Blue Tiger Engage September 2026
BT Engage: September Newsletter
Welcome to Blue Tigers monthly newsletter Engage, bringing you all the latest news, trends and updates from across the media landscape. In this month’s edition we look at the major news stories that captured the headlines as we end Q3.
Six Months of UK Digital Adspend Now Exceeds the Whole of 2020 – Market grows 13% to £21.2bn in the first half of 2026, driven by retail media and video
UK advertisers spent £21.2bn on digital advertising in the first half of 2026, almost £5bn more than they spent during the whole of 2020, according to the latest Digital Adspend study from IAB UK and mediasense.
The comparison shows just how much the market has expanded in a relatively short period. In 2020, UK digital ad spend stood at £16.5bn for the full year. Six years later, advertisers are investing significantly more than that in six months. Spend grew 13% year on year in the first half of 2026, but the figures also point to a shift in where that investment is going, with retail media and video growing ahead of the wider market.
Retail media was the fastest-growing area, rising 32% to £2.0bn, while video increased 18% to £5.1bn. Search remains the UK’s largest digital advertising channel by some distance, reaching £9.1bn and accounting for 43% of the market. But with search growing 10%, below the overall market rate, the figures show investment spreading across a wider range of digital environments.
Retail media is a particularly clear example of that change. Interviews conducted for the study suggest that advertisers are increasingly looking beyond its roots as a performance channel close to the point of purchase. As retailers build out their advertising propositions and make greater use of first-party data, retail media is finding a place earlier in the planning process, giving brands more opportunities to reach and influence customers before they are ready to buy.
Video is changing too. A third of the £5.1bn invested in video in the first half of the year now goes to TV+, as streaming continues to attract audiences and advertising investment. Connected TV inventory is also becoming easier to plan and buy alongside other digital formats, making the traditional distinction between television and digital video increasingly less clear for advertisers.
The way this growing market is bought has also shifted. Programmatic accounted for £17.2bn in the first half of 2026, equivalent to 81% of all UK digital advertising investment and up from 78% a year earlier. Rather than being a distinct part of digital advertising, automated trading is now the way the vast majority of the market operates.
The growth comes despite advertisers continuing to navigate a challenging economic and regulatory environment. Economic uncertainty was the most commonly cited challenge in the study, appearing in the top three for 70% of respondents. AI and automation were cited by 37%, while measurement was highlighted by 30%. Despite these pressures, mediasense forecasts growth of around 12% for 2026 as a whole, in line with previous forecasts, putting the UK digital advertising market on course to reach £50bn by 2027.
Channel 4 and 5 strike historic partnership to create unique offering for advertisers
Channel 4 and Paramount have agreed that from 2027, Channel 4 Sales will become the exclusive advertising sales partner for a broad portfolio of Paramount brands in the UK, including its public service network, 5.
The long-term commercial partnership – the first time that advertising for the two PSBs has come under one roof – will create compelling new opportunities for brands to reach larger audiences, while supporting both broadcasters’ continued investment in British content.
Under the terms of the agreement, Channel 4 Sales will assume responsibility for airtime sales across 5’s portfolio of TV and streaming channels, the UK’s third largest commercial broadcast network, including 5, Milkshake!, 5USA, 5Star, 5Select and 5Action. In addition, Channel 4 Sales will also represent advertising for Paramount networks in the UK including MTV, Comedy Central and Nickelodeon. This combined portfolio will offer advertisers a unique and distinct scale and targeting advantage across UK broadcaster VOD, spanning children’s audiences, 16-34s, ABC1s and regional audiences.
Priya Dogra, Chief Executive, Channel 4, said: “This exciting partnership, which brings together ad sales for Channel 4 and 5 for the first time, creates a tremendous proposition for advertisers, rooted in the power of public service broadcasting. This groundbreaking collaboration will give advertisers seamless access to a unique portfolio of trusted, premium brands and even larger audiences. It will also generate new commercial opportunities for two distinctive commercial PSBs, helping support further investment in British programming.”
Reemah Sakaan, President, 5, said: “5 is on an incredible run, delivering must-watch hits that draw large, loyal audiences across every platform. Combine that momentum with Channel 4’s commercial strength, and advertisers get a scale and targeting proposition they won’t find anywhere else. This is a historic partnership between two British broadcasters and I am excited to work with Priya and the team at Channel 4 to create a unique market proposition, that puts audiences first and strengthens public service media in the UK for a digital future.”
Rak Patel, Chief Commercial Officer, Channel 4, said: “Advertisers and agencies are increasingly seeking scale, simplicity and effectiveness from trusted media environments: this partnership with Paramount gives Channel 4 Sales’ partners access to an even broader range of premium content. We’re proud to partner with a broadcaster of this scale and quality, enhancing our reputation as the go-to, trusted sales partner for advertisers and media owners.”
Lee Sears, President, Paramount Advertising International, said: “Our number one priority is helping advertisers get closer to our vast and growing portfolio of premium content. In the UK, 5 has built a potent brand presence — pushing the boundaries of event television while delivering returning, year-round hits across linear and streaming. I have no doubt Channel 4 Sales understands this unique opportunity to bring a unified PSB commercial offer to market. We can’t wait for them to get started.”
Paramount Advertising International will exclusively handle advertising sales for Paramount’s direct to consumer brands in-house – including Paramount+ and Pluto TV. It will also continue to handle social alongside sponsorship and creative partnerships across the portfolio of Paramount brands in the UK, including 5, MTV, Comedy Central and Nickelodeon. Paramount+ is home to around 12,000 hours of premium content, from Dutton Ranch and MobLand to the upcoming 2027 UEFA Champions League.
Global launches Radio Plus: Should advertisers be worried?
Last week Global launched a subscription service for its UK radio brands, giving listeners access to live radio, replays, and catch-up without ads.
It is the first time the entertainment and media group has offered a subscription service for its music stations.
Subscriptions are available monthly or annually, with listeners able to choose a single brand family, such as Heart Plus, for £4.99, or all of Global’s music brands with Radio Plus for £9.99.
The service is accessed via Global Player, which can be linked to Alexa smart speakers, in-car apps and Apple TV, and listeners will simply hear more music instead of commercial breaks.
Subscribers will also receive additional benefits including priority access to events, weekly competition entries, exclusive presenter newsletters and discounts on merchandise.
The launch comes alongside a broader subscription offering, Podcast Plus, which includes LBC’s Nick Abbot – The Whole Show and the F1 podcast Up To Speed, as well as YouTube Channel Memberships such as Scroll Deep.
So what effect might this have on advertisers? Global is the UK’s biggest commercial radio group by listening, according to the latest Rajar data, making its decision to launch a service that allows listeners to opt out of advertising an interesting one.
Subscription services are already well established across other media sectors. Channel 4 and ITV both offer ad-free viewing through their subscription services, with All4+ having launched in 2019 and ITVX in 2022. Meanwhile, publishers have increasingly used subscriptions to provide members with additional benefits and exclusive content.
In audio, podcasting has demonstrated the potential for subscription and membership models, but traditional radio has largely remained outside the trend.
That is not to say that Global is the first UK radio group to experiment with the model. In 2021, Bauer introduced a premium subscription service to a selection of its radio brands, before expanding in the following years. For £3.99 a month, subscribers can listen without interruptions and skip up to six tracks per hour.
Global itself has stressed that the service is intended as an additional choice for listeners, rather than a change to its core commercial radio offering.
Ashley Tabor-King CBE, Global’s founder and executive president, described the service as an “exciting new choice for our listeners”, and reiterated that nothing would change across Global’s normal streams, FM or DAB.
For now, at least, the launch appears less about disrupting Global’s existing commercial radio model and more about adding another layer to its relationship with listeners – with the potential data benefits for advertisers perhaps proving more significant than the loss of ad inventory itself.
For further information, please don’t hesitate to contact us at Blue Tiger Marketing, we’re here to help you navigate the changing landscape effectively, leveraging new opportunities while mitigating potential risks.
Sources:
The Media Leader, ITV, Radiocentre, Tech Crunch, Video Week, Adexchanger, The Drum, Campaign, ipa.co.uk, The Guardian, Reuters, IAB
