UK press industry trade body the Newspaper Society has expressed alarm at the effect local city council publications are having on community newspapers, saying the papers are facing unfair competition, Media Guardian reported Thursday.

The Society has lodged a formal complaint with the minister for local government, Rosie Winterton, objecting to the competition caused by the freesheets offered by the councils.

"Unfortunately, an increasing number of local councils across the UK are actively competing with local newspapers for readers and advertising revenues, causing real damage to these local businesses at a time when they are meant to be helping them to come through the recession," Lynne Anderson, the communications director of the Newspaper Society, wrote to Winterton, according to Media Guardian.

The letter also expressed concern over the potential withdrawal of government advertising and statutory notifications from local media and newspapers. The Newspaper Society has asked Winterton for a meeting to discuss the problems.