Table of Contents
UK Market Overview
The United Kingdom is one of the world's most mature digital advertising markets, with digital now accounting for over 82% of total ad spend. These statistics provide context for the UK advertising landscape.
UK digital ad spend is forecast to reach £45 billion by 2026, growing at around 10% year-over-year. Digital now accounts for 82% of UK ad spend, making Britain one of the most digitally advanced advertising markets globally.
UK digital ad spend (2026 forecast)
Source: AA/WARC
Digital share of UK ad spend
Source: IAB UK
Year-over-year growth
Source: AA/WARC
UK share of global Google Ads customers
Source: Statista
Digital ad spend growth (2025)
Source: IAB UK
H1 2025 digital ad spend
Source: IAB UK
UK Market Position
- Global ranking: UK is the world's 3rd largest digital advertising market after US and China
- European leader: UK accounts for ~40% of Western European digital ad spend
- Digital maturity: 82% digital share is among the highest in the world
- Growth trajectory: Expected to grow 8-10% annually through 2028
- Per capita spend: UK has one of the highest digital ad spend per capita globally
- Programmatic adoption: 78% of UK display advertising is programmatic
Key Market Drivers
- High internet penetration: 97% of UK adults are online
- E-commerce growth: UK is Europe's largest e-commerce market
- Mobile-first consumers: 71% of digital ad spend is mobile
- Video consumption: Average UK adult watches 1+ hour of online video daily
Channel Breakdown
Understanding channel-level spend in the UK helps marketers allocate budgets effectively and identify opportunities in the British market.
Search channels account for 44% of UK digital ad spend, totalling £8.3 billion in the first half of 2025 alone. Video advertising represents 23% of spend, while display accounts for £2.9 billion and retail media is the fastest-growing segment at £1.5 billion.
Search share of UK digital spend
Source: IAB UK
Search ad spend (H1 2025)
Source: IAB UK
Video share of UK digital spend
Source: IAB UK
Display advertising spend
Source: IAB UK
Retail media (fastest-growing)
Source: IAB UK
Influencer marketing spend
Source: IAB UK
UK Channel Performance
| Channel | H1 2025 Spend | Share | YoY Growth |
|---|---|---|---|
| Search | £8.3B | 44% | +6.2% |
| Video | £4.3B | 23% | +10.5% |
| Display | £2.9B | 15% | +4.8% |
| Retail Media | £1.5B | 8% | +22.0% |
| Influencer | £1.0B | 5% | +12.0% |
| Other Digital | £0.9B | 5% | +5.0% |
Channel Insights
- Search dominance: Google Ads captures 85%+ of UK search ad spend
- Video growth: YouTube and social video driving 10%+ annual growth
- Retail media explosion: Amazon UK, Tesco, Sainsbury's leading retail media growth
- CTV emergence: Connected TV advertising growing at 25%+ but from smaller base
Mobile & Device Statistics
The UK is a mobile-first market, with smartphones accounting for the majority of digital advertising spend and consumption.
Mobile accounts for almost three-quarters (71%) of all UK digital ad spend, with 99.3 million mobile internet connections in the UK - equivalent to 143% of the population (accounting for multiple devices per person).
Mobile share of UK digital ad spend
Source: IAB UK
Mobile internet connections
Source: GSMA
Mobile connections vs population
Source: GSMA
Median mobile download speed
Source: Ookla
UK Mobile Usage Patterns
- Smartphone ownership: 93% of UK adults own a smartphone
- Daily usage: Average UK adult spends 4+ hours daily on mobile
- Mobile commerce: 60% of UK e-commerce transactions occur on mobile
- App vs web: 88% of mobile time is spent in apps vs mobile web
- 5G adoption: 45% of UK mobile connections are now 5G
Device Breakdown
- Mobile: 71% of digital ad spend
- Desktop: 23% of digital ad spend
- Tablet: 4% of digital ad spend
- Connected TV: 2% of digital ad spend (growing rapidly)
Industry Trends
The UK digital advertising industry faces both opportunities and challenges, from AI adoption to privacy concerns. These trends are shaping the future of British digital marketing.
56% of UK marketers cite AI and automation as their top challenge, while 78% of display advertising is now traded programmatically. Measurement challenges concern 31% of marketers as privacy changes impact attribution.
UK display spend that's programmatic
Source: IAB UK
Cite AI as top challenge
Source: IAB UK
Cite measurement as top concern
Source: IAB UK
Influencer ad spend growth
Source: IAB UK
Top UK Industry Trends
- AI adoption: 65% of UK advertisers now use AI for campaign optimisation
- Privacy-first: Cookie deprecation driving £500M+ in first-party data investment
- Retail media boom: Amazon, Tesco Media, Sainsbury's Nectar360 growing rapidly
- CTV growth: Connected TV ad spend growing 25%+ annually
- Attention metrics: 42% of UK advertisers now measuring attention, not just viewability
Key Challenges for UK Marketers
- AI complexity: 56% find AI and automation challenging to implement
- Measurement: 31% struggle with cross-channel attribution
- Privacy compliance: GDPR and UK Data Protection Act require ongoing investment
- Talent shortage: 45% report difficulty hiring digital marketing talent
- Economic uncertainty: Inflation and cost pressures affecting budgets
UK Market Opportunities
Key opportunities for advertisers in the UK market:
- High digital maturity: 82% digital share means consumers expect digital experiences
- Mobile-first: 71% mobile share requires mobile-optimised campaigns
- Retail media: Fast-growing channel with strong purchase intent signals
- Local targeting: UK consumers respond well to localised messaging
- B2B opportunity: LinkedIn has 35M UK users for professional targeting
About This Data
These UK digital advertising statistics are compiled from the IAB UK, AA/WARC Expenditure Report, Statista, eMarketer, GSMA, and industry surveys. Data represents 2025-2026 measurements and forecasts.
Important note: Figures in pounds sterling (£) unless otherwise noted. Exchange rates and economic conditions may affect comparisons with other markets.
Social Media Advertising
Social media advertising is a major component of UK digital spend, with British consumers highly engaged across multiple platforms.
UK social media user identities
Source: Statista
UK social ad spend
Source: eMarketer
Social ad spend growth
Source: eMarketer
Use social for product research
Source: DataReportal
UK Social Platform Usage
Time Spent on Platforms (Daily)