A recovery of sorts is underway for the UK ad market following a difficult 2023. But as digital now accounts for such a large proportion of total media spending, there is no room for the rapid growth rates of the recent past. Marketers now need to look for the biggest bang for their buck within the wider digital category, with retail media the likeliest destination.

Key Question: Amid a modest recovery following a cost-of-living crisis, what’s driving growth in digital ad spending in the UK?

Key Stat: Digital ad spending now accounts for the vast majority of media spending—82.6% this year. But as the normalized way to trade ad inventory, it will be more susceptible to external economic forces.