15/04/2025 - The British Film Commission has commented on the governmental analysis that delves into the state of the sector’s economy

Adrian Wootton, chief executive of the British Film Commission (© Film London)

The Culture, Media and Sport Committee of the House of Commons has recently published a report titled “British Film and High-end Television”, which addresses a wide range of issues concerning the British screen industry, discussing various topics from tax credits to artificial intelligence, as well as from the impact of the British Film Institute (BFI) to bullying and harassment in the workplace.

The report opens by examining the concept of a “British film”, noting that while a few successful co-productions with the USA have performed well, the reality for independent filmmaking in the UK remains fragile. In 2024, domestic films accounted for just 9% of total spend on film production in the UK, and only 6.9% of gross box-office revenue was generated by UK independent films. This prompted government intervention in the form of the Independent Film Tax Credit, which was announced in 2024. It offers a 53% Audio-Visual Expenditure Credit (AVEC) – equivalent to around 40% in relief – for UK theatrical films with budgets of up to £15 million, and tapered relief for productions up to £23.5 million. To qualify, movies must involve a UK writer or director, or be certified as an official UK co-production.

However, the committee concludes that this measure is not a solution to all problems. Without further support, producers will continue to face challenges in development and financing. The committee recommends increasing the budget for the UK Global Screen Fund, in line with the BFI’s Spending Review bid, to enhance certainty and return on investment. It also urges the government to seek re-entry into Creative Europe as an associate member during the 2026 Review of the Implementation of the UK-EU Trade and Cooperation Agreement, as the withdrawal from the programme has caused a gap that still needs to be filled.

The report also highlights the importance of high-end television (HETV), which is currently the main driver of the UK’s screen industries. In 2024, HETV contributed £3.4 billion (61% of total spend), compared to £2.1 billion for film production. However, domestic HETV is in decline: 2023 saw a 27% drop in the number of UK-made domestic HETV productions and a 25% decrease in spending. The challenges facing this sector echo those affecting independent film: difficulties in securing budgets, falling revenues and rising costs. “Culturally, British domestic HETV is vital to the UK’s identity, national conversations and talent pipeline, but it is under threat,” the report states.

Commenting on the report, Adrian Wootton OBE, chief executive of the British Film Commission (BFC), said: “There’s a lot to welcome in today’s report, not least the recommendation to increase funding for the UK Global Screen Fund and support for the BFI Certification Unit. But it is essential that the importance of inward investment – to which the SVoD [platforms] are key contributors – is not underestimated. Inward investment – which reached £4.7 billion last year – is the single biggest thing that has boosted growth in our industry and has spread those benefits across the UK. Productions like Outlander in Scotland, Young Sherlock in Wales, Game of Thrones in Northern Ireland and Adolescence in Yorkshire have brought jobs to local crews and spending to local areas. That investment in film and HETV is vital to keep our film and TV industry not just alive, but also kicking, in an increasingly competitive market. Of course, it should be one component amongst many in a wider UK production ecosystem, but our focus shouldn’t be at the expense of inward investment, and we remain extremely cautious of any measures that risk making us anti-competitive, especially given the current global market turbulence.”

Wootton went on to discuss other oversights in “British Film and High-end Television”: “The report is also surprisingly silent on the vital importance of production support provided by the BFC and our national and regional partners, truly making the UK the best place in the world in which to produce film and television. In particular, we question the report’s tone regarding streamers’ and studios’ investment in skills training throughout the UK. Far from ‘hiding’ or shirking the need to invest in UK skills, they have been proactive and willing partners in skills training. For example, collectively, the members of the UK Screen Sector Skills Task Force invested over £100 million in skills development in 2022 – more than the 1% of production budgets recommended by the BFI Skills Review. That’s not to mention substantial additional investments in sustainability measures across productions, and initiatives to broaden inclusivity in our sector.

The full report is available here.