The State of the UK Film Industry 2025: Growth, Setbacks, and What's Next
- Coby Mumford
- 16 minutes ago
- 8 min read
As high-end TV production spend increases and Hollywood blockbusters flock to UK studios, planning hurdles and policy uncertainty cast shadows over the industry's future.
After a turbulent few years, the UK film industry is showing signs of recovery — but not without complications. Major Hollywood productions like Barbie and Star Wars have returned to British soil, helping drive a surge in production spending. In 2024, the industry raked in £5.6 billion, up 31% from the previous year.
Yet beneath these promising headlines lies a more complex picture. Writers’ and actors’ strikes have disrupted global timelines, planning applications for new studios are being blocked, and smaller UK filmmakers are being squeezed out by international streamers.
Despite government efforts to position the creative industries as a key engine of growth, questions remain: can the UK meet the surging demand for studio space? Will policy finally align with ambition? And what role can technical consultancies play in supporting the industry’s next chapter?
In this article, we explore the current state of the UK film industry — its successes, its stumbling blocks, what lies ahead in 2025 and how our services can aid individuals across the industry meet regulations and capitalise on opportunities.
The Headlines
The British Film Institute’s Research and Statistics Unit released the production spend for 2024 in February 2025, outlining a decent recovery after a shaky 2023. In total, film and high-end TV production spend in the UK totalled £5.6 billion in 2024, up 31% from 2023’s £4.6 billion [1].
The majority of this production spend was in high-end TV shows, which produced £3.4 billion in 2024 (up from £2.9 billion the year before). As mentioned, massive Hollywood blockbusters found their locations at UK film studios, driving most of this growth. Evidence of this was highlighted by the BFI, who note that overall growth numbers were underpinned by a low number of films starting production – there were less films but with higher budgets.
Challenges Behind the Numbers
There are, despite decent headline figures, a series of challenges that face the industry. The rise of streaming services has changed the production market, bringing huge investment and increasing competition for studio space. US media companies like Amazon and Netflix have signed long leases at British studios to ensure that the production of their films and shows run uninterrupted. But, with uncertainty emanating from Trump's proposed "Hollywood Tariff" potentially cooling investment, the scale of potential disruption remains difficult to gauge [2].
A recent Financial Times article quoted an analyst at Morgan Stanley, who conceded that "it is virtually impossible to size the impact to the industry" of Trump's tariffs [3]. Given US market dominance in the UK – 2024 saw almost two-thirds of UK film production spend originating from five big American studios and three US streaming giants – it may be a little while until the effects become clear.
Furthermore, numerous planned developments have been cancelled, postponed, or queried following council rejections and local objections. Overall, it is a difficult period for the industry, and there have been many calls for the government to step in and provide financial and industry support for both independent and established filmmakers.
Planning Permission Roadblocks
One of the key pinch points around the expansion of the Film Industry, specifically regarding new studio space, has been the inability to acquire planning permissions. There have been two major planning rejections over major film studios in the last year – the “Holyport Film Studios” development near Maidenhead and the Hollywood-backed “Marlow Film Studio” were both rejected in council votes last year.
Both rejections cited the plans’ incompatibilities with the greenbelt and were met with large-scale discontent in their intended locations. Holyport was seen as “lazy,” as the impacts on local footpaths and potential congestion were not adequately considered. This led to its unanimous rejection by the council after over 400 residents complained [4]. Marlow suffered a similar fate, with the planning officers at Buckinghamshire Council rejecting the proposal due to it being an “inappropriate development for greenbelt land” [5].
Furthermore, even when film studios have been granted planning permission, it is not certain that they will be built. A proposal for a film studio in Wycombe was successfully granted planning permission in 2023, but the company stated that they were “unlikely to progress a film studio” due to the “landscape having changed commercially” [6]. The Conservative Council leader stated that: “The whole film and media sector, following the writers’ strike and actors’ strike, has seen a significant contraction.”
Another proposal was also given planning approval in 2023, this time in Stewartby, Bedfordshire, but this too was halted, with the investors citing “matters unrelated to the studio arena,” with the spokesperson adding that “I am sure that the industry strikes at that time did not help” [7].
Finally, plans for the largest film studio in the UK were also scrapped – after an extended period of it being “paused” – in March 2025 [8]. This, too, cited that the project “is no longer feasible at this time given market conditions,” with the Council leader stating that “it is my understanding that the market conditions are currently not favourable for new film studios across the UK.”
What is the Government doing?
The new Labour government has placed the creative industries at the heart of its growth plan for the new parliament, stating in its 2024 Manifesto that “there is huge potential for growth in the creative industries that benefit every corner of the UK” [9]. The creative industries were named as one of the eight growth-driving sectors, and the government plans to produce a “creative industries sector plan” as part of the upcoming Industrial Strategy, with the release set for Spring [10]. A “Creative Industries Taskforce” has been created to work with government to inform the development of the Sector Plan, and to work closely with the wider Creative Industries Council [11].
So far, the government has signalled its intention to support the film industry, confirming the “Independent Film Tax Credit” that will allow productions with a budget of up to £15 million to be eligible for a 53% tax relief on qualifying expenditure [12].
Furthermore, Lisa Nandy, Culture Secretary, recently announced a £60 million package to drive growth in the creative industries, with a specific focus on the “priority regions” for the creative industries (these being the North East, Greater Manchester, Liverpool City Region, West Yorkshire, West Midlands, Greater London, West of England, South Wales, Glasgow, Edinburgh-Dundee Corridor, and Belfast) [13].
“Invest 2035,” a consultation document for the industrial strategy, lays out the Government’s rationale for its focus on the creative industries. The green paper highlights the government’s intention to “leverage the UK creative industries’ global comparative advantage by unlocking private investment, boosting exports, and developing its highly skilled workforce” [14].
The Culture, Media and Sport Committee made an array of requests of the government to support independent film. They call for further tax credits for the distribution of lower-budget films, a “cultural fund” for Streamers to pay into (where 5% of UK subscriber revenues help finance British drama), and a core funding model for “culturally significant cinemas to mitigate cost pressures” [15].
The difficult economic circumstances that continually plague the Chancellor and the Treasury may dampen any expectations of wide-spread growth and investment in the creative industries. With growth forecasts fluctuating, partly as a result of Trump’s tariffs, the large-scale investment that many in the creative industries desire may be postponed until a more secure and positive economic landscape is present.
The UK Film Industry - What’s Next?
Regarding the future, the incumbent Labour government have sent some positive signals to filmmakers and production crews – Angela Rayner’s intentions to build on “grey belt” and her expansionist agenda means that previously-rejected planning proposals may still have some life.
Marlow film studio had a direct government intervention, with the Ministry of Housing, Communities and Local Government confirming that it had called in the decision [16]. Holyport, too, was subject to an appeal by the developer, with the planning inspector holding a two-week inquiry in late-2024. This has since been sent to Rayner, who is expected to make the decision before the end of June 2025 [17].
Both proposals could still move ahead if Rayner and her team decide that the Councils’ decisions should be overturned. Sky had also had a planning application rejected for an expansion of their Elstree film studio and have since indicated their intention to appeal that decision following Labour’s positive messaging [18].
Another development – “Crown Works Studios” in Sunderland – has had its £450 million investment approved, with the intention to create one of the largest film studios in Europe in the North-East [19]. Work is planned to start later in 2025, with the project built in three phases, and intends to be completed by 2027. Warner Bros. also intend to expand their Leavesden film studio – already the largest in the UK – by 400,000 square feet, with 10 new sound studios, and an increased production capacity of more than 50% [20].
With the film industry braced for the effects of Trump’s tariffs, the government’s messaging in the upcoming spending review carries even greater weight. The Department for Housing, Communities and Local Government’s decision will signal how serious Labour — and specifically Angela Rayner — is about supporting industry expansion. It also remains to be seen how the creative industries’ designation as a “growth-driving sector” will shape its budgetary allocation.
As these policy decisions unfold, our services are positioned to help stakeholders deliver technically sound, regulation-ready projects that align with national strategic priorities.
How we can help
At Sustainable Acoustics, we can provide a range of services to film studios in the UK. With the current environment around the industry, it is more important than ever to ensure that film sites are compliant with regulations and can operate uninhibited.
The services we offer include:
Acoustic Sound Source Measurement Audits
We quantify the sound generated by on-site activities, providing you valuable information about the noise pollution created by your shoots.
By measuring before and during shoots, you can understand how your actions contribute to noise levels on- and off-site.
Acoustic Modelling
We engage in acoustic modelling to make predictions for your potential noise impact.
This allows you to understand any risks of potential noise complaints from those in the surrounding areas.
Outside Area Environmental Sound Management Protocol (ESMP)
We help create procedures and methods that you can follow to prevent dangerous sound levels from occurring on-site.
Working with the relevant authorities, we establish bounds for noise levels that are compliant with the regulations and don't harm local communities, whilst ensuring filming goes ahead.
Live (Active) Noise Monitoring
We continually monitor the sound levels over a period of time at specific sites.
By leaving equipment on-site, we collect data over extended periods of time – providing clients with up-to-date information about their noise levels and potential risks.
This protects studios from harm by creating reliable internal data that ensures adherence to regulations.
Liaison with Local Authorities and Compliance Reporting
As knowledgable experts we help you communicate with relevant local authorities to ensure regulatory compliance.
This data defends against local complaints and accusations by determining if noise came from operations on-site or from elsewhere.
We are a proactive, trusted, and award-winning acoustic consultancy that has experience working within the film industry. Our knowledge of the challenges studios face and our services ensure that you can keep shooting at sensitive times. Contact us for more information.
Summary
Overall, the signals from the film industry are mixed. With demand increasing, yet studio expansions and new construction staggering, the role of the government is vital in clearing a way forward. Trump's unpredictability makes UK government clarity even more important. With decisions regarding Marlow and Holyport around the corner, this is a pivotal time for the film industry to plan for the future and consider their potential needs – especially when it comes to acoustics. The spending review could inspire further expansions and plans, and the Creative Industries Task Force may become a central body in government. Regardless of what the following months hold, it is necessary to ensure that acoustic concerns do not prevent studio expansion or investment. Sustainable Acoustics provides an array of services to ensure the smooth operation across sites, and allow for studios to focus on what matters most – the ability to keep rolling.
