GMG suffer further losses despite planning to save £25m over the next five years.

It is predicted that the newspaper group will announce losses of up to £45m for the financial year ending in March, a slight increase on the £43.8m loss previously.

Losses can be attributed to efforts by the group to invest in the US and in digital business.

Failure to meet saving plans has reportedly urged CMG's chief executive Andrew Miller to reconsider the option of changing the paper to a tabloid format, although a spokesman has stressed the company's commitment to its current Berliner format.

Rumours come after Adam Freeman of Guardian News and Media announced earlier this year that the company has a mission to stand as a digital-only publication.