Culture secretary John Whittingdale told a media conference that if publishers cannot fund content through advertising, the content will “no longer exist.”
Mr Whittingdale, left, told the Oxford Media Convention that ad-blocking companies are “depriving many websites and platforms of legitimate revenue.”
Use of the software in the UK grew by 82pc last year and the top three ad-blockers on the App Store were downloaded nearly 175,000 times within one week of going on sale.
Regional publisher Newsquest is currently trialling a system whereby visitors to some of its websites cannot view stories if they are using ad blockers.
Trinity Mirror is also reported to have looked into ways of stopping online readers from using the software, although the company has not confirmed this.
Mr Whittingdale told the conference that ad-blocking now potentially posed a similar threat to that faced by the music and film industries 10 years ago as a result of online copyright infringement and illegal file-sharing.
He said mobile phone manufacturers were now integrating ad-blocking features into their browsers and some internet service browsers were beginning to do the same.
“Some of the ad-blocking companies are drawing up their own rules of acceptable advertising or offering to list providers in return for payment,” the Culture Secretary added.
“Many see such practices as akin to a modern day protection racket.”
Mr Whittingdale went on: “It is having an impact across the value chain, and it presents a challenge that has to be overcome.
“Because – quite simply – if people don’t pay in some way for content, then that content will eventually no longer exist. And that’s as true for the latest piece of journalism as it is for the new album from Muse.”
“The newspaper, music, film and games industry are all having to adapt to a world in which consumers are no longer as willing to pay as their parents were.”
“I am not suggesting that we should ban ad-blockers but I do share the concern about their impact. I plan to host a roundtable with representatives from all sides of the argument to discuss this in the coming weeks.”
The Newsquest trial means people using the software, which removes advertising links from web pages, are unable to view individual stories on some of its websites.
Instead, readers are confronted with a message explaining that the revenue from advertising funds local journalism and a guide to removing ad blockers.
National daily The Times claimed last year that Trinity Mirror was also exploring plans to prevent readers of its websites from using ad-blocking software although the company declined to comment on the reports.