ITV boss Dame Carolyn McCall is sounding the alarm over the fall in advertising
The ITV boss warned that the broadcaster could be hit for the rest of the year due to the ongoing advertising slump.
Dame Carolyn McCall previously said the company had suffered from its worst advertising performance since the financial crisis – but has now suggested that situation could get even worse.
Like many other media companies, ITV has been hit as companies cut advertising spending amid economic turmoil.
Agencies such as S4 Capital – led by media veteran Sir Martin Sorrell – recently said these cuts were particularly severe across the tech industry, which is trying to tightly limit costs.
McCall told a Royal Television Society conference in Cambridge yesterday: “It’s proving to be a pretty tough second half.”
Warning: Dame Carolyn McCall has now hinted that the ongoing advertising slump could get even worse
Advertising revenue will be a burden for us, so all our results will decrease. “The British economy is not doing very well.”
The ITV boss, who ran budget airline Easyjet until 2017, also accused the government of a lack of policy action to boost the industry.
“What the government can do for the creative industries is to start growing the economy,” she said.
“You keep talking about growth, but where are the initiatives to grow the economy properly?”
The 62-year-old businesswoman said it felt “like a waiting game – everyone knows there will be an election”.
Given the ongoing economic uncertainty, ITV’s studio business has emerged as a particular growth area.
Earlier this year, the group considered buying All3Media, the production company behind Gogglebox and Call The Midwife owned by Warner Bros. Discovery and Liberty Global.
Although ITV withdrew from talks in July, Liberty boss Mike Fries, speaking at the same conference this week, said an All3Media auction had now begun and that ITV was still interested.
ITV shares have fallen over 10 per cent in the last six months. They rose 2.4 percent, or 1.76 pence, to 74.3 pence yesterday.