New Sectors

John Hatfield argues that our film

industry could be a major

component of the economy if given the proper investment

REMAKES and sequels are all the rage in the movie world so, with the British film industry breaking box office records, maybe it's time for a new version of The British Are Coming. Colin Welland's famous Oscars soundbite in 1983 heralded what he thought was the UK cinema industry's equivalent for the D-Day landings - only on Venice Beach in Hollywood rather than Juno beach in Normandy. With Gandhi following Chariots of Fire and Passage to India in quick succession in the early 1980s Welland seemed to be the Harbinger of a brave new world of Brit movie.

After the second division fare of Ealing Comedies, Hammer Horror, grim-up-north kitchen sink dramas and Carry On films it seemed that Britain was on the verge of entering the blockbuster league.

Alas the invasion turned out to be no more than a beach-head and the plucky Brits were pushed back into the sea. Our film successes were like performances of the Scottish football squad - occasional world-beating performances mired in general disappointing results.

However, the second coming of British cinema may be here and with it the chance to prove that this sector can be a real moneyspinner for the Scottish and UK economy and not just a frivolous indulgence. After all cinema is America's largest export revenue earner - well ahead of aerospace, automobiles, computers and all the other totems of economic virility. And it is worth noting that Britain currently runs an entertainment deficit of several billion dollars a year.

The fact remains that British cinema still seems a bit like a one-man and his Super 8 home movie camera matched against the financial behemoth that is Hollywood. Titanic cost #150m to make and had a marketing budget of #40m. UK films consider themselves lucky if they have #1m to spend on publicity and promotions.

Occasional exceptions prove the rule. So-called breakout successes can be achieved if a small film wins an Oscar as The Crying Game proved in 1991. Even the Rednecks in the Bible Belt flocked to see this bizarre, gritty and very British film. Having cost just #2.5m to make, it grossed #63m across the States.

Then came a rush as Four Weddings and a Funeral, Shallow Grave, Trainspotting and The Full Monty all proved that low budget black humour can earn huge multiples at the multiplexes. Even Mr Bean has turned into a celluloid over-achiever.

Hollywood's hegemony is being challenged but is it any more than a small kid kicking a heavyweight boxer in the shins?

Movies are a quintessential part of Blair's Cool Britannia and Clarkes' appointment sends a clear message that the Government now takes the industry seriously. This will come as welcome news to people such as Lynda Myles, producer of The Commitments who pointed out that: ''Film has been like a cottage industry in Britain. It's really hard raising development money.''

Last month Clarke and Culture Secretary Chris Smith announced that the generous tax benefits introduced by Gordon Brown in his first budget will be extended until 2002 - permitting producers to write off costs.

A proposed all-industry fund will seek to stimulate the British market by supporting film and by seeking a bigger chunk of National Lottery funding.

It was a welcome shot in the arm but more needs to be done if British cinema is to fulfil its potential as a major employer and revenue earner. While money for British films comes from a variety of sources such as the Lottery or Channel 4, there is hardly a penny from the richest potential funding source - institutional investors in the city.

That is why the profits from the Oscar-laden English Patient went to Miramax in America which backed the film while the British provided all the artistic talent but lost out on pay-day. In the past the solution to funding constraints was the Euro-pudding - the nickname given to those lowest common denominator French-British- Italian-German co-productions which gave actors like Hugh Grant their big break.

Without city funding we can expect more cautionary tales along the lines of Channel 4's experience with the Full Monty. The company ploughed thousands of pounds into the script but couldn't afford the #2.2m needed to make the film which has taken #135m so far. Instead the television company opted to make Brassed Off which took #3m.

What Britain really needs is investment in studio facilities. Michael Jackson, Channel 4's chief executive says his goal is to create Britain's pre-eminent film studio. Its current budget of #28m will be increased to #52m with the company planning to make around 10 pictures a year.

Scotland too, is gearing up to ensure that it becomes a serious force in the physical home of Scottish cinema. Then last month came the encouraging news that the Scottish Enterprise Film Unit had proposed the construction of a #5m film studio in Glasgow which could be in operation by 2001. In Scotland the film industry is already worth #35m and it is hoped that the new studio complex could boost that by #15m annually.

Repeating a winner formula by making sequels is catching on with follow-up planned for Four Weddings and a Funeral. Mr Bean (the biggest grossing British film overseas) and Gregory's Girl. Fox Searchlight is in discussions about a Full Monty sequel.