Worldpanel by Numerator has found that paid-for ad supported streaming services are on track to surpass ad free services in UK households by Q2 2026.The Entertainment on Demand (EoD) findings show that Disney+ achieved its highest share of new paying subscribers in over two years between April and June 2025, while Netflix continued to innovate with live sports, a new partnership with NASA and long-term content aggregation strategies across Europe.The rise of ad supported tiers in Britain is accelerating too, with 37 per cent of new subscriptions in Q2 2025 being paid-for VoD services, compared to just 26 per cent a year ago. Overall, ad tier penetration rose to two in five (41 per cent) in the last quarter, up 4 per cent points from Q1 2025.Current trends suggest that households with access to ad-supported streaming services will outnumber those with ad free services by Q2 2026, marking a fundamental shift in the British advertising market.Prime Video leads this trend, with 83 per cent of total subscribers – the equivalent of almost 8 million households – now on the ad supported tier. Paramount+ also saw rapid adoption with the introduction of new lower priced tiers starting at £4.99 per month garnering interest. In just 12 months, Paramount+ doubled the proportion of its subscribers on ad tiering from 25 per cent to 49 per cent. In Britain, there are now a total of 21 million ad tier subscriptions, a growth of 41 per cent over the year.Insights from Worldpanel by Numerator discovered the following behaviours within the video on demand (VoD) market in Q2 2025:
- Paid video streaming subscriptions in Britain reached 19.9 million households in Q2 2025, an increase of 400,000 year-on-year.
- Disney+ captured 22 per cent of new paid subscriptions and the #1 spot for the quarter.
- Paramount+ also saw strong growth in the quarter with 11 per cent share of new paid subscriptions, accelerated by its new, lower-priced ad tier.
- 44 per cent of British households now have access to at least one ad tier streaming service, compared to 51 per cent that have ad-free paid services.
- Ad-supported subscriptions accounted for over a third (37 per cent) of new sign-ups, up from 26 per cent in Q2 2024.
- Pluto TV has faced challenges retaining viewers, while Samsung TV+ and Tubi continue to grow strongly.
- Netflix’s Adolescence was the most-watched title in Q2 2025, followed by the new season of Clarkson’s Farm on Prime Video and British crime thriller, Dept. Q.
Dominic Sunnebo, Commercial Director at Worldpanel by Numerator, commented: “The rise of ad supported streaming tiers reflects a broader shift in consumer behaviour as people become more willing to pay for ads that match compelling, unmissable streaming content. In many ways, it’s a full circle moment where the likes of Netflix, Disney+ and more are creeping closer to traditional broadcast TV.”“VoD services are doing a brilliant job of both diversifying their offerings and findings ways to tap into new audiences. Who would have thought 10 years ago that you’d be able to watch a live spacewalk on Netflix?”Disney+ secured 22 per cent of new paid subscriptions during Q2 2025, its highest share in more than two years. The second season of Andor and Season 21 of Grey’s Anatomy helped to secure 20 per cent of these new subscribers, but compelling promotional and partner activity was the main driver of growth in the quarter. Collaborations with Lloyds Bank, O2 and Tesco Clubcard, coupled with an attractive promotion of Disney+’s Standard with Ads tier for £1.99 a month for four months, proved highly effective.Adding to its momentum, Disney+ recently announced a partnership with ITV, marking a first-of-its-kind content-sharing deal with the traditional broadcaster that could boost growth further. The collaboration sees select programming shared across both platforms at no extra cost to viewers, with The Bear, Love Island and Andor now all accessible on both channels.Subscriber feedback from Worldpanel by Numerator’s Entertainment on Demand shows that Netflix continues to lead when it comes to ad experience, with the highest proportion of subscribers reporting satisfaction across metrics such as number of ads, length of ads and variation of ads. Disney+ follows closely, excelling in ad relevance. And whilst Paramount+ saw strong growth in numbers of ad tier subscribers, as few as 18 per cent of its subscribers are happy with the number of ad breaks per show.Sunnebo added: “While ad tiers help to provide additional revenue streams to VoD services, the experience of subscribers remains crucial to sustained long-term growth. Too many irrelevant ads can edge away at the experience and cause churn. But we’re seeing platforms like Netflix and Disney+ invest heavily in partnerships to find ways to make the overall viewing experience a memorable one.”Having already ventured into the live sports squared circle with the World Wrestling Entertainment (WWE), Netflix has now signed a major deal with leading French broadcaster TF1, allowing subscribers to access live content directly through the app. Netflix is also pushing the boundaries by announcing plans to live stream NASA space expeditions.These innovations are already yielding results in Britain, with one in ten new subscribers citing live sports content as a reason for subscribing. Netflix’s refusal to integrate fully into third-party platforms such as Apple TV is becoming increasingly apparent as well; the company is positioning itself as a leading content aggregator, rather than as a contributor. This strategy directly challenges Prime Video’s longstanding approach of integrating third-party channels into its ecosystem.
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