MPs call for streaming levy to help UK TV industry

Getty images / Paul Glynn, Culture reporter

A share of the revenue streaming services make from subscription fees should be paid into a fund to support British high-end TV production, an influential group of MPs has said.

In a new report, the Culture, Media and Sport (CMS) committee urged the government to improve support measures for producers while safeguarding the creation of distinctly British content.

It follows an inquiry into the UK TV and film industry which examined the effects of the rise of streaming platforms like Netflix, Amazon and Apple TV.

The report noted how "vital" dramas such as Adolescence are to the country's "identity, national conversations and talent pipeline", which they say is now "under threat".

It is "time for streamers to put their money where their mouth is", the report read, suggesting that streaming companies pay "5% of their UK subscriber revenue into a cultural fund to help finance drama with a specific interest to British audiences".

Chair of the CMS committee, MP Dame Caroline Dinenage, noted how recent "big box-office blockbusters made in Britain have showcased the UK's world-class film and high-end television industry like never before".

"But the boom in inward investment of recent years now risks crowding out our many talented independent British producers," she said.

She added: "While streamers like Netflix and Amazon have proved a valuable addition for the industry and economy, unless the government urgently intervenes to rebalance the playing field, for every Adolescence adding to the national conversation, there will be countless distinctly British stories that never make it to our screens."

Adolescence, created by Jack Thorne and Stephen Graham, tells the story of a 13-year-old boy who is charged with killing a female classmate.

This week, it became fourth most popular English-language series in Netflix's history with 114 million views.

A Netflix spokeswoman said: "The UK is Netflix's biggest production hub outside of North America - and we want it to stay that way.

"But in an increasingly competitive global market, it's key to create a business environment that incentivises rather than penalises investment, risk taking and success. Levies diminish competitiveness and penalise audiences who ultimately bear the increased costs."

Image caption, Without the right kind of investment, MPs are worried the next potential hit UK shows like Adolescence won’t get made

The Association for Commercial Broadcasters and On-Demand Services (COBA) said a levy risks damaging streamers' investment in the UK.

Coba executive director Adam Minns said: "Especially in this economic climate, a levy risks impacting existing content budgets for UK shows, jobs, and growth, along with raising costs for businesses.

"Ironically, it could actually damage public service broadcaster dramas by reducing co-production budgets at streamers."

He added pressure on domestic production stemmed from the real terms decline in the TV licence fee.

A BBC spokesman said the corporation "continues to invest" in British content but faced "significant financial challenges due to pressure on the licence fee and rising industry costs".

"It is therefore integral that the BBC and the wider UK creative industries have the support in place to drive growth in the creative economy and support homegrown content and storytelling."

The report released on Thursday noted how last year there was a 27% decrease in the number of domestic high-end TV productions made in the UK and a 25% fall in spend.

The calls for greater help come after Wolf Hall director Peter Kosminsky told BBC News last month that the industry was in crisis, and that public service broadcasters including the BBC and ITV could no longer afford to make high-end British drama.

Fair levy or unfair tariff?

The arrival of the streamers into the UK market "drove up the price of everything", Kosminsky told BBC Radio 4's Today programme on Thursday, to the point where the public service broadcasters "couldn't afford to make their programs anymore, so we need a new pot of money."

He underlined how 17 other countries in Europe have imposed a similar levy "so that public service broadcasters can stay in the game."

Speaking on the same programme, former BBC One controller Peter Fincham replied saying he did not agree.

"I think this sounds to me a little bit like a tariff - to use a more fashionable word - and indeed a form of protectionism."

A spokeswoman for the Department of Culture Media and Sport (DCMS) said: "We acknowledge the challenges facing our brilliant film and TV industry and are working with it through our industrial strategy to consider what more needs to be done to unlock growth and develop the skills pipeline.

"We thank the committee for its report which we will respond to in due course."

'Support freelancers'

The report also noted while the introduction of tax breaks for independent British films, and for film and TV studios in England may have helped, it was not a "silver bullet" for solving many of the issues facing British producers.

As well as providing greater support and resources for UK TV production workforces, the report also suggested that lawmakers should consider cutting VAT on cinema tickets as well as doing more to meet the challenges posed by AI.

Paul W Fleming, general secretary of Equity, which represents British performers, said the government should "heed the call" for the licensing of creative works in all cases where they are used to train artificial intelligence models.

"AI is being built illegally by stealing Equity members' life's works," he said.

Big tech firms "must be held to account", he added, "brought to the table and made to pay creators what they owe."

The cross-party committee recommended the government and British Film Institute (BFI) should launch a national awareness campaign, highlighting the employment opportunities offered by film and high-end TV, and "the range of skills the industry requires".

It stressed how the industry "benefits hugely from the flexibility afforded by a predominantly freelance workforce" and therefore more should be done to "support freelancers when they are out of work"; such as the introduction of a minimum hourly wage or guaranteed basic income.

Head of industry union Bectu, Philippa Childs, said: "We welcome this timely and incisive report from the committee which identifies many of the urgent challenges currently facing the industry and its workforce."

She added: "It's essential that the industry does not become too skewed towards large streamers, which risks the homogenisation of content and the loss of much of the UK's unique and distinctive output."are worried the next potential hit UK shows like Adolescence won’t get made

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ScreenSkills’ HETV Skills Fund to increase focus on mid-level professionals

Image: Blue Lights © BBC, Two Cities Television

The HETV Skills Fund’s annual research highlights an urgent need to support mid-level crew as freelancers face growing instability, financial pressures mount and hiring patterns shift across the industry. The findings were drawn from 71 survey responses and 50 in-depth interviews conducted between October 2024 and January 2025 with line producers, heads of production, production managers and producers across the UK.

The HETV Skills Fund plays a vital role in supporting the industry through workforce development, training, and career progression initiatives. Funded by voluntary contributions from productions benefiting from the UK high-end TV tax relief, the Skills Fund directly addresses skills shortages and gaps, ensuring a steady pipeline of talent.

While the overall picture of employment remains relatively positive - with 79% of respondents reporting it was “ok”, “easy” or “very easy” to find work - the number who found work “hard” or “very hard” more than doubled to 21%, compared with just 9% the year before. Respondents also reported that work has become harder to secure in their preferred genres.

Kaye Elliott, Director of High-end Television at ScreenSkills, said: “This year’s research provides critical insight into the reality of the production landscape across the UK. It’s encouraging to see that some skills shortages and gaps are easing slightly, but it’s clear that more support is needed at mid-level - where people are stepping up fast, often without structured support, and experienced freelancers are under increased pressure. This is where the HETV Skills Fund will focus - backing mid-level talent, enabling career development and protecting the achievements we have made in diversity and inclusion. The Fund is committed to investing where it will make the biggest difference to the future strength and resilience of the UK’s high-end TV workforce.”

As hiring patterns shift, there is a growing need to support those in the middle of their careers. More experienced freelancers are actively seeking work, while newer crew are stepping up rapidly, sometimes without the depth of experience required. This dual pressure is creating a ‘pinch point’ at mid-level - where investment in progression, mentoring and step-up opportunities is now most needed.

Financial vulnerability is increasing, with 72% of independent production companies reporting concerns that put them at risk of closure (Source: Indielab Voice Survey, May 2024). HETV budgets continue to shrink, with fewer large-scale productions and greater pressure on funding models. Freelancers also reported increased instability, with some leaving the industry permanently.

The research found that while the skills shortage is easing - with only 13% rating it as “serious” or “very serious”, down from 52% the year before - the skills gap remains a pressing concern. More than a third (34%) said crew lack the rounded experience needed to deliver effectively in smaller teams and tighter schedules, though this too has improved since last year.

Production accountants remain one of the hardest roles to fill, affecting the entire production pipeline. Other hard-to-fill roles include production secretaries, APOCs, standby art directors, electricians and costume designers.

Emerging roles include access coordinators, welfare coordinators, intimacy coordinators and sustainability specialists - showing how rapidly production needs are evolving.

Respondents raised concerns about crew being promoted too quickly, leading to inflated CVs and gaps in experience. At the same time, more senior crew are actively looking for work, shifting the challenge away from entry-level hiring to mid-career development.

Diversity and inclusion were also flagged as areas at risk. With fewer roles available, there are fears that hiring opportunities for under-represented groups will diminish - undoing hard-won progress.

There is a growing appetite for a more centralised training and funding resource as well as calls for better safety nets for freelancers - including a potential industry-wide insurance scheme.

Virtual production continues to grow, particularly in higher-budget shows, but the research found that lack of understanding among editorial teams sometimes led to creative misunderstandings or cost overruns. Targeted training for creative leaders was recommended to help maximise its value.

The research findings are being used to inform the HETV Skills Fund’s 2025/26 strategy and priorities, including targeted interventions to support mid-level professionals, address skills gaps and respond to the evolving needs of the UK’s high-end TV sector.

In 2021, the HETV Skills Fund built up a reserve due to the unexpected increase in UK high-end TV production, which led to production contributions more than doubling in just 12 months. Over the past four years, this reserve has enabled the HETV Council to increase the Fund’s annual delivery budget beyond yearly contributions, supporting expanded working group activity and additional training and support for the UK freelance workforce. The reserve has now been fully allocated, and the Fund will return to delivering an annual investment budget based solely on production contributions.

The Fund continues to benefit from a committed industry that recognises the value of collective investment, with contribution levels remaining strong. However, some programmes have been scaled back in the new financial year to reflect the funding available.

“Based on this year’s research, the HETV Skills Fund will focus support where it’s most needed - on mid-level professionals and protecting progress on diversity and inclusion in high-end television across the UK. We are fortunate to have a committed industry that recognises the value of collective investment,” added Barry Ryan, Chair of the High-end TV Skills Council and Head of Production for The Ink Factory. “Now that the Fund has returned to its normal funding model following a period of exceptional investment, I’m confident that, with the support of the Skills Council and working groups, we will continue to commission high-quality training and development programmes that help ensure the UK remains the destination of choice for high-end TV production and continues to play a significant role in the growth of the screen sector.”