An interesting posting on Cineuropa today about a new report commissioned by UK Film Council, Pinewood Shepperton plc, Framestore, Cinesite and Double Negative: ‘The Economic Impact of the UK Film Industry‘ from Oxford Economics.
Some headlines: The UK film industry contributes £4.5bn a year to the UK GDP and more than £1.2bn to the Exchequer. This is a figure worth waving around in front of the UK’s ‘Con-Dem’ coalition government as they start on a round of cuts throughout the UK public sector, including the UK Film Council which is already suffering from having funds diverted to the 2012 Olympics (tho’ reports do suggest that Danny Boyle will be offered the director’s role at the Opening Ceremony).
The report suggests that without the various tax relief (‘soft money’) schemes, the overall contribution to GDP would have been £1.4bn lower.
But out of that £4.5 billion a staggering £3.6 billion is Hollywood money expressed as ‘inward investment’ – showing how dependent the UK industry is on US funds.
On the other hand, the UK film industry workforce has been growing and recruiting more skilled workers, 58% of the workforce are now university graduates. In one sector, ‘film visual effects’, London now accounts for around 20% of the global market.