UK

Financial Times considers scrapping print newspaper as weekday newsstand sales drop below 5,000

James Warrington
Tue, 26 September 2023 

Financial Times

The Financial Times is considering scrapping its print newspaper in some countries around the globe as its traditional readership continues to decline.

The City broadsheet said it was considering whether to maintain its print edition in various locations amid a “volatile and fragile” market.

The company, which shuttered its own UK printworks last year, said a comprehensive review had been carried out in 2022, taking into account factors such as reduction in circulation and the impact on subscribers and advertising.

Bosses said the paper had a new five-year strategic plan in place, but print site contracts will be renewed on an annual basis.

The review comes amid a continued decline in print circulation as increasing numbers of readers move online.

The FT saw its UK print readership fall 16pc last year to 135,000 while newsstand sales stood at fewer than 5,000 on weekdays last month, according to figures from the Audit Bureau of Circulations (ABC).

However, digital subscriptions jumped 13pc to top 1m for the first time, driven by strong growth in corporate subscriptions. Digital content revenues rose by £26m to £193m.

The newspaper said: “Paid-for subscriber levels continue to ensure the FT.com platform is a robust business model, while advertising revenues remain strong.”

The FT, which is owned by Japanese media giant Nikkei and employs 2,700 people worldwide, books most of its costs in the UK but generates a large proportion of its revenue overseas.

The Financial Times has strengthened its internationalist outlook under editor Roula Khalaf - Charlie Bibby

Under editor Roula Khalaf, the paper has cemented its reputation as a publication with a globalist outlook, and has attracted criticism from some in the City for its anti-Brexit stance.

Overall, the FT Group grew revenues 5pc last year to £458m, while operating profits fell 7pc to £29m.

The newspaper, often known as the “pink ‘un”, blamed this on a one-off cost of living bonus of £1,800 paid out to all staff last year. In the UK, total staff costs rose by £19m to £151m as the company increased staff numbers by more than 100.

Like many rival media organisations, the FT has looked to new sources of revenue to help mitigate the decline in readers and a tough advertising market.

The paper has invested heavily in podcasts such as its daily News Briefing and recently-launched investigative series Hot Money.

The FT also saw a 30pc rise in revenues from its live division last year, boosted by events such as the Business of Football Summit and the FT Weekend Festival.

Pre-tax profits in the newspaper’s home market rose to £6.8m, up from a loss of £3.2m the previous year.