05/12/2003

From April 2004, the UK Film Council will offer UK producers the opportunity to receive 5% of the money recouped by the UK FC’s New Cinema and Premiere Funds ‘from first dollar’, for reinvestment in development and production. .

The change in the guidelines was jointly agreed by the FC and the producers association PACT following a review of the Funds’ first three years of operation and in light of how the market has developed since 2000. Currently, the ‘producers' corridor’ on films supported by the UK FC only becomes accessible once the FC has recouped a certain level of its investment, but after April 2004, marking the start of the new financial year, they will be able to see quicker returns on their profits.

"We want to make the Lottery money work harder for the production sector”, said John Woodward, Chief Executive of the UK FC, “and by opening the door wider to producers, we hope to encourage the growth of sustainability within the sector. By simplifying the terms, we are accelerating the route for producers to benefit from the success of their films and to reinvest in their own businesses. In addition, producers are being given incentives - the more revenue returned from international distribution, the more revenue returns to the producer."

Ronnie Planalp, Director of Film for PACT, added:" PACT welcomes the commitment by the UK Film Council to give producers a corridor out of its recoupment for reinvestment in development and production. The idea of rewarding performance by channeling revenue back into UK production companies is central to PACT's view on how to build a sustainable film industry. This is the most market-driven way to ensure that success is rewarded." .