Spending on internet advertising in the UK exceeded £1bn for the first time last year

UK spending on advertising on the internet has passed that for business and consumer magazines for the first time ever, according to new estimates released by the World Advertising Research Center (Warc).

The Warc figures suggest internet advertising was over 70 percent higher in 2005 than in 2004, passing the £1bn mark for the first time.

TV, outdoor, and consumer magazines also saw small increases in advertising spending, but classified press ads fell by 5.1 percent.

Zamir Cajee of web design firm UKWebCo.com said the figures were not surprising, given the massive impact that internet search technology has had on advertising.

"Google's [paid-for search] is a fantastic model, so impressive and sensible, " Cajee said. "But there will always be a place for print – people are never happy doing things one way, they want a variety [of media]."

The Internet Advertising Bureau is expected to release its own figures for the UK shortly.