Last week a Treasury select committee investigated a group of leading business journalists (FT, Sky News, The Guardian and Daily Mail) as well as the infamous BBC business editor, Robert Peston, on the role of the media in the ongoing financial crisis. This was part of a wider investigation into the banking industry.

Peston et al. argued that breaking news, such as the scoop on Northern Rock asking for emergency funding from the government, did not cause a run on the bank. Nor was his blog entry on the share price of HBOS the reason for a forced merger with Lloyds TSB. Such stories would have made it into the public domain one way or another. They acted responsibly in reporting the facts from multiple sources.

Opponents believe it is the responsibility of financial journalists to be more aware of how their coverage can affect public sentiment. During times of market turbulence they should exercise greater restraint.

Which ever way you look at it, neither Northern Rock nor HBOS have recovered from what were, a series of PR disasters.

We would always encourage our clients to speak with the media so long as extensive internal and external communication plans were put into action as early as possible. Careful planning of who can say what, when and where, as well as how they do it can make the difference between a company that retains complete control over their business and one that doesn't. Assume a journalist will always write the story. Good PR works to ensure the reader hears your side of the coin as well as someone else's!