The NUJ is facing grassroots revolt over plans to reduce staff costs by £400,000 to stave off possible bankruptcy.

A leaked memo from general secretary Michelle Stanistreet, seen by Press Gazette revealed the union was facing a serious financial crisis, warning that unless immediate action was taken it could be insolvent with four months.

The National Executive Council voted through a series of cutbacks last month, but Press Gazette understands splits are beginning to emerge over the handling of the budget.