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British films beat the economic gloom

Damon Wake
Wednesday 21 January 2009 01:00 GMT
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British films accounted for 31 per cent of cinema takings in 2008, the second highest in a decade. And while it was a record year for box-office receipts, foreign investment was down significantly, in a mixed year for the domestic film industry.

The UK Film Council said cinema-goers in the UK and Ireland spent £949.5 million last year, up 5 per cent from 2007 and the highest box office receipts since records began in 1989.

The three biggest-grossing films of the year, Quantum Of Solace, Mamma Mia! and The Dark Knight, were made with significant British involvement. But overseas investment in film-making in the UK fell by more than a third: down from £523m in 2007 to £338m.

This was partly due to filming being halted because of the US writers' strike, and the exchange rate played a role, the council said, with sterling's strength in the first half of the year making it expensive for US studios to invest in the UK. The collapse of the pound in the second half of the year may attract investment from across the Atlantic.

Spending on films made by UK production companies rose in 2008, but John Woodward, the UK Film Council's chief executive officer, is predicting a tough year ahead. He said: "This year has had a great start for British films and talent at the awards ceremonies. But we will begin to see the economic situation take a toll on independent British movies."

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