If you want to be able to play it on your iPad then yes, you will need the music stored on it. Does the Times newspaper app allow you to manually delete past editions.
iTunes Match is available here in the UK, but it costs £21.99 per annum : http://www.apple.com/uk/itunes/itunes-match/
Using Match on an iOS device : http://support.apple.com/kb/HT5637 - you can stream music from it (so you would need to be online) or download the music.
iCloud is for backing up your data / documents / photos e.g. it's an alternative to backing up to a computer's iTunes. But iCloud doesn't include everything e.g. audiobooks and ringtones can't be redownloaded, and an iCloud backup doesn't include your own music (and any item could be removed from the store at any time, so restoring to an iCloud backup might not be able to restore eveything e.g. if an apphas been removed from the store then it won't be able to reinstall it and its contents)
iCloud : http://www.apple.com/icloud
iCloud features : http://www.apple.com/icloud/features/