The Directors UK Blanket Agreement, which governs the conditions of engagement of directors on productions commissioned by UK broadcasters has been updated following months of negotiations between Pact and Directors UK (DUK).
Key
Changes
DUK had requested sizeable increases on the commercial fees paid on productions commissioned by the Public Service Broadcasters (PSBs) and Sky, but through our negotiations we have been able to maintain them at the current level so as not to over-burden production budgets, which are already severely challenged.
The commercial fee will now clear a producer’s exploitation of a programme for seven years. In year eight, if the programme is in profit and therefore fully recouped, a 3% share of net revenue will be payable to DUK. This net share is paid after deduction of distribution commission, distribution costs and other talent pay-aways.
For example, after the pay-aways, if the producer has £1000 of income on a BBC commissioned programme, the BBC will receive £100 (10% of Net Receipts under the Terms of Trade) , DUK will receive £30 (its 3% share), and the producer will receive the balance, i.e. £870.
There is no need for producers to reflect the 3% share in individual contracts with directors because it will be contained in the collective agreement.
If a producer has agreed a share of revenue with a director on a programme, then the 3% net revenue share will not apply unless that deal for a share of revenue is less favourable than receiving the 3% net payable from year eight.
The current exemptions to the DUK commercial fee (and now the revenue share) will continue to apply.
The Agreement is effective from 1st July 2025 (i.e. immediately following the date the previous DUK Agreement expired) and will apply to all new and returning productions commissioned by UK broadcasters from that date on. It will next be reviewed in 2028.
Pact Member
Resources
The updated Directors UK Blanket Agreement will be added to the Pact Resource Hub soon and we will inform members when it is available.
If you have any queries about the updated agreement, please contact our Senior Business Affairs Executive, Conrad Mewton: [email protected].