Talking Retail Grocery and product news for independent retailers
News UK Direct to Retail (DTR) told its retailers last week that it was increasing delivery charges by 3% next year, with 50% of the increase deferred until 5 July as “a gesture of goodwill”.
In a letter to newsagents, the publisher of the Sun and The Times argued that although it had frozen delivery charges last year during the pandemic it now needed to increase its charges to reflect increased costs.
The NFRN’s national president, Narinder Randhawa, said: “Last year, we were relieved when News UK DTR, along with Smiths News and Menzies Distribution, took the common-sense decision to suspend any carriage charge reviews in the light of the challenging position that independent retailers were facing.
“Nothing has changed. Times are still incredibly tough for independent retailers and service levels are unacceptably low.
“News UK DTR pressing ahead with an increase to its charge will only add to newsagents’ angst.
“The company is also running the risk of causing yet even more news retailers to exit the industry. For swathes of retailers, handling news is becoming increasingly unprofitable.”
Surrey news retailer Bhavesh Patel said that NFRN members served by News UK DTR were “very unhappy”.
He added: “With our energy bills soaring and with wages set to rise this spring, many news retailers will be unable to stand an increase in their carriage charge.
“It is incredibly frustrating that we are being treated in this way.
“Publishers and wholesalers must have a long and hard think about their actions if they want the printed word to survive.
“This latest news will force some news retailers to look again at selling newspapers, particularly when we are served by two news wholesalers and have to find the money to pay two sets of carriage charges.”
