ITV Plans £30 Million in Cuts as Advertising Revenue Weakens

ITV will cut £30 million in temporary costs from its Media & Entertainment division in the fourth quarter, as it adjusts spending to weaker advertising demand. The reductions include £25 million in content spending and £5 million in discretionary non-content costs. ITV put its total content budget for 2026 at about £1.2 billion.

The broadcaster said advertising revenue fell 8% in the third quarter compared with the same period last year, leaving revenue for the first nine months down 1%. It expects advertising revenue to decline 5% to 10% in the fourth quarter and 2% to 3% across 2026. CEO Carolyn McCall cited broader economic uncertainty, growing online ad activity among international streaming services, and the effects of restrictions on advertising less healthy food.

ITV’s total revenue for the first nine months was £2.7 billion, down 1%. ITV Studios revenue fell 1% to about £1.3 billion, while the company said production deliveries and licensing deals are concentrated in the fourth quarter. Streaming hours on ITVX rose 29% to more than 2 billion minutes viewed.

The cuts affect the Media & Entertainment business, which ITV has agreed to sell to Comcast-owned Sky for £1.6 billion. The sale includes ITV’s channels and ITVX; ITV Studios is not part of the deal. The U.K. Culture Secretary has asked Ofcom and the Competition and Markets Authority to examine the transaction. ITV said the review was proceeding as expected and it anticipates the sale will close in the second half of 2027.