Channel 5 set to lead TV ad recovery

LONDON - TV advertising revenues in the UK are expected to rise 13.6% in May compared with the same month last year, prompting a recovery in the sector led by Channel 5.

Figures leaked to the press over the weekend show that advertising revenues have begun to climb, ending a slump that continued into the first few months of 2002.

Estimates show that TV ad revenues will be up 6.7% in June, while July could be up 8.1%, which does not include any impact from increased advertising related to the World Cup.

Channel 5 is expected to have revenues of £21.5m in May, giving it almost 8% of the total market, with July up 44% at £19m following a year of increased investment from shareholders United Business Media and pan-European broadcaster RTL.

ITV, meanwhile, is shown to have ad revenues of £152m in May, up 10% year-on-year, giving it a 54% share of the market. However, the July figures are only expected to increase 2% on last time.

According to the figures, published in the Sunday Times, the seven months to the end of July will see Channel 5 ad revenues increase 19%, while ITV is down 5.4% on 2001.

Channel 4 is expected to be down 1.1% with a market share of over 20% for the period.

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