NUJ welcomes Local News Fund
The Department for Culture, Media and Sport (DCMS) has announced £12 million in government funding for local journalism.
The Local News Fund will be distributed over two years and aims to “ensure the long-term provision of high-quality local news”. The Fund was first announced in March as part of the government’s Local Media Strategy, which was broadly welcomed by the NUJ.
Ian Murray, media minister, described the Local News Fund as “an important step towards securing the future of local media across the UK”. Murray said: “Local media is a cornerstone of our civic life and when it declines, communities lose access to accurate information, scrutiny of decision-makers and a vital local voice.”
The government will distribute £6 million in 2026-27. The majority will be allocated to local news outlets, which can apply for grants of up to £125,000 “to support their long-term financial sustainability”. The remainder will be allocated to the development of infrastructure and initiatives that benefit the wider industry. This includes work on advertising, media literacy, and new business models. Organisations can apply for up to £275,000 in a separate bidding process for this portion of the Fund.
The Fund application can be found on the government website. Applications close at 12pm on 7 August 2026.
In 2027-28, £1 million will be devoted to “tackling ‘news deserts’” by reviving a local news presence in communities that currently lack one.
The establishment of a government-backed fund is a key call in the NUJ’s News Recovery Plan, which outlines a bold set of measures for revitalising the industry. The NUJ had called for a Journalism Foundation to support investment in public interest journalism, encouraging new funding models and start-ups that promote diversity and media literacy.
Laura Davison, NUJ general secretary, said:
“The NUJ welcomes the launch of the Local News Fund. For many years the union has campaigned for government grants to preserve and bolster local journalism subject to appropriate safeguards. The Fund is recognition that the industry cannot be left to the vagaries of the market and that our members working in local news play a pivotal role in upholding social cohesion and democracy.
“Millions of people across the UK now live in news deserts and the industry has suffered decades of decline, resulting in swathes of job cuts and around 300 local papers closing since 2005. The announcement of £12 million in funding over the next two years is promising, and we urge the government to do more to turn the tide.
“As well as increasing investment, additional funding for public interest journalism can be generated through a 6% windfall tax on tech giants - who dictate search traffic, gobble up advertising revenue, and continue to profit from the largescale theft of journalists’ work.
“The government can also redress the power imbalance in the industry by requiring transparent labelling on AI-generated journalism, reforming media ownership rules, and addressing poor terms and conditions for both employees and freelances. The NUJ’s News Recovery Plan sets out a vision for protecting and investing in the journalism sector so that it can truly serve the public good, and we hope the government will take up the challenge.
“In the meantime, we welcome ongoing constructive engagement with the Department for Culture, Media and Sport and look forward to seeing what difference the Fund will make.”