A coalition of publishers, retailers and wholesalers has warned the OFT that opening up distribution to competition (see Analysis, p24) could result in up to 1,000 titles and 12,000 independent retailers closing.
The Mayor's office has contacted Lord Heseltine, chairman of PrintWeek's publisher Haymarket, who is heavily involved in the debate an who chaired cross-industry talks with the OFT on 25 August. At that meeting, the OFT showed no signs of changing its opinion, which was first published in May and is expected to be formalised any day now.
Livingstone is said to be concerned about how the OFT's anticipated ruling might affect retailers and magazines in the capital, particularly those serving ethnic minorities. The magazine sector, which is supported by the newspapers sector and consumer rights magazine Which?, claims the new ruling will play into the hands of large retailers who are interested only in stocking mainstream titles.
Toby Hicks, a spokesman for the Periodical Publishers Association (PPA), said that while it was encouraged that the industry was putting up a "united front", there was no indication the OFT would change its mind.
Hicks said the estimate that 1,000 magazines may be wiped out was "conservative" and the knock-on effect for some printers could be disastrous.
It was unlikely, he added, that publishers could swiftly switch readers of niche titles to a subscription model to compensate for loss of newsstand sales.
In spite of discouraging noises from the OFT, the magazine sector plans to draft its own code of conduct on distribution.
Story by Lauretta Roberts
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