London mayor gets involved in magazine distribution debate

by Daniel Farey-Jones, Brand Republic 05-Sep-05, 11:00

LONDON – Mayor of London Ken Livingstone could join the opposition to the Office of Fair Trading's draft opinion that the current system of magazine distribution is illegal.

A broad coalition of magazine publishers, wholesalers and independent retailers is warning that the OFT's decision could have a serious impact on the availability of magazines and the livelihoods of small retailers. Its analysis is that up to 1,000 magazines and up to 12,000 independent retailers could face closure.

It is believed that Livingstone is also concerned that retailers and magazines in London could be affected, especially those serving ethnic minorities.

His office has contacted Lord Heseltine, chairman of Brand Republic's publisher Haymarket, who is heavily involved in the debate about the changes.

"The mayor's office has spoken to Haymarket about the OFT ruling on magazine distribution, as the mayor has shown an interest in the impending ruling and its consequences for London," a spokeswoman from the mayor's office said.

Lord Heseltine has held meetings with the trade bodies campaigning against the change and on their behalf has written to Sir John Vickers, chairman of the OFT.

He has expressed in some detail the industry's concerns at the OFT's handling of the whole matter.

He wrote at the request of a number of trade associations, who remain concerned at the apparent unwillingness of the OFT officials involved to question the original opinions they expressed publicly some months ago, when they accused the industry of "scaremongering" and "sloganeering".

Lord Heseltine is understood to be particularly disappointed that such accusations have been made by officials when the industry itself has put so much work into objective analysis of what would happen to newsagents, publishers and wholesalers were the OFT to stick with its original opinion.

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