News UK has announced it will increase its daily delivery charge (DDC) in London by 2.95% next year.
The raise will go into effect on 31 December 2018, bringing the total DDC to £2.16 – a 6p increase.
In a letter to retailers, the company said: “We have worked hard to continually manage our costs and operational efficiencies and as a result of this we have been able to keep this necessary annual increase to a minimum.”
The NFRN has condemned the decision. Head of news Brian Murphy said: “Too often we hear of the need to work together, drive out costs and improve the efficiency of the supply chain. We have welcomed joint publisher initiatives like DeliveryMyNewspaper and understand the requirement of consolidation of print, yet retailers within the M25 continue to have no option but to have two suppliers when one would do.”
National vice-president Stuart Reddish added: “Clearly this isn’t good for the industry and we will be debating this further at our National Council this and planning to meet with News UK at the earliest opportunity – we know retailers will now be thinking twice about having an account.”
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