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BFI RESEARCH AND STATISTICS PUBLISHED AUGUST 2016

THE UK FILM AS A WHOLE Image: Mr Holmes courtesy of eOne Films THE UK FILM MARKET AS A WHOLE

The UK is the third largest film market in the world, generating revenues in excess of £4.1 billion. In 2015, cinema-going remained the most significant component of the film chain, with revenues of over £1.2 billion.

FACTS IN FOCUS The total filmed market in the UK in 2015 was worth an estimated £4.1 billion, up from £3.8 billion in 2014.

Revenues across theatrical, digital video and pay TV were up compared with 2014, with pay TV increasing by 71%.

Gross revenues for UK film were an estimated £1,095 million, up from £836 million in 2014. Overall film revenues in the UK increased every year between 2006 and 2015, with the exception of 2014.

In 2015, the UK had the third largest filmed entertainment market in the world after the USA and , but is expected to be overtaken by in the next four years. THE UK FILM MARKET AS A WHOLE BFI Statistical Yearbook 2016 3

8 26 18 27 17 25 25 45 UK film as % of total gross

61 63 88 16 109 178 580 1,095 (£ million) 2015 to UK films Attributable

62 616 225 795 499 712 value 4,145 1,236 (£ million) Total gross Total

22 16 26 11 20 25 25 27 UK film as % of total gross

62 51 88 22 836 107 217 289 (£ million) to UK films Attributable

87 673 235 466 435 861 value 3,815 1,058 (£ million) Total gross Total 2014 Total Other multi-channel Terrestrial TV Terrestrial Pay TV Digital video Physical video retail Physical video rental Theatrical

The values are retail equivalent values calculated from the dataset of films shown on UK television. Values are estimated by multiplying are the dataset of films shown on UK television. Values equivalent values calculated from retail The television values are Television applicable to that channel (licence fee, subscription or revenue). of the total channel time by the total revenue the film share See Film on UK television report. pay TV and other multi-channel TV. values cover terrestrial, is based IHS estimates of the combined size of the television and online on-demand markets. UK share derived from are Digital video revenues in the pay TV and video markets. knowledge of UK film share on an estimate derived from margins, prints and advertising , DVD/video retail values and include distributor and exhibitor margins, VAT, gross The above values are sector and film investors. production to the film and multi-channel TV operator margins in addition to net returns broadcaster export revenues earned films. The table does not include revenues by film in the UK market, whether UK or foreign are shown here The revenues for UK film export revenues. See UK film economy report for the UK film . may not sum to totals due to rounding. Figures Source: comScore, BASE, Official Charts Company, Attentional, ONS, IHS, BFI RSU analysis Charts Company, BASE, Official comScore, Source: Notes: the calendar years 2014 and 2015 for all films exhibited in the UK. See in VAT) (including UK theatrical revenues ‘Theatrical’ is the total gross report. Box of transactions in the calendar the number etc) from (DVD, Blu-ray, physical video rental from is the estimated revenue ‘Physical video rental’ since the 2015 Yearbook. have been revised years 2014 and 2015. 2014 figures physical video report. transactions in the calendar years 2014 and 2015. See Film on physical video retail from is the total revenue ‘Physical video retail’ Table 1 UK filmed entertainment market, 2014 and 2015 1 UK filmed entertainment market, Table Gross revenues for UKGross for films revenues in were estimated 2015 to be £1,095 million, with the share British for films highest in thetheatrical market (45%), by followed terrestrial TV (27%) and physical video rental and retail (both with 25%). In 2015, theatricalIn 2015, were the revenues the significant most of filmcomponent value chain in the UK. As the 1 shows, box officeTable 30% for accounted the of total market value (£1,236 million) in 2015, withcompared 28% (£1,058 million) from Revenues theatrical, in 2014. digital video TVand pay were up while those 2014, fromon physical video rental and retail, terrestrial and multi-channel TV were down. TVPay recorded the revenues largest increase, with a rise in value from £466 million to £795 million and an increase in overall market share from 12% to 19%. be that the (It should noted majority all of television accrue revenues to the television industry rather than to thefilm.) suppliers of THE UK FILMED ENTERTAINMENT MARKET AS A WHOLE MARKET FILMED ENTERTAINMENT THE UK 4 BFI Statistical Yearbook 2016 THE UK FILM MARKET AS A WHOLE 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 show that, again with the exception of exception 2014, the revenues have with plateaued period. again show the over that, figures the 2), (Figure adjusted if for inflation figures; actual the 1are The Figure in revenues shown Figures maynotsumtototalsduerounding. 2012-2014 figures fordigitalvideorevised since the2015Yearbook. 2014 figure forphysicalvideorental revised sincethe2015Yearbook. total. ‘Film ontelevision’coversterrestrial, payTVandothermulti-channel.On-demandtelevision-basedservicesare includedwithinthedigital video Notes: Source: comScore, BASE,Official ChartsCompany, Attentional,ONS,IHS,BFIRSUanalysis £ million Figure 1Gross film revenues, allplatforms,2006-2015 2014, of in just under 9%. increase an billion £3.8 from billion £4.1 to 2015, in rising again increased revenues Overall markets. retail and rental video physical of value the the in compensating for adecline revenues video digital and television theatrical, increased with steady was growth 2013, there of exception 2014. the 2015, and Up to with 2006 between year every revenues increased film Aggregate THE EVOLUTIONOFUKFILMREVENUES,2006-2015 Total Filmontelevision    Theatrical 500 Digital video Physical videoretail Physical videorental 0 2006 3,537 1,066 1,302 340 762 67 2007 3,625 1,440 994 295 821 75 2008 3,756 1,067 1,454 101 284 850 2009 3,767 1,108 1,311 119 285 944 2010 3,836 1,173 1,267 130 278 988 2011 4,014 1,398 1,165 1,040 149 262 2012 4,014 1,491 1,099 234 968 221 2013 4,063 1,557 1,083 338 940 146 2014 3,816 1,374 1,058 436 861 87 2015 4,146 1,637 1,236 499 712 62 THE UK FILM MARKET AS A WHOLE BFI Statistical Yearbook 2016 5 62 712 499 1,236 1,637 4,146 2015 87 863 438 1,061 1,377 3,826 2014 149 960 345 1,106 1,590 4,149 2013 231 244 1,145 1,008 1,553 4,180 2012 277 158 1,101 1,233 1,480 4,249 2011 300 140 1,068 1,369 1,267 4,145 2010 317 133 1,052 1,461 1,234 4,197 2009 966 322 115 1,653 1,213 4,269 2008 88 960 345 1,684 1,163 4,240 2007 81 917 410 1,566 1,282 4,255 2006 0 Digital video Physical video rental Physical video retail 500 Theatrical  Film on television   Source: comScore, BASE, Official Charts Company, Attentional, ONS, IHS, BFI RSU analysis Charts Company, BASE, Official comScore, Source: Notes: which can be found at https://www.gov.uk/government/statistics/gdp-deflators-at-market- deflated by the UK GDP deflator, Actual revenues prices-and-money-gdp-march-2016. included in the digital video are On-demand television-based services other multi-channel TV. pay TV and ‘Film on television’ covers terrestrial, total. may not sum to totals due to rounding. Figures Figure 2 Gross inflation-adjusted film revenues, all platforms, 2006-2015 (expressed in 2015 pounds) in (expressed 2006-2015 all platforms, revenues, film inflation-adjusted 2 Gross Figure 2015 £ million

THE UK FILM MARKET IN THE GLOBAL CONTEXT According to the PricewaterhouseCoopers’, in Global Entertainment and Media Outlook 2016-2020 the 2015 UK the had third largest filmed entertainment market in after the world the USA and China. USA , the with of world 37% for China nextaccounted and The the 8.7% accounting UK for 7.0%. for largest countries in terms (6.9%), market share of were Japan and (3.6%). (4.1%) Total 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 6 BFI Statistical Yearbook 2016 THE UK FILM MARKET AS A WHOLE Other LatinAmericacomprisesArgentina,,,Peruand . South AfricaandtheUnitedArabEmirates. Middle EastandAfricacomprisesAlgeria,,,, , ,,, ,,, SaudiArabia, EuropeOther CentralandEastern comprisesCzech Republic,, ,,RomaniaandTurkey. Other AsiaPacificcomprisesIndonesia,NewZealand,,, , ThailandandVietnam. Other Western comprisesAustria,,,,, Republic ofIreland, , ,SwedenandSwitzerland. spending. sell-through andrental ofphysicalhomevideo,andsubscriptiontransactionalrevenues from electronic homevideo;itisfrom ’includesbothelectronic andphysicalhomevideooffilms,TVprogramming andotherpremium videocontent.Revenuecomprises ‘Cinema’ comprisesbothboxoffice andadvertising. filmed entertainmentrevenues are nowcalculateddifferently. own. Thebreakdown ofsectorsbysegmentsinthecurrent GlobalEntertainmentandMediaOutlookdiffer from thoseusedinprevious years; Global EntertainmentandMediaOutlook,2016-2020,www.pwc.com/outlook, however, somecalculationsandcategorisationofregions are our Information containedinthistablewastakenfrom segmentofthePwC sectionoftheTVandVideo theCinemasegmentandHomeVideo Notes: Source: PwC,GlobalEntertainmentandMediaOutlook2016-2020,www.pwc.com/outlook Table 2Filmedentertainmentrevenues bycountry/region, 2015 USA Country/region China UK Japan Other WesternEurope Germany France Other AsiaPacific Other Central and Eastern EuropeOther CentralandEastern Other LatinAmerica Taiwan Middle EastandAfrica Total US$ million US$ 31,529 85,273 7,434 5,936 5,887 3,983 3,532 3,086 2,884 2,255 2,020 1,790 1,631 1,600 1,549 1,419 1,387 1,249 1,210 1,137 1,031 853 701 646 524 100.0 37.0 8.7 7.0 6.9 4.7 4.1 3.6 3.4 2.6 2.4 2.1 1.9 1.9 1.8 1.7 1.6 1.5 1.4 1.3 1.2 1.0 0.8 0.8 0.6 % THE UK FILM MARKET AS A WHOLE BFI Statistical Yearbook 2016 7 % 0.5 0.7 0.7 1.0 1.1 1.3 1.4 1.5 1.6 1.9 1.9 1.9 1.9 1.9 2.5 3.0 3.1 3.2 3.3 4.1 5.4 6.0

17.8 32.4

100.0 536 714 774 1,046 1,177 1,386 1,433 1,565 1,622 1,944 1,947 1,974 1,977 1,987 2,606 3,137 3,232 3,326 3,489 4,231 5,674 6,232 18,532 33,778 104,319 US$ million

Total Hong Kong Malaysia Netherlands Spain Taiwan Russia Middle East and Africa Italy Mexico Brazil Other Latin America South Korea Other Central and Eastern Europe Other Asia Pacific Australia France Germany Canada India Other Western Europe UK Japan China USA Country/region PwC, Global Entertainment and Media Outlook 2016-2020, www.pwc.com/outlook Source: Notes: the Cinema segment and the Home Video section of the TV and VideoInformation segment of the PwC table was taken from contained in this www.pwc.com/outlook, however, some calculations and categorisation of regions are are some calculations and categorisation of regions however, Global Entertainment and Media Outlook, 2016-2020, www.pwc.com/outlook, our own. may not sum to 100 due to rounding. Percentages 2. See notes to Table for 2020 forecast by country/region, 3 Filmed entertainment revenues Table According to PricewaterhouseCoopersforecasts, the USA and China will two top remain the world’s markets filmed for entertainment over the next years four (although the USA will lose significant share to China), will Japan but overtake the UK to become the third largest 3). market (Table India is expected to rise significantly in the rankings in terms market share, moving of from 10th to sixth. place Four territoriesother 10 top will drop in the rankings; France and Germany will fall by two while places, Canada and Australia will fall place. by one Research & Statistics Unit 21 Stephen Street, London W1T 1LN bfi.org.uk/statistics