PRCA barometer points to 9% boost for communications budgets
A quarterly snapshot of communications teams produced by the PRCA has found grounds for optimism with teams reporting that their budgets have increased by a net 9% - the first increase since polling began in 2011.
Reversing the run of contractions the findings suggest that the figures may offer the first tangible hint of a ‘substantive recovery’ in the market.
The increased consultancy spend is set against a backdrop of a declining economy with a further 0.7% knocked off UK GDP in the latest quarter.
This tallies with increased optimism amongst communications directors in the health of the PR industry as a whole with a corresponding increase in staffing (11%) and consultancies (2%).
Francis Ingham, PRCA Chief Executive, said: “These results are nothing short of remarkable in the current economic climate. However, we should not be completely surprised as the Consultancy Barometer pointed to an increase in budgets in the buildup to the Olympics.
“The real test is still to come to see if budgets are maintained after the Olympics, and we must hope this isn’t a one-off as the wider economy continues to falter”.