New Pact report and films highlight importance of direct public funding across the UK 

Pact has today published a report looking at the importance of direct public funding to film and TV productions and to local economies around the UK. In addition, Pact has released six short films to showcase the great film and TV work going on across the UK, highlighting the benefits that direct public funding can bring and the opportunity loss that exists without it. 

The films cover Scotland, Northern Ireland, Wales, The North (encompassing the North East, North West and Yorkshire), West Midlands and South West, and the South and East (outside of London) and were produced by Norwich-based production company, Eye Film. 

Importance of direct public funding

Direct public funding is important to the film and TV production industry, local economies and the UK economy as a whole.  

It can help to unlock subsequent funding from other sources including private investment, leading to longer term sustainable productions. Particularly for productions with smaller budgets and without major studio backing, the report (prepared for Pact by Alma Economics) found that securing direct public funding is often a necessary first step in financing for a film or television production, giving other financiers – such as broadcasters and distributors, amongst others – the confidence to invest. 

This supports additional film and television production spend, which generates direct GVA and employment in the UK on these productions. This in turn supports increased economic activity through supply chains, as well as underpinning the wider film and television value chain (including distribution, exhibition, video on demand, etc). 

It also contributes towards local jobs and training new talent.  

The report found that every £1 of direct public funding supports around £4.60 of total GVA across the film and television full value chain. Additionally, of £258m of supported film and television spend, around £190m - 74% - is estimated to remain in the UK.  

What is available and where?

However, the report found that the availability of public production and development funds is not spread evenly across the UK. 

The research identified 30 relevant sources of direct public funding for film and television productions across the UK, largely supporting production and development. Most funds offered support to productions in specific regions or nations, with those offering UK-wide funding primarily administered by the BFI.  

Northern Ireland was found to be an outlier, investing the most of any nation in direct public funding, equating to over £13.60 invested per capita, compared to England which invested £0.10 per capita. In the South and East of England there is no direct public funding available at all. 

Recent projects supported by direct production funds include the BAFTA-winning Irish-language film Kneecap supported by Northern Ireland Screen, the recently aired ITV mini-series Out There set in rural Wales and supported by Creative Wales and the HBO mini-series The Regime, supported by Screen Yorkshire. 

New negotiated funds

As direct public funding becomes an increasingly important part of finance plans across all genres, the terms and conditions of it also become much more important. The report’s analysis suggests that the majority of direct public funding spend is awarded to scripted film and television productions rather than unscripted content.  

Pact is currently engaging with screen agencies to help with the development of funds across the country and is calling on policymakers to develop: 

• Production funds which are open to all genres; 

• IP funds to help producers to compete in the global IP market; and 

• Export strategies to provide producers with a route to international markets. 

Pact CEO John McVay OBE, said: “The report provides a thorough evidence base of what direct public funding is available across the UK and highlights the postcode lottery that exists. That is bad for Pact members, bad for opportunities and bad for economic growth across the UK. Without this funding, it will be much more difficult to produce sustainable productions around the UK.” 

Pact Chair, and CEO of Raise The Roof Productions, Jane Muirhead, added: “It’s crucial that the screen agencies provide effective and targeted support to facilitate strategic growth and build the talent pipeline. This will enable companies to develop and produce returnable high quality productions, and allow people to forge careers and prosper in the nations and regions of the UK.” 

Ends.