price rise by claiming rising print costs, fuel increases and a cost of living increase of 15 per cent but our costs are rising too. In addition, Smiths News has just announced an increase in carriage charges from August 7.
We are calling on The Mail board to think again, but in the meantime we will be doing all we can to inform members about this latest attack on their livelihoods and we will also be advising them of the relevant profit margins provided by other titles.”
