Brexit’s impact on advertisement sector will be softer than expected

The IPA Bellwether report, which is researched and published by IHS Markit on behalf of the Institute of Practitioners in Advertising, said its forecast for British advertising spending growth was revised up to 1.9 percent for 2016, compared with its previous forecast of a 0.2 percent decline.

July’s report had shown that companies would reduce advertising spending because of uncertainty created by Britain’s vote to leave the European Union. However, October’s report said that a net balance of 13.4 percent of companies increased their budgets in the third quarter, up from 10.7 percent in the previous quarter.

Event and internet budgets grew the most in the third quarter, while traditional main media advertising fell for the first time since 2013.