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Author:  David M. Thompson, Head of BBC Films, BBC
Jane Wright, Head of Rights and Commercial Affairs, BBC Films

Some Background Facts on Television and Film

Film accounts for about 10% of total television viewing time.
Only 2.6% of films shown on UK terrestrial television (in a sample six months period in 2002) were recent British films.
• Internationally, television revenues for film are around $12 billion - almost double theatric revenues of $6.8 billion.
• In 2002, the BBC invested £10 million in feature film development and production, of which about £2 million went into development.

The Role of Broadcasters in Film

The television and film industries are significantly inter-related. They share a pool of talent and, to a large extent, a similar or over-lapping audience. The British Film industry gets support from British broadcasters in two main ways:

a. By direct investment in development and production

b. By buying the transmission rights to films either on a pre-buy basis or once the film is finished.

With the recent scaling down of Film Four and the closure of Granada Films and Sky Pictures, very little direct investment in feature film development and production remains in UK broadcasting. BBC Films is now the only significant film making entity operating within the UK's major broadcasters.

The Guiding Principles of BBC Films

There are five guiding principles behind the BBC's ongoing investment in feature films:

i) Delivery of their cultural remit

Feature film production gives the BBC the opportunity to invest relatively large sums in properly authored projects involving internationally renowned talent and bring them to the screen at an affordable price to the Corporation. Television drama is increasingly expensive to produce. Feature films that bring in co-production partners to share the financial burden and recoup some of the investment through theatrical and video releases and international sales, can enable the BBC to develop quality projects with high production values to be programmed as highlights of their schedules. A key aspect of BBC productions is to make sure that they feature good solid parts for actors - and especially women - who are generally starved of meaty roles at the moment.

ii) Developing projects at the cutting edge of creativity

Television production by its very nature and the nature of its core audience, tends to aim for the middle ground, though there are significant exceptions to this. Feature film production enables the BBC to invest in edgy, creatively risky projects with a strong "authored" point of view. Indeed, low to middle budget film making has to be risky and bold if it is to have any chance of success - arguably, the opposite applies to mainstream television programming. A film on a difficult subject can still be a commercial, as well as critical, success if it is made with a realistic budget and displays big, powerful emotions on screen.

iii) Looking beyond the script

Most recent British film successes have been unpredictable - their success could not have been foretold simply from reading the script. Most have also experienced problems along the way during the production process. The key to success is to learn to suspend disbelief and identify the potential that lies beyond the script. A certain amount of alchemy is required to make each project add up to more than the sum of its parts.

iv) Film as a training ground for new talent

The BBC has always been a fertile training ground for new talent. Many of the UK's top screenwriters and directors (including Jon Amiel, Stephen Frears and Michael Winterbottom) were given their first experience working for Play for Today and other drama strands. These opportunities are fewer and further between in television, so BBC Films sees the growing of the next generation of talent as a key aim, consistent with the fact that it is using public money to make its features. Building good relationships with talent early in their careers can pay dividends later on when they are better known (and more expensive) as they are more likely to work with you again if they have good memories of an earlier experience.

v) The importance of development

Approximately 20% of BBC Films' annual budget is spent on development. Developing their own projects gives them the opportunity to work with the film makers at the earliest possible stage and develop good working relationships with them. It also gives them the chance to secure better deals for their films further down the value chain. Projects that have the BBC Films brand clearly attached to them can help to support and develop the BBC brand at home and internationally.

Other Issues

i) The BBC's investment

The BBC's contribution to the film's budget will be split between a licence fee element - in return for all UK television rights in perpetuity - and an equity share. Licence fees have been lowered in recent years as pressure is put on broadcasters' budgets. Generally, the BBC will not sell its films to pay per view or subscription channels in the UK, preferring them to receive their television premiere on one of their own channels.

ii) Distribution

The BBC has taken the decision not to become involved directly in distributing its own films. Although this means that they can miss out on some of the upside if a film does well and might lose control of the distribution process, it gives them the flexibility to deal with the right distributor for each film selected according to the specific needs of the project.

iii) OFCOM and licence renewal

Thanks, in part, to effective pressure from the Film Council there is likely to be increased pressure from the Government and the new regulatory body for the independent television sector, OFCOM, on broadcasters to invest more in feature film production. Amendments to the Communications Bill have given the regulator powers to check on the independent broadcasters' investment in film making. This might also become an issue for the BBC in its licence renewal discussions with the Government.

Top Tips

• BBC Films aim to be at the cutting edge creatively, bringing high quality, well written features to the cinema and television screens.
• It is important to develop good talent relationships early on in people's careers - it makes them more likely to want to work with you later on.
• Successful film making requires alchemy to bring all the elements together in a way which is greater than the sum of the individual parts.
• Be sure to bring out powerful emotions on screen.