The editor of the London Independent, Mr Andrew Marr, has been replaced by the editor of the Independent On Sunday, Ms Rosie Boycott.
Ms Boycott, who becomes the first woman editor of a British daily broadsheet, will continue to edit the Sunday newspaper. It is believed Mr Marr was told on Thursday evening not to turn up for work yesterday, following his refusal to take up a position as editor-in-chief responsible for leader writing and commentary pages within a seven-day operation combining both newspapers.
Yesterday, the chief executive of Independent Newspapers of Dublin, Mr Liam Healy, told the staff of the changes. Mr Healy is chairman of Newspaper Publishing Plc, which owns the two titles. Independent Newspapers owns 46 per cent of Newspaper Publishing. A further 46 per cent is owned by the Mirror Group.
The failure to hold onto Mr Marr, considered a brilliant and serious journalist, was seen as a blow to the newspaper's prestige by Dr Tony O'Reilly, the chairman of Independent Newspapers, who was keen for Mr Marr to stay.
The chief executive of the Mirror Group, Mr David Montgomery, wanted Mr Marr out in order to popularise the newspaper and make it less up-market.
The board had hoped Mr Marr would accept a joint ticket with Ms Boycott, which would combine his serious journalism and her flair as an editor. It is believed Mr Marr interpreted the offer as being "kicked upstairs".
He had refused to implement a £4 million cost-cutting exercise, but sources were saying that had nothing to do with his leaving. Twenty other jobs are to go as well.
The Independent is not doing well. Sales in December were down 12 per cent on November, despite a £12 million redesign and relaunch last September.
While the two owners claim to be fully committed to the Independent titles, London has been rife with rumours about the Mirror Group wanting to sell its stake. However, the reported asking price of £70 million would appear to be high given the financial health of Newspaper Publishing.
Dr O'Reilly and Independent Newspapers appear content to let things remain as they are. There is little advantage in Independent Newspapers buying the Mirror's stake. It would still need to buy facilities, including printing, that only a big newspaper company, like the Mirror Group, can provide. The Barclay Brothers, owners of the Scotsman and the European, appear interested, but the Mirror cannot sell without the agreement of Independent Newspapers under the terms of the joint ownership agreement.
The City has been critical of the Mirror Group and Mr Montgomery's strategy in developing and buying cable TV and regional newspapers. The once-powerful Daily Mirror is about to be overtaken in sales by the Daily Mail, while the Mail On Sunday has overtaken the Sunday Mirror.