Pact Statement on the Independent Film Sector Following the Autumn Statement

The Autumn Statement is a missed opportunity for Ministers to remedy a clear market failure within the independent film sector.

The UK has a strong history of independent filmmaking from Trainspotting and Bend it Like Beckham to more recent successes such as The Favourite and Aftersun. However, investment into indie films has been in consistent decline and producers are finding it increasingly difficult to secure financing in a challenging market. Over the past few months, Pact has met with Ministers and other key officials and has made them aware that the sector is now at the point of market failure.

Earlier this year, Pact commissioned research which has been shared with the Government and is available today. This research clearly shows that there is a specific, measurable market failure for UK films with budgets under £15m and also shows the important role that low budget films have in discovering and launching the careers of key creative talent.

To address these issues and to stimulate investment into the sector, Pact has proposed an increase of 40% to the Film Tax Relief for films of a budget between £1 - £15m.

Pact CEO John McVay OBE said: “An increase to the Film Tax Relief of 40% would stimulate investment into the sector, create jobs and opportunities for new talent, which in turn would benefit the wider audiovisual economy.

“As the creative industries are one of the Prime Minister’s priority sectors for economic growth we urge the Government to not to miss this opportunity to grow a culturally and economically important part of the creative industries.”