PR Leader's Panel believe the worst is still to come for News International
London, 13/07/2011 -Leaders in the PR industry believe that the News of the World hacking scandal is just the beginning of the troubles News International is about to face, even though the News of the World closed at the weekend.
Interestingly, only a quarter of the Leaders Panel believed that the decision to close the popular Sunday tabloid was to try to limit the damage of the News International brand, compared to nearly 50% who believed that the decision was made to protect the newspaper publisher's controversial takeover of BskyB. However, the panel was split regarding the implication the hacking scandal will have on the outcome of the takeover, with 37% believing it will delay the takeover by months and 33% believing it now makes the takeover unfeasible.
PRCA Chief Executive Francis Ingham said: “The News of the World allegations are both astonishing and appalling. The wall of contempt that has hit News International is remarkable both in its ferocity and its justification. Put all that together with the growing extinction of the newspapers' current business model, and I'm glad not to be in the newspaper industry right now.”
In terms of political consequences, around two-thirds of the panel believe that Prime Minister David Cameron has suffered a temporary dent in public trust of his judgment due to his initial appointment of former News of the World editor Andy Coulson to head his communications team. This is compared to a third who answered that his relationship with Andy Coulson will have long term ramifications for public trust in his judgment.
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