Chancellor John Healey may have been accused of kicking difficult decisions into the “long grass” in his Autumn Budget but the UK advertising and marketing industry, as well as the wider business community, has responded with cautious optimism regarding growth support for small firms and skills, alongside calls for clearer regulatory protections.
DMA director of policy and public affairs Michael Sturrock has been quick to take up the AI issue, saying that so far the Government has been ambitious with its investment.
However, he adds: “There are two sides to this, and tackling the risks of frontier AI is ultimately different from helping British businesses make good use of the technology. Both matter, of course, but the latter deserves just as much attention if AI is to deliver the growth the Government is hoping for.”
Sturrock backs the Digital & Technologies Jobs Plan but argues that attempts to simplify the skills landscape have come and gone before, often leaving businesses struggling to work out where to turn.
He explains: “Greater investment in skills, particularly AI, data management and analytics, must also reach the people already working in these industries. The DMA Code’s People Principle recognises the importance of continuous professional development and equipping people with the skills to thrive. Trade associations can play an important role in making training more accessible across their sectors.
“Regulation is another area where the foundations are largely in place, but the practical detail matters. The Data (Use and Access) Act 2025 provides a framework for responsible AI use, but businesses still need clearer examples of good practice. Regulators also need the resources to provide guidance and enforce the rules.
“The Chancellor wants growth, and rightly so. But another round of AI spending announcements will count for little if businesses are left without the skills or certainty to act.”
For Open Partners co-founder Joe Procter, however, while the Budget may not have delivered any major surprises, he believes there are reasons to be cautiously optimistic.
He continues: “The latest IPA Bellwether shows marketing budgets are growing, but the challenge now is sustaining that momentum in an economy where consumer confidence remains fragile. If measures to ease cost-of-living pressures translate into greater spending confidence, that could be positive news for brands heading into the crucial festive period.
“With a Northern HQ, we also welcome efforts to spread economic opportunity more evenly across the UK. Long term, that means more opportunities for young people to build careers in the creative industries beyond London.”
Meanwhile, Notorious co-founder Jessica Scott gives the Budget a 7 out of 10. She explains: “More good news about decentralisation being the foundation of a more vibrant, more productive economy. A few interesting incentives for employment and businesses. And some welcome relief on household budgets.
“It should help people feel a bit better and hopefully give consumer confidence a welcome notch up. But without a bit of this vision being matched to bold ideas, the potential for a local power revolution is limited. We want to see more done to unlock the benefits of competition, productivity and personal spending power that would give consumer confidence far more than a nudge.
“A modest Budget suggests they still don’t have the ideas or confidence in their convictions to make the most of the rare opportunity – to deliver the big changes households, businesses and our cities alike are crying out for.”
Even so, Advertising Association chief executive Stephen Woodford has welcomed the Government’s focus on economic growth, emphasising that investment in advertising directly drives business competition, job creation, and export strength.
Woodford also backs for the transition of the Apprenticeship Levy into the £40m Growth and Skills Levy.
He comments: “It is important to recognise the vital role that advertising plays in supporting this, by helping businesses of all sizes to compete, innovate and support jobs. Put simply, investment in advertising is an investment in growth.
“The latest AA/WARC adspend figures demonstrate strong annual growth in UK adspend, well ahead of key European markets. The UK is also a leading exporter of advertising and marketing services around the world, another vital contributor to the future growth of our economy.”
The IAB UK policy team, meanwhile, has highlighted key opportunities for digital advertising, including the £700m in AI investment and priority electricity grid access for data centres meeting local criteria. Like the DMA, the IAB is urging the Government to work with the industry to ensure that regulators match the pace of technological change.
The final word goes to Chartered Management Institute director of policy and external affairs Petra Wilton.
She says: “While the Chancellor’s measures to provide immediate ‘breathing space’ for businesses and workers are welcome, the broader, ambitious investment plans for the UK economy can only succeed in delivering sustained growth if they are backed up with sound leadership and management capability.”
In tune with the advertising and marketing industry bodies, the CMI wants the Government to prioritise skills.
Wilton explains: “Building a resilient workforce that tackles youth unemployment, and ensuring new ventures scale successfully, requires a commitment to giving the country’s young people tangible, core leadership skills. It is these skills that will not just help young people to find a job, but give them the opportunity to progress in work.
“The managers responsible for those new hires cannot be overlooked in these plans and deserve an opportunity to gain skills to support young people into work through dedicated line manager apprenticeship units alongside new investment in apprenticeships for young people.
“Ultimately, a budget is an economic blueprint, but skilled managers and leaders are the builders. CMI stands ready to work alongside the Government, businesses, and education providers to ensure the UK has the capable leaders needed to deliver on today’s promises.”
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