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Public Investment in Film in the Uk Contents PUBLIC INVESTMENT IN FILM IN THE UK CONTENTS Facts in focus....................................................................................................................................................................... 03 Public funding for film in the UK by source .......................................................................................................................... 04 Spend by agency ................................................................................................................................................................ 06 Activities supported by public spending on film .................................................................................................................. 07 Spend across the UK nations .............................................................................................................................................. 08 Creative Europe investment in the UK ................................................................................................................................. 09 BFI Lottery awards 2018 ...................................................................................................................................................... 10 Leading public investors in British film production, 2016-2018 ............................................................................................. 11 Cover image: Misbehaviour courtesy of Pathé UK 2 Facts in focus PUBLIC FUNDING FOR FILM IN THE UK Total estimated public funding available for film in the UK in2017/18 was £634 million, an increase of 9% from £582 million in 2016/17. 2016/17 2017/18 National Lottery £60m National Lottery £61m DCMS grant-in-aid £29m DCMS grant-in-aid £26m Other sources £78m Other sources £78m HMRC (film tax relief)£415m HMRC (film tax relief)£469m ACTIVITIES SUPPORTED BY PUBLIC FUNDING FOR FILM IN THE UK 2016/17 2017/18 Production £490m £548m Distribution & exhibition £55m £70m Training & skills £24m £26m Other activity £66m £50m % 0 10 20 30 40 50 60 70 80 % 0 10 20 30 40 50 60 70 80 In 2017/18, 86% of investment in film production came from the film production tax relief, up from 85% in 2016/17. SPEND ACROSS THE NATIONS For both 2016/17 and 2017/18, in cash terms funding dedicated solely to film activity in the individual nations of the UK was greatest in England but per capita investment was highest in Northern Ireland. 30 30 2016/17 2017/18 20 20 Total dedicated investment, £ million 10 £ per head 10 of population 0 0 England Northern Scotland Wales England Northern Scotland Wales Ireland Ireland 3 Public investment in film in the UK PUBLIC FUNDING FOR FILM IN THE UK Investment from Arts Council England (ACE) in 2017/18 BY SOURCE was £8 million. (This is a substantial decrease from funding of just over £13 million in the previous financial Table 1 outlines the estimated levels of available public year, but is still up from the £4.7 million reported for funding for film in the UK from 2015/16 to 2017/18. (The 2015/16). ACE funding includes National Portfolio figures do not include some types of local authority, investments into organisations and venues which form research council, higher or further education funding.) part of the national infrastructure for the arts (this element is relatively unchanged from 2016/17) alongside project The total public funding available for film in 2017/18 is awards from Grants for the Arts and other schemes (the estimated to have been £634 million, up from £582 million level of successful moving image project applications to in 2016/17. The largest single source of public funding in these selective schemes varies substantially from year the year was the UK film tax relief, which provided to year). £469 million (74% of the total). This was followed by the National Lottery (£61 million; 10% of the total) and grant- The European Union (EU) provided investment of £5.4 in-aid (£26 million; 4% of the total) from the Department million for UK film activity, of which £4.4 million came from for Digital, Culture, Media and Sport (DCMS) to the BFI Creative Europe’s MEDIA sub-programme in 2017 (see and the National Film and Television School (NFTS). note to Table 1) and £1 million was via the structural funds Funding from DCMS in 2017/18 was lower than in the in 2017/18. Investment from these funds, which include previous two financial years, which accords with a the European Regional Development Fund and European broader decrease in UK government grant-in-aid Social Fund, increased compared with 2016/17 investment. (£0.5 million) but was substantially down from £7.6 million in 2015/16. This reflects a general decline in investment Publicly owned national broadcasters and their film arms from EU structural funds across the UK’s screen sectors. also made substantial investments: Film4/Channel 4 provided funding of just over £25 million for UK film in 2017/18, while BBC Films/BBC provided funding of £11 million. Image: Peterloo courtesy of eOne Films 4 Table 1 Public funding for film in the UK by source, 2015/16 - 2017/18 (ranked by 2017/18 spend) 2015/16 2016/17 2017/18 Agency £ million % £ million % £ million % National Lottery Distribution Fund1 75.4 14.4 59.6 10.3 60.7 9.6 DCMS grant-in-aid 26.4 5.0 28.5 4.9 26.1 4.1 Film4/Channel 42 26.1 5.0 25.7 4.4 25.4 4.0 Northern Ireland Executive 13.0 2.5 11.4 2.0 13.7 2.2 BBC Films/BBC3 10.5 2.0 10.4 1.8 11.3 1.8 Arts Council England (ACE)4 4.7 0.9 13.1 2.3 8.0 1.3 European Union (EU) MEDIA sub-programme5 3.8 0.7 4.0 0.7 4.4 0.7 Scottish Government 5.1 1.0 3.9 0.7 3.9 0.6 Welsh Government 3.1 0.6 3.2 0.6 3.5 0.6 Higher education funding6 1.8 0.3 2.7 0.5 2.7 0.4 Local government7 0.2 <0.1 2.1 0.4 2.4 0.4 Foreign and Commonwealth Office 1.5 0.3 1.3 0.2 1.1 0.2 Other EU8 7.6 1.5 0.5 0.1 1.0 0.2 Department for International Trade 0.4 0.1 0.2 <0.1 0.2 <0.1 National/regional development agencies 1.7 0.3 0.1 <0.1 0.1 <0.1 Department for Business, Energy and Industrial Strategy 3.3 0.6 <0.1 <0.1 <0.1 <0.1 Other public sector9 0.1 <0.1 <0.1 <0.1 <0.1 <0.1 Total public sector selective investment10 184.7 35.3 166.7 28.7 164.7 26.0 UK film production tax relief 338.4 64.7 414.9 71.3 469.0 74.0 Total public sector selective and automatic 523.1 100.0 581.6 100.0 633.7 100.0 Source: Named funding sources, Creative Cultural Associates analysis Notes: 1 Allocations to BFI, Creative Scotland, Northern Ireland Screen, Ffilm Cymru Wales and Heritage Lottery Fund awards to film projects. 2 Includes Film4’s production investment and Channel 4 investment in NFTS. 3 Includes BBC Films’ production investment and BBC investment in the NFTS and film production schemes. 4 Includes ACE National Lottery investments (for example from Grants for the Arts) into moving image projects, plus National Portfolio Organisation investments attributable to film and the moving image, based upon ACE calculations. 5 The figures are for calendar years 2015-2017 and cover film investments only; they do not include the awards to non-British sales agents and distributors handling UK film exports to the EU reported in Table 2. Data provided in Euros and converted to British pounds. Exchange rates: 2015 €1= £0.85; 2016 €1= £0.88; 2017 €1=£0.89. 6 This comprises Higher Education establishment-derived support for film archives and the National Film and Television School. It does not include payments from educational funding councils to other film courses (film studies, etc.) in higher or further education. 7 Investment by local authorities in regional film archives, Creative England, Screen South and Northern Film + Media. 8 European Social Fund, European Regional Development Fund. 9 Very small awards (under £10,000) from a range of public sector agencies, mainly made to national/regional screen agencies. 10 Does not include transfers to and from reserves or earned/self-generated income. Figures/percentages may not sum to totals/sub-totals due to rounding. 5 SPEND BY AGENCY As in previous years, HMRC was the largest net spender on film in 2017/18 (£469 million for film tax relief), followed by the BFI (£100 million), Film4/Channel 4 (£25 million) and the NFTS (£15.2 million; this figure includes capital expenditure and income from student grants). Table 2 Net film spend by agency, 2017/181 £ million % HMRC 469.0 67.6 BFI 100.0 14.4 Film4/Channel 4 25.0 3.6 NFTS 15.2 2.2 Northern Ireland Screen 14.5 2.1 Scottish agencies2 11.6 1.7 BBC Films/BBC3 11.0 1.6 EU MEDIA sub-programme4 9.7 1.4 ACE5 8.0 1.2 Into Film 6.3 0.9 Welsh agencies6 5.5 0.8 Film London 5.8 0.8 Creative England 4.1 0.6 Screen Yorkshire, Screen South and Northern Film + Media 2.2 0.3 Creative Skillset7 2.2 0.3 English regional film archives8 1.9 0.3 British Council 1.1 0.2 Heritage Lottery Fund 0.4 0.1 Total public agencies9 693.6 100.0 Source: Named funding sources, Creative Cultural Associates analysis Notes: 1 Net spend means spend after deducting grants and awards to other organisations in this table. Figures are presented net to avoid double counting. Spend includes earned/self-generated income, commercial sponsorship, grants from trusts and foundations and transfers from reserves as well as income derived from public sector sources. 2 Includes film expenditure on the part of Creative Scotland and the National Library of Scotland Moving Image Archive. ³ Investment for the calendar year 2017. 4 Includes £5.3 million granted in support of UK films exported to the EU through schemes providing grants to non-UK distributors and sales agents handling British titles.
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