Costs and pricing
Part of UK podcast sponsorship rates: what to pay per episode
UK podcast sponsorship rates: what to pay per episode
How UK podcast sponsorship rates work: downloads, CPM bands in pounds, VAT, ASA disclosure rules and a worked per-episode price example for brands.
What to take away
- UK podcast sponsorship is usually priced per thousand downloads, so your cost depends on the figure the host can evidence.
- Quotes mix a fixed production fee with a CPM element, which is why two similar shows can quote very differently.
- Paid sponsor credits must be identifiable as advertising, and the CAP Code applies to podcasts.
- Sponsorship income is taxable, and hosts must register for VAT once turnover passes the threshold.
- Compare deals on effective cost per thousand rather than headline price, because bundles change the maths.
How UK podcast audiences are measured
RAJAR is the UK's official audience measurement body for radio and audio. Its main listening figures are published quarterly, and its MIDAS research covers podcast and on-demand audio separately from that radio currency.
Radio vs podcast measurement
RAJAR radio
- What it counts
- Quarterly listening
- Reporting window
- Quarterly survey
- Buyer trust
- Official currency
- Source
- RAJAR and MIDAS
Podcast downloads
- What it counts
- File downloads
- Reporting window
- 7-day or 28-day
- Buyer trust
- Routinely discounted
- Source
- Platform dashboard
That distinction matters when a host quotes audience size, because a radio figure and a podcast download figure are not the same thing.
Downloads are the working currency instead. A download is not a listener: someone may download an episode and never play it, while another may play the same file twice. Ask which reporting window the figure covers, because 7-day and 28-day totals are not comparable.
Where a host quotes reach, ask whether it comes from a platform dashboard or a third-party measurement vendor. Platform dashboards count downloads, not verified humans, and buyers routinely discount them.
What moves a UK podcast CPM
The audience's commercial value matters more than its size. A show with 3,000 downloads of finance directors will usually command a higher CPM than a general interest show with ten times the audience.
What pushes a CPM up
- Finance director audiencehigh CPM
- General interest audiencelow CPM
- Host-read mid-rollcosts more
- Pre-recorded pre-rollcosts less
- Exclusivity and lock-outsrate up
- Series commitmentrate up
Slot position changes the price. A host-read mid-roll, recorded in the presenter's own voice, generally costs more than a pre-recorded pre-roll dropped into the file.
Exclusivity, category lock-outs and series commitments all push the rate up. A sponsor asking for sole representation in its sector for three months is buying inventory the host cannot sell to anyone else.
Building a per-episode quote
- Agree the download figure and the reporting window in writing before you discuss price.
- Price each slot separatelypre-roll, mid-roll and host-read credits are different products.
- Add a production fee if you want a bespoke read rather than a supplied script.
- Multiply the agreed CPM by downloads in thousands, then add the fee and any extras.
- Check commission, payment terms and exclusivity before signing anything.
Worked example: pricing one episode
Take a UK interview show with 8,000 downloads an episode and an agreed CPM of £18. The media element is 8 x £18, so £144. Add a £250 host-read fee and the episode costs £394 before agency commission. A ten-episode series comes to £3,940.
| Show profile | Downloads per episode | Assumed CPM | Read fee | Episode cost |
|---|---|---|---|---|
| Niche B2B show | 2,000 | £25 | £150 | £200 |
| Mid-size interview show | 8,000 | £18 | £250 | £394 |
| Large general interest show | 40,000 | £12 | £400 | £880 |
The bands above are illustrative planning figures, not published market data.
It is worth comparing pricing tools before a series deal, because the same CPM produces very different totals across a five-episode and a twenty-episode run.
Disclosure, VAT and the paperwork
The advertising codes published by the Advertising Standards Authority apply to podcast sponsor credits, so a paid read must be identifiable as advertising.
Hosts selling sponsorship are trading, so the income is taxable and must be reported. Once turnover passes the VAT registration threshold, sponsorship fees normally carry VAT at the standard rate of 20%, and the host must register for VAT with HMRC.
Rates also drift with costs. Review your card once a year and use the inflation and price indices published by the ONS to see how far production and marketing costs have moved.
Negotiation often matters more than the opening card. Where a sponsor wants a long series, agree the price on a small first run and negotiate sponsorship rates before you discuss bonus episodes.
Common questions
What is a typical CPM for UK podcast sponsorship?
There is no single published UK benchmark, because deals are private and audiences differ by sector. The useful test is whether the CPM is defensible against what your category will pay for those particular listeners.
Do podcast sponsorship rates include VAT?
It depends on the quote. Check whether the figure includes VAT, and confirm whether the host is registered, because a registered host must add VAT at the standard rate of 20%.
How much should a small UK podcast charge per episode?
Start from the downloads you can evidence and the slot you are selling, not from what larger shows charge. A show with 1,500 downloads and a £20 CPM earns £30 of media revenue per episode, so a fixed read fee usually matters more at that scale.
Does a podcast sponsor credit have to be labelled?
Yes. A paid-for placement must be identifiable as advertising, and a passing mention in the introduction is not enough on its own.
