Trinity Mirror sets aside an extra £7.5m to deal with phone hacking scandal

 
Helen Cahill
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Trinity Mirror Launches New Daily Newspaper
Trinity Mirror publishes the Daily Mirror, Sunday Mirror and Sunday People national newspapers (Source: Getty)

Newspaper group Trinity Mirror has set aside an extra £7.5m to cover claims relating to the phone hacking scandal.

The firm has already allocated £26m to deal with compensation and legal costs associated with phone hacking, having settled cases with dozens of celebrities.

The figures

In a trading update for the 26 weeks ending 2 July, Trinity Mirror said its group revenue will fall nine per cent on a like-for-like basis for the period.

Read more: The Guardian is going tabloid

The group expects print revenue to fall by 12 per cent, with digital revenues rising by five per cent.

Print advertising revenue fell by 21 per cent, but Trinity Mirror said its advertising was competing against a strong comparable as it performed strongly during the European Championship last year.

Why it's interesting

Trinity Mirror said today that it had settled claims for damages in over 80 per cent of the claims made relating to the phone hacking scandal. It has had to make payouts to more than 25 people, including TV presenter Natasha Kaplinsky and entertainer Les Dennis.

The group also highlighted today that it had secured a five-year deal to print the Guardian.

What Trinity Mirror said

Simon Fox, Trinity Mirror's chief executive, said: "The trading environment for print in the first half remained volatile but we remain on course to meet our expectations for the year. I anticipate that the second half will show improving revenue momentum as we benefit from initiatives implemented during the first half of the year."

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