How Much Does Instagram Advertising Cost in the UK? 2025 Guide

Thinking about using Instagram ads to reach customers in the United Kingdom? Your first question is likely about cost. How much should a UK business budget for Instagram advertising?

The simple answer is: There's no fixed price. You can start with as little as £5 per day. Your total cost depends on your goals, audience, and how good your ads are.

This guide will break down the average costs for UK businesses and show you how to get the best value for your money.

There is No Monthly Fee

First, let's be clear: It is free to use Meta Ads Manager.

You only pay when you actually run an ad campaign. There are no monthly subscriptions or hidden fees to use the platform itself.

How Instagram Advertising Costs Work

You don't pay for ad space; you pay for results. Instagram uses an auction system. You set a budget, and you only pay when you get what you want (like a click or a view).

Your final cost depends on four main things:

  1. Your Budget: You decide your daily or total spend.
  2. Your Audience: Some groups are more expensive to reach than others.
  3. Your Ad Quality: Engaging, professional ads cost less to run.
  4. Competition: More advertisers bidding for the same audience will increase prices.

Average Costs for UK Businesses in 2025

While costs can vary, here are the average price ranges you can expect in the UK:

1. Cost-Per-Click (CPC)

  • What it is: You pay each time someone clicks on your ad.
  • Average UK Cost: £0.40 - £2.00 per click.
  • Example: If your CPC is £1.00 and 100 people click your ad, you pay £100.

2. Cost-Per-Thousand-Impressions (CPM)

  • What it is: You pay for every 1,000 times your ad is shown.
  • Average UK Cost: £4.00 - £12.00 per 1,000 impressions.
  • Example: If your CPM is £8.00 and your ad is shown 10,000 times, you pay £80.

3. Cost-Per-Result

This is the most important cost. It tells you how much you pay for your desired action.

GoalWhat You Pay ForAverage UK CostWebsite Clicks | Each click to your site | £0.40 - £2.00
Lead Generation | Each email sign-up | £2.00 - £8.00
Page Likes | Each new follower | £0.50 - £2.50
Purchase (Sales) | Each product sold | Varies widely

Note: The cost for a purchase is highly dependent on your product price and profit margins.

What Impacts Cost in the UK Market?

Several factors will make your ads more or less expensive:

  • Industry: Competitive industries like finance, insurance, and real estate have the highest costs.
  • Audience Targeting: Targeting a broad audience (e.g., "people in London") is cheaper than targeting a specific, high-value group (e.g., "CEOs in London").
  • Time of Year: Q4 (October-December) is the most expensive due to holiday competition.
  • Ad Quality: Instagram rewards clear, engaging ads with lower costs.

How to Set Your UK Advertising Budget

1. Start Small for Testing
You don't need a huge budget to start. A daily budget of £5 - £10 is enough to test an ad and see if it works.

2. Define Your Goal
Before setting a budget, know what you want to achieve. Are you looking for sales, leads, or website visitors? Your goal determines your cost.

3. Calculate Your ROI
Determine your allowable cost per customer. If you make £50 profit per customer, you can afford to spend less than £50 to acquire them.

5 Tips to Lower Your Advertising Costs in the UK

  1. Improve Your Ad Quality: Use high-resolution images or videos and clear, compelling text.
  2. Narrow Your Audience: Target a specific group of people who are most likely to be interested in your offer.
  3. Use Retargeting: Run ads to people who have already visited your website. They are more likely to convert, often at a lower cost.
  4. Test Different Times: Run ads on weekdays vs. weekends and different times of day to find when your audience is most engaged.
  5. Monitor and Adjust: Check your ad performance weekly. Turn off poorly performing ads and put more budget behind the winners.

Example UK Budget Plan

  • Testing Phase (1 month): £10/day = £300 total. This allows you to test 2-3 different ads.
  • Scaling Phase: If you find a winning ad, you can gradually increase your budget to £20-£50 per day.

Conclusion: You Control the Cost

Instagram advertising in the UK is flexible. You can start with a small budget and scale as you see results. The key is to focus on creating relevant ads for a well-defined audience.

By tracking your costs and ROI, you can make Instagram ads a profitable channel for your UK business.

Ready to create high-converting ads? Use SaverInsta to get inspiration and analyze successful ad strategies from top UK brands.

What's your biggest question about UK ad costs? Ask us in the comments!