UK film's economic impact

2012 study by Oxford Economics estimates that the core UK film industry is a substantial industry, directly generating 43,900 full time equivalent (FTE) jobs and contributing £1.6 billion to national GDP.

In employment terms, the industry is larger than fund management and the pharmaceutical manufacturing sector. Furthermore, the overall trend is very positive with employment increasing since 1995, mirroring film production levels (particularly inward investment).

Overall, when considering the film industry’s procurement, spending effects from those directly and indirectly employed and its contribution to UK tourism, trade and merchandise sales, the core UK film industry supported a total of 117,400 FTE jobs, contributed over £4.6 billion to UK GDP and over £1.3 billion to the Exchequer (gross of tax relief
and other fiscal support) in 2011.

The report looks in detail at:

  • direct impacts of the core UK film industry, particularly employment and GDP.
  • multipliers and linkages with other Creative Industries anad discusses the multiplier impacts of the core UK film industry
  • the international contribution of the core UK film industry in terms of exports and the wider promotion of the UK.
  • the stimulus provided to the core UK
  • the productivity of the core UK film industry and related indicators such as average wages, education, and skills and training
  • the impact of the core UK film industry on tourism.
  • the impact of the core UK film industry on the enhancement and appreciation of UK culture
  • the value of merchandising associated with the core UK film industry
  • the rate  of growth  of Video ­on­Demand  (VoD)  and  explores the threat  of  audio­visual  copyright theft.

Source: Economic Impact of UK Film, BFI