Select Committee on Communications Minutes of Evidence


Examination of Witnesses (Questions 2640 - 2659)

TUESDAY 20 MAY 2008

Ms Sly Bailey and Mr Paul Vickers

  Q2640  Chairman: However, you would also look for someone with a particular political stance?

  Ms Bailey: It is not a personal political stance; it is an understanding of the paper, its voice and its readers. So, again, that is not something that we would get into from a personal discussion perspective. Obviously, through the process, it is very clear for me to be to evaluate and understand whether or not they have that understanding or whether or not they have that vision and they can take the paper and develop it as the readership changes and as the media is changing very fast around us.

  Q2641  Lord Inglewood: If we can go back for a moment to the earlier evidence, Mr Sinclair said, in response to a question from Lord Corbett, that the readership of The Daily Mail and the readership of The Daily Mirror seem to be quite similar in some respects. If the editor of The Daily Mirror suddenly decided that he would make a lot more money for your business by shifting the emphasis so that it then aspires the enthusiasm (shall I put it that way) of The Daily Mail, is that something which you and the board would think: "Well, we are going to make more money, it's a good thing to do"?

  Ms Bailey: Newspapers are very broad churches and I think you can analyse the statistics, you can analyse the numbers (and you heard Richard Wallace talk about this as editor of The Daily Mirror when he came and gave his evidence), but something that we feel very strongly is that our readers increasingly are interested in issues, and are interested in the issues that affect their lives and their communities. Whether that is crime at the school gates, whether it is drugs, whether it is obesity, whether it is the fact that mother cannot get her operation—all of these are deeply political issues but they are covered in a way that are issues about the community as opposed to, necessarily, political policies increasingly. That is why I think that you should not be surprised, therefore, that the readership tells you something that you might not have envisaged. Do we have any Daily Mirror readers around the table? Correct.

  Q2642  Lord Maxton: The Daily Record.

  Ms Bailey: Okay, great, thank you. We could be readers of the same newspaper but come into that newspaper every day for very different reasons: I could love the sport, you could love the showbiz, you could love a particular columnist, and therefore we are coming in for different reasons. Therefore newspapers are, as you know, a very broad church.

  Chairman: Lord Corbett—one of your readers.

  Q2643  Lord Corbett of Castle Vale: I should also confess I used to work for The Daily Mirror one hundred years ago! Currently, my daughter is one of your columnists on a Thursday. However, I wanted to get into this area about your relationship with editors. Let us take Richard Wallace, for example. The Mirror, in my view, wholly commendably, has been running a campaign called Can it! to try to counter binge-drinking, and a few pages on it is offering packs of lager if you present a coupon somewhere. Did you discuss this with Mr Wallace at all?

  Ms Bailey: No.

  Q2644  Lord Corbett of Castle Vale: It jarred on me. Am I being sort of old-fashioned and puritanical, being a dedicated Mirror reader?

  Ms Bailey: You are certainly entitled to your view, Lord Corbett, but no, to the question: Did I discuss that with Richard?—no, I did not.

  Q2645  Lord Corbett of Castle Vale: Just in a broader way, then, if you thought there was a campaign either being planned or running that was not quite right, would you feel a responsibility there? You have said your job is not to hang about with politicians but to help the share price. If you felt that was going to hit circulation and, therefore, the share price, would you say something?

  Ms Bailey: We have a very close relationship in that we talk all the time about the paper directionally.

  Q2646  Lord Corbett of Castle Vale: So you could make that kind of comment?

  Ms Bailey: I could make any comment that I wanted to. Again, it is really down to the editors in terms of the content in their newspaper, and I have never attempted, pre-publication, to influence or to stop any piece or any kind of campaign.

  Lord Corbett of Castle Vale: Thank you.

  Q2647  Lord Maxton: Can I just ask you, briefly, to say something about the Scottish market? You are in a slightly different position, vis-a"-vis The Daily Mirror/The Daily Record, to any other newspaper, because The Daily Record, I think, is still just about the biggest single tabloid seller in Scotland, and The Daily Mirror figures, I assume, are very low. You do not produce a Scottish edition. The Sun produces a Scottish edition, and so do the heavies as well—they produce Scottish editions. You do not do that.

  Ms Bailey: We do, actually.

  Q2648  Lord Maxton: You did say something about the appointment of the editors of The Record you did in consultation with the managing director of—

  Ms Bailey: Of the Scottish business.

  Q2649  Lord Maxton: There is a separate Scottish business, is there?

  Ms Bailey: Yes. All of our businesses have a managing director, who report to me. If you think about running and managing a business of this size and the number of people—11,000 people and a vast array of brands across print and digital—like most companies we would think about the best way organisationally to divide that and structure it. We have a managing director that runs each of those businesses. So, yes, we have a managing director in Scotland.

  Q2650  Lord Maxton: In terms of The Mirror in Scotland, do you ever run a separate Scottish edition?

  Ms Bailey: We do.

  Q2651  Lord Maxton: Do you sell advertising for The Mirror as well as separately for The Record?

  Ms Bailey: Yes.

  Q2652  Lord Maxton: Do you find that difficult?

  Ms Bailey: We are in a difficult business. I could talk for hours about all the difficulties in our business. The Daily Record has been "Scottish newspaper of the year" for the last two years, but we have been up against a relentless campaign by The Sun to take circulation by cutting price, and we have been up against, originally, a 10p Sun. As a result of that price, they have overtaken The Record. We took a decision, which was one which was discussed with the managing director, with the editor and, essentially, us as a team, in terms of what was right for The Record and what was right for the company, and we have chosen not to cut the price of The Daily Record. We think it is the wrong thing to do. The reason The Sun had done that is to try and take our advertising share, which they are being very unsuccessful in doing, but that has been a key dynamic of the Scottish market for the last couple of years.

  Q2653  Chairman: Just going back to the view on the possible intervention of the board, Piers Morgan used to be your editor. He was dismissed. Do you want to take us into that? How did that come about? What was the process?

  Ms Bailey: In the same way that appointments would be approved by the board, then so would dismissals. So I recommended to the board that Piers, unfortunately, should be dismissed, with which they agreed, and he was.

  Q2654  Chairman: And he was dismissed on grounds of?

  Ms Bailey: He was dismissed on grounds of publishing photographs which were not what they purported to be. I do not think for one moment he set out to publish fake photographs. It was a very unfortunate incident and we dealt with it as a company in the way that we felt was appropriate, and that was the dismissal of the editor.

  Q2655  Chairman: You felt that someone should take responsibility, basically, for that. Was he culpable in not making the checks on the photographs?

  Ms Bailey: It was his decision to publish those photographs.

  Q2656  Chairman: Therefore he had to pay the price for that.

  Ms Bailey: Yes.

  Q2657  Baroness Bonham-Carter of Yarnbury: You have said often, Ms Bailey, today how close you are to your editors, and that they talk to you frequently, but that the content is down to them. Of course, content is also down to the number and types of journalists you have. I think Richard Wallace did say to us that increasingly comment was filling newspapers, and there is possibly less investigative journalism, and so on. Is that partly down to reduced journalistic budgets for titles, and do you have involvement in those journalistic budgets and where the money goes?

  Ms Bailey: I am responsible for taking the overall budget of the company to the board in any given financial year, and we go through the normal budgeting process, which is both top-down in our aspirations for the Group and what we are trying to achieve, but it is also driven bottom-up in terms of the resources, the areas for development, the new product development—digital, or whatever it might be—from the businesses in terms of the resources that they need to do the job. Like any company, that is an iterative process until we get to where we think we should be. As far as journalistic budgets themselves are concerned, no, I would not tell Richard how many sports journalists he needed to have, or how many showbiz reporters he needed to have. If he is making changes to the balance of those, as indeed he does, then that is his decision. We would certainly talk about if we felt that the environment around us was changing and that we needed to serve a market better, with better quality. If we felt that we were being out-published by somebody else because we were not devoting enough resources, then that is something that he would talk to me about, but it is very much his decision. In the same way, I would not tell the managing director of The Liverpool Echo how many sales people they needed on the ground to sell classified recruitment advertising. A big part of my job is finding and hiring the right people and then making sure we have the frameworks in which any good executive needs to operate so they can go away and do their job.

  Q2658  Baroness Bonham-Carter of Yarnbury: Would you be concerned, in principle, if you felt that The Mirror was becoming a "viewspaper" more than a newspaper—the trend towards comment and, maybe, away from original news-gathering?

  Ms Bailey: That is probably less prevalent in the tabloid market, actually. If you look at The Mirror—and it is a fantastic newspaper—you will see that the balance in terms of the editor is very much getting that right.

  Q2659  Baroness Bonham-Carter of Yarnbury: You are happy that there are enough resources for correspondents on investigative work?

  Ms Bailey: Yes. Certainly my editors are not backward in coming forward if they feel that they need more resources. We have a great reputation for, particularly, bringing on young journalists, and for training and developing.

  Lord Corbett of Castle Vale: Indeed!

  Baroness Bonham-Carter of Yarnbury: It sounds like she writes a column.


 
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