£6 billion generated by UK screen industries
by Naman Ramachandran
- The creative-sector tax reliefs are stimulating growth, says the report
Government support for the UK’s screen industries in the form of the creative-sector tax reliefs is stimulating business growth and giving a return of more than £6 billion a year for the UK economy, according to “The Economic Contribution of the UK’s Film, High-end TV, Video Games and Animation Programme Sectors”, a report produced by analysts Olsberg•SPI and Nordicity, and commissioned by the British Film Institute, Pinewood Group plc, the British Film Commission, UK Interactive Entertainment (Ukie) and Pact. The report states that UK film has seen significant growth with the introduction of the 2007 Film Tax Relief, which costs the Treasury approximately £164 million a year and supports an annual average production spend on film in the UK of £1.136 billion. Without the Relief, it is estimated that the spend on film production in the UK would be £550 million lower annually.
For the first time, the report, which is updated every two years, has been expanded to cover high-end television production, video games and TV animation programmes. The revenue from high-end television productions is £249 million, £429 million from video games, and £52 million from animation programmes. In addition, job creation, ancillary sales and the knock-on effect of culture tourism make up the £6 billion figure.
Culture Secretary Sajid Javid said, “We’re determined to cement the UK’s position as the best place in the world to create and shoot film, TV, animation and video games. The tax reliefs we’ve put in place are a key part of our long-term economic plan, and it’s fantastic to see the huge boost they've delivered to this highly creative and dynamic sector.”