It's not the net it is the structure of society that is killing the local daily paper

Roy Greenslade is another analysts that puts the declining of newspapers in this case the regional down to something a bit more than the arrival of the internet.

Writing into today's Evening Standard,he says that

The crisis for regional papers is structural, stretching back way before this current economic slump and prior to the ubiquity of computer screens

And it is a structural and demographic problem.

the combination of three overlapping factors— population growth, geographical mobility and immigration. Added to the growing size of our cities and towns, the specific identity of people with the places in which they live has broken down when compared to the 1950s and 1960s.

and he adds that the papers have broken a fundemental relationship with their market.

Papers were close to the people and the people were close to the papers as the bearers of a local history that was important to those whose families had lived within the area for generations.
Few papers can rely on these traditional audiences any longer and, it should be added, the problem is compounded when papers are staffed by journalists who have no links with the regions they serve

Thus

A single paper simply cannot satisfy an increasingly fragmented modern British population

As to what can be done.Is their any hope for this dying market? Well there is the niche approach or the approach of the Manchester Evening News which gives away its copies in the city centre boosting reach and stabilising advertising rates.