End in sight for TV advertising slump

LONDON – The worst slump in advertising revenues since WWII could be at an end, following the release of confidential figures, which show that commercial television revenues are set to be substantially up on last year.

The figures, which were leaked to the Sunday Times, show that commercial TV revenues are forecast to rise by 11.6% in May compared with last year, and June is expected to be 7% up on 2001.

This figures come in sharp contrast to the falls seen in January and February. January 2002 was 13% down on 2001.

The improvement will come as a welcome relief for ITV companies Carlton Communications and Granada, which have been hit by weeks of uncertainty as the ITV Digital and Football League row rumbles on.

According to the Sunday Times, the impact of the advertising fillip will mean that ITV revenues for May will be up 9% for May compared with January and February, which were down 16%.

The figures point to a projected TV adspend for the year of £1.49bn, which is only marginally down on last year. Surprisingly to many no doubt, the best performer is Channel 5. Its revenues are expected to rise 15% in the first half.

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