Advertising behemoth WPP has cut its sales and profit margin forecasts as it continues to battle with “low growth” advertising markets.

The company has confirmed that like-for-like sales growth and operating margins will now fall in 2017, instead of the initial prediction of 1%, and 0.3% the firm predicted in August.

WPP’s chief executive, Sir Martin Sorrell, told the BBC: “Brexit in a way has actually stimulated our business. Clients, instead of investing in fixed capital are investing in variable costs [such as advertising] in an effort to stimulate growth,” before adding that the world was in a “new normal of low growth, low inflation and limited pricing power”.

Shares in WPP fell by 1% as news reached the City.

Morrell added that three major events could help with growth in 2018.

“Any further marketing investment reduction may well be countered by the mini-quadrennial events of 2018 – the Winter Olympics in South Korea; the FIFA World Cup in Russia; and the mid-term Congressional elections in the United States.”