The digital advertising industry contributed an estimated £129 million in gross value added (GVA) to the British economy across 2022, the IAB has revealed.
Crystallising the sector’s importance within the wider national economy, the IAB’s ‘Digital Dividend’ report found that digital advertising supports up to two million jobs, or 6% of the overall workforce.
The digital advertising industry’s impact on UK business has also been revealed, with those investing in the sector seeing a combined total of £73 billion in increased sales as a result, with £26 billion of that among small and medium sized companies.
“The vast majority of us rely on the internet every single day to stay in touch and informed – be it email, news, maps or social media – and the reality is that it’s only free because of advertising. This study provides much-needed insight into the huge contribution that the digital ad industry makes to the UK economy and how people value the vital services it funds,” IAB UK head of policy and regulatory affairs, Christie Dennehy-Neil said.
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“Having a deeper understanding of this is particularly important at the moment, with 85% of the population worried about rising inflation and the Government considering how to further regulate the digital ad sector. This can only be done effectively if the very real benefits that digital advertising delivers for people and businesses across the country are recognised and protected.”
Notably, a staggering sum of £39 billion is directly generated by business within the sector, with its impact beating the likes of the legal sector (£34 billion) and the agriculture (£19 billion).
Minister of state for media and the creative industries, John Whittingdale added: “Digital advertising is growing from strength to strength in Britain. It contributes hundreds of billions to our economy, supports millions of jobs and ensures that consumers can enjoy hundreds of online services without charge.
“We want to maximise the potential of the creative industries and, through our Online Advertising Programme, we are cracking down on illegal ads so our advertising sector can continue to thrive.”
