IPA reacts to appointment of new Prime Minister Liz Truss and Culture Secretary Michelle Donelan

Says Paul Bainsfair, Director General, IPA:

"First and foremost, we would like to congratulate Liz Truss on becoming Prime Minister. Given the major issues facing the Country, however, it cannot be helpful that we have had to wait two months since Boris Johnson announced his pending resignation.

"At this time of economic uncertainty and as we face a cost of living crisis, we ask that she recognises the economic and other benefits that the UK ad industry brings to the UK. Every £1 spent on advertising generates £6 to the country’s economy, advertising enables brand competition and it offers consumers more choice in how they shop and enjoy the arts, sport and culture.

"We also ask that she will protect our widely respected, self-funded, and world-leading self-regulatory system, and ensure that it is supported rather than undermined. The Online Advertising Programme, introduced by the previous Conservative Government, poses an unwelcome and unnecessary threat to the system, as does its introduction of HFSS ad bans through the Health and Care Act – with which we are glad Ms Truss disagrees - when the existing advertising rules in the CAP and BCAP Codes are already among the toughest in the world. 

"We would like her Government to acknowledge the success of the UK at exporting advertising services and that the UK is the industry’s global hub. UK advertising exports are currently valued at £11.7billion and with Government help, it could be far more.

"Another issue for Ms Truss to consider is how to improve the apprenticeship levy which is not working for companies, especially in light of the current pressures on talent recruitment at ad agencies, and how more can be done within education to foster creativity and open up advertising as a career path to young people.

"Other areas that we hope to work with the new Prime Minister on include the industry’s two key initiatives, Ad Net Zero - aimed at making the ad industry reach net zero by 2030, and the All In Action Plan - for building a more diverse and inclusive workforce.

"Lastly, we hope that our new Prime Minister can swiftly deliver on her promises of cancelling the planned rise in corporation tax, as well as introducing ‘low tax zones’ which will aid  SMEs and start-ups, hopefully including ad agencies, in several parts of the country."

Commenting on Michelle Donelan being named Secretary of State for Digital, Culture, Media and Sport:

"I would like to congratulate Michelle Donelan on being appointed Secretary of State for Digital, Culture, Media and Sport, along with the new wider, DCMS team.

"This is our eleventh Culture Secretary in ten years and our industry needs the stability that a long-term holder of the office can provide. Michelle Donelan will take up their new role with several pressing issues to contend with, including: the planned privatisation of Channel 4, impending HFSS advertising legislation, the Online Harms Bill, the Online Advertising Programme and the Gambling Review White Paper, to name some examples. It is vital that she is willing to work with our industry to find solutions that will benefit the economy and wider society.

"As the cost of living crisis continues, the new Secretary of State should take note of the great value that we can provide as an employer, a job creator, an exporter and as a partner for the Government. Now is the time to work together, and we will be reaching out in the coming weeks to request a meeting with her."