The report revealed a net balance of 4.4% of companies registering an increase in marketing budgets during Q3 2015. This is a significant drop from the 12.2% reading in Q2 2015 and is the lowest recorded since Q1 2013.

Optimism related to marketers’ wider industry financial prospects has also continued to falter. A net balance of 6.8% of companies revealed that they felt less optimistic about the financial prospects of the various industries they are operating in.

The slowdown has been attributed to a heightened caution among companies regarding the slowdown in some UK economic sectors, and an easing in confidence surrounding the wider global outlook.

“As predicted by Bellwether, upward revisions to marketing budgets and confidence are easing,” said Paul Bainsfair, IPA director general. “However the important point is they are still positive. More specifically, there are upwards revisions to internet, events and main media advertising budgets in Q3. We are seeing marketers demanding greater accountability, physical presence and share of mind in their planned marketing spend.”

The report is researched and published by Markit Economics on behalf of the IPA and features original data from a panel of around 300 UK marketing professionals.