Welsh Government bypassed as Westminster sets up new media fund for England and Wales

Martin Shipton

The Welsh Government has expressed disappointment at Westminster’s decision to set up an England and Wales fund to pay grants to news outlets without consultation.

The UK Government’s Department of Culture, Media and Sport (DCMS) has set up a Local News Fund Steering Board to advise the DCMS on which organisations should benefit from grants of up to £125,000 – but all eight of the Board members work for organisations based in England and industry bodies in Wales have not been consulted.

Secretary of State for Wales Jo Stevens issued a statement that said: “Local news has the ability to connect communities, providing trusted reporting and valuable local insight to people wherever they live in Wales.

“Over recent years local journalism has been under significant pressure. That’s why the UK Government is launching the Local News Fund which will give outlets across Wales access to grants to help them reach bigger audiences and tell the stories that matter most to our communities.”

Ms Stevens’ team sent out a press release from the DCMS, which said: “Local news outlets can now bid for a share of up to £12m in government funding over the next two years, which will ensure communities can continue to benefit from trusted, high-quality local journalism.

“Part of Amplify: The Local Media Action Plan, the Fund will provide £6m in 2026/27 and up to a further £6m in 2027/28, which will help ensure the long-term provision of high-quality local news by enabling organisations to continue innovating towards a digital and sustainable future.

“The Plan demonstrates the [UK] government’s commitment to the future of local journalism, ensuring it can continue to enrich our national conversation, strengthen communities and social cohesion, rebuild social trust, and support local growth.

“The majority of the 2026/27 Fund will be awarded to local news outlets in print, online, or independent local TV and radio stations, through a competitive bidding process, with £125,000 the maximum available to a single organisation. The funding can be used to invest in the tools and services – such as apps or innovative use of multimedia channels – needed for sustainable innovation which can help local media tap into new or younger audiences and generate new sources of revenue.

“The remainder of the Fund will be allocated through a separate bidding process which also opens today, reserved for organisations which are developing the infrastructure that can benefit the industry as a whole, with bids allowed up to £275,000.

“Evidence shows that up to 37 local authority districts now have no print, online, TV or radio outlet dedicated specifically to that area – leaving as many as 4.4 million citizens in local ‘news deserts’, which disproportionately occur in the most deprived urban areas.

“That’s why in the second year of the Fund, £1m will be dedicated to tackling these local news deserts in collaboration with key community stakeholders, to revive or establish a local news presence in areas of need. This will help address news inequality, as local news closures disproportionately affect deprived urban districts, while new enterprises are concentrated in more affluent communities.

“Subject to availability, up to a further £5m in 2027/28 will provide continued support for the financial sustainability and innovation of the sector.

“To qualify for local news outlet funding, prospective bidders must be able to demonstrate a track record in the provision of local news to audiences in England or Wales.”

‘Fair and open’

A note appended to the press release states that the UK Government appointed the members of the Local News Fund Steering Board on June 15 following a “fair and open” recruitment process.

It adds: “The purpose of the steering board is to play an advisory role in providing independent expertise and objective advice to the government in the decision-making process for distribution of funding under the Local News Fund.

“This includes a role in setting the bidding and eligibility criteria for the Local News Fund. In convening this board, the government aims to benefit from a wide range of experience of the local media sector and related industries. This will help to ensure value for money in the distribution of funding and that the best bids are selected for Local News Fund grants, for the benefit of local media and the communities that they serve.

“The steering board comprises eight members, including two co-chairs. The DCMS Senior Responsible Owner for the Fund will also attend meetings. The Board may also agree to invite others to attend on an ad hoc basis to provide specialist knowledge if and when required.”

The two co-chairs of the Board are Jeremy Clifford, an executive media consultant with Chrysalis Transformations, formerly with the newspaper groups JPI Media and Archant, and Polly Curtis, CEO at the Demos think tank, with previous experience at the Guardian, Huffpost UK, Tortoise Media and PA Media.

‘Disappointing’

A spokesperson for the Welsh Government said: “While strengthening local news and journalism is a shared priority and we welcome funding that will support that aim, it is disappointing that the UK Government has developed this fund without consultation. It is essential that any UK level strategy fully respects devolved competences.

“We are already working closely with the sector in Wales to support a strong and sustainable media sector. This includes funding to protect high-quality news provision across Wales.”

Mark Mansfield, CEO of Nation.Cymru, said: “The media industry in Wales has worked closely with Creative Wales, the Welsh Government’s cultural branch, for a number of years and the relationship is good.

“It seems very odd that the UK Government has suddenly decided to set up this Fund without any consultation with the Welsh Government or the media industry in Wales.”

The Wales Office, headed by Secretary of State for Wales Jo Stevens, wouldn’t comment, suggesting we contact the DCMS.

We asked the DCMS why the Steering Board of the new body does not have a representative from Wales and why the Welsh Government has been completely bypassed, even though it has been involved in providing grants to media outlets for years and such activity is not a reserved matter under the devolution settlement.

The DCMS has not responded.