On the day the Evening Standard goes free, Independent media columnist Stephen Glover has again turned his thoughts to the future of the capital's other free paper, London Lite.Glover says that the cost of Lite buying some of its editorial copy from the Standard is about £800,000 a year – and that this arrangement could hardly persist if the two giveaways were in direct competition.
But he adds: "that, of course, does not mean that London Lite has to close. It could generate more of its own editorial copy, and continue as a rival to the Standard. But with the advertising market in its present condition it would go on losing money, though not as much as it did before the closure of Rupert Murdoch's freesheet thelondonpaper last month.
"For the Standard's owner, Alexander Lebedev, it is make or break whether or not London Lite shuts. Without any giveaway rivals, his paper might eventually prosper. However, even in a recovered market the Standard would be most unlikely to generate enough advertising revenue – on which, as a free newspaper, it will be wholly dependent – with London Lite still around.
"This means that Mr Lebedev must persuade Jonathan Rothermere, the proprietor of Daily Mail and General Trust (DMGT), which owns London Lite that there is no point in soldiering on with the loss-making freesheet. After all, DMGT retains 24.9 per cent of the Standard, and has an interest in its survival, and possible eventual profitability."
But he adds: "that, of course, does not mean that London Lite has to close. It could generate more of its own editorial copy, and continue as a rival to the Standard. But with the advertising market in its present condition it would go on losing money, though not as much as it did before the closure of Rupert Murdoch's freesheet thelondonpaper last month.
"For the Standard's owner, Alexander Lebedev, it is make or break whether or not London Lite shuts. Without any giveaway rivals, his paper might eventually prosper. However, even in a recovered market the Standard would be most unlikely to generate enough advertising revenue – on which, as a free newspaper, it will be wholly dependent – with London Lite still around.
"This means that Mr Lebedev must persuade Jonathan Rothermere, the proprietor of Daily Mail and General Trust (DMGT), which owns London Lite that there is no point in soldiering on with the loss-making freesheet. After all, DMGT retains 24.9 per cent of the Standard, and has an interest in its survival, and possible eventual profitability."
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