TV ad spend is expected to increase by 9.1% in 2010, while online spend is predicted to rise by 7.7%.

The Advertising Association has adjusted its predictions for ad spend this year to increase by 3.3% to £14.98bn, from its original prediction of a 2.3% rise.

The increase reflects the results from the first quarter of 2010, in which ad spend grew by 3.4%. In that period the channel with the strongest growth was outdoor (14.6%), followed by TV (9.8%), internet (9.2%), radio (8.7%) and cinema (3%).

The Advertising Association predicts sectors that haven’t seen growth in ad spend since the recession, such as the financial sector, should bounce back in 2010. It also predicts that with cuts expected to the COI budget, the government and charity sector will see double-digit declines this year.

Tim Lefroy, CEO of the Advertising Association, said, “Despite the doomsday predictions as the Government slashes ad spend, the industry is in good health. Overall performance is actually outstripping the official forecasts.”

First Published in NMA.