The IPA said that media budgets were revised down while sales promotion budgets also fell. However, direct marketing and internet budgets increased during the period.
Some 20 per cent of clients participating in the survey reported a decrease in marketing spend against 15 per cent who reported an increase.
The report concluded: "Whilst marketing spend is still set to increase for 2010, it is unlikely to rise at the pace expected at the start of the year, and the latest findings suggest that the UK economy is now entering a phase of slower growth."
Rory Sutherland, the IPA president and vice-chairman of Ogilvy Group UK, said "Though this indicates a less optimistic picture than previously thought for this year, marketing spend is still set to increase."
The Bellwether Report features data from a panel of around 300 UK marketing professionals.