The document discusses sources of funding for the UK entertainment industry. The leading agency is the BFI, which utilizes funding from the National Lottery to invest over £26 million per year in developing and distributing British films. Other sources of funding mentioned include the BBC Films, Film4, and BFI Network. Government and EU funding have also supported the industry, with the UK receiving over £298 million from the EU in the past decade for cultural and creative projects.
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Prepare a presentation or a paper using research, basic comparative analysis, data organization and application of economic information. You will make an informed assessment of an economic climate outside of the United States to accomplish an entertainment industry objective.
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2. There are a number of sources of funding for the development and production of films in the
UK entertainment industry. The leading agency for funding films is the BFI (British Film
Institute) which is a charitable organisation that promotes and preserves film making and
television in the UK by providing a source of finance. The BFI was established to encourage
the development of film and entertainment and an appreciate the range of British cinema, it’s
heritage and history.
One method the BFI uses is the National Lottery. The money is used to fund new and
established filmmakers and creative documentaries across the UK to produce, develop and
complete their projects. Recently the BFI has invested over £26m of Lottery funds per year, not
just for the development but also the distribution of films in the UK.
3. ■ BFI Film Fund – Utilises the National Lottery in majority and minority co-
productions
■ BBC Films – finding and developing talent by collaborating with writers and
directors in the industry (networking)
■ Film4 – Invest £15m annually into developing and financing films for theatrical
release in cinemas and works with partners and other funders (e.g. direct line as a
sponsorship)
■ Development funding: BFI Network – supports talent development of new
filmmakers with annual budget of £3m
BFI methods of financing UK
entertainment
5. The creative industries - including film,TV,
music, fashion and design, arts, architecture,
publishing, advertising, video games and crafts
- are an undoubted strength of our economy;
indeed, they are at the heart of the nation’s
competitive advantage.
7. Change in GVA* 2010 to 2016
This chart shows the GVA (GrossValue Added) of the
Contribution made to the creative industries
8. Creative industries: Sector Deal 2018
The UK government and the creative industries sector agreed to a deal to help the growth
of creative businesses.The deal stated an investment of more than £150 million would be
made across the lifecycle of these businesses.
This funding would go towards technologies and content e.g. virtual reality, creative skills
via career programmes to open up more job opportunities for people of every background
and funding creative groups to compete globally.
Britain’s creative industries are worth £92 billion and employ 2 million people and are
continuously growing fast.The new cultural development fund will also mean cities and
towns having access to £20 million to invest in their creative industries.
Furthermore the sector deal also meant a plan to create a new London Screen Academy.
9. The UK’s multi-billion entertainment and media industry is set to grow into one of the largest
markets in Europe.The E&M sector is said to be worth £76 billion by 2021 according to PwC’s latest
Global entertainment & media outlook.
This will make the UK the second largest in the market in Europe after Germany. One of the
biggest revenue generator is consumer spending on internet access which should bring in the most
revenue from £13bn to £16bn by 2022.
Advertising revenue accounts for a quarter of total E&M revenue, along with internet advertising
spending growing over the years.
10. EU INVOLVEMENT
■ The UK film industry has received £298.4m from EU funding in the past 10
years according to the British Film Institute.This funding went to 1,766 UK
projects for cultural programmes and social fund support.
■ The UK organisations that benefitted the most were Artificial Eye, Soda
Pictures, Curzon FilmWorld and Northern Ireland Screen Commission.
■ The UK and the EU had collaborated on creative projects and research with
France, Germany and Spain being the most important partners.These
collaborations helped encourage more investments and stimulated job growth
for all participating countries.
11. EU INVOLVMENT EXAMPLES –THE KING’S
SPEECH
The UK Film Council invested £1
million inThe King’s Speech and is
believed to have a net profit position
as high as 34% in the film, which won
many BAFTA’S that year.
The King’s Speech had already made
over $235 million at the box office
worldwide before the Oscars.
The BFI reinvested the recoupment
from the King’s Speech into making
more British film, creating jobs and
supporting UK businesses.
12. EU INVOLVEMENT - PADDINGTON
Paddington was a British and French venture
produced by StudioCanal UK,TF1 Films
Production and Heyday Films.
The film was released in the UK with a £32.65
million budget. Paddington is the most
expensive film produced by the French
production company StudioCanal.
On its opening weekend in the UK it took in
£5.1 million. Paddington was part of the EU’s
programme for the audio-visual sector.
13. EU INVOLVEMENT –THE IRON LADY
The Iron Lady is a 2011 British-French biographical
Drama based on the life of MargaretThatcher.
The UK Film Council gave one of its last large-scale
donations toThe Iron Lady which was awarded £1m.
This donation was given while the culture secretary at
the time announced a disbanding of the body that funds
UK films.
The Iron Lady had a budget of £8.2 million
