President Trump's desire to “make Hollywood great again” by wielding his preferred economic weapon, tariffs, has trembled through the British film industry.
British producers, camera workers, costume designers and other crew members of the film were woken up Monday to Trump's message that he wanted to impose 100% tariffs on films made on “foreign lands.” This threat is particularly wary in the UK, where Hollywood blockbusters are a key part of the industry.
“It came out completely from the blue,” said Philippa Childrens, head of Bectu, the British Union for Creative Arts workers. “That's pretty scary.”
Almost 90% of the £5.6 billion spent on film and high-end television production in the UK last year came from overseas, mainly for “Reviving the Jurassic World” and “Fantastic Four: First Step.” The UK's biggest and most respected studios include streaming Giants such as Netflix, Disney+ and Amazon Prime. For decades, productions have been attracted to the UK not only by generous tax credits but also by experienced labor.
Trump has not continued about this threat so far, so it is not clear how he will do it. However, the UK industry is still recovering from the coronavirus pandemic and the chaos caused by the 2023 attacks by actors and screenwriters in the US. The concern is that uncertainty about tariffs could wipe out that progress.
“The studios around London are really full and people are back to work,” Childs said. “Our fear is that if this becomes a reality, those studios will suddenly be empty again.”
Members of Bectu still live with memories of the strike, Childs said. At the time, 80% of the members surveyed said their work was affected, with three-quarters not working.
Marcus Rider, CEO of Film and TV Charities, supports industry workers in mental health and finances, preparing an influx of requests for assistance.
“Uncertainty is really losing its strength,” he said. People “don't know what the tariffs mean or how they will react to them,” he added.
Rider said there is fear among businesses and workers that if people leave their jobs because they are worried that they will not be able to pay their bills, the industry will be destroyed. Strikes such as support and cash grants given during the pandemic could not be provided in the long run if tariffs were enforced.
“Even short-term tariffs can have long-term devastating effects on the workforce,” he said.
Trump's tariff proposals are “concern,” said Adrian Wooton, chief executive of the UK Film Commission, which would help attract productions to the UK. He said his organization will meet with figures from the government and other industries to discuss the concerns.
The UK government is working to actively discuss these potential tariffs with the top of the US administration and establish what could be proposed, Chris Bryant, director of culture oversight, told lawmakers in Parliament on Wednesday. “This is a very fluid situation and we will continue to take a gentle and steady approach.”
Bryant added that many affiliates reached out to him. The first was Pinewood Group, which owns a large studio known for filming Bond films.
At the same time, the UK and the US are reportedly close to agreeing to an agreement that mitigates some of the impact of the recent rise in US tariffs.
Many trade experts have questioned how tariffs on films will be enforced. Major film productions are becoming increasingly international, taking place in different locations, cast and crews from different countries, as well as in different locations, including filming, post-production, visual effects, distribution. Deciding exactly what a “foreign” film is, and how to impose customs duties on services is complicated.
“I don't think we can do that,” said David Hennig, a London trade expert. Instead, he said there is a high chance that the US tax credits will increase. “Obviously, that poses a threat to the UK and many other countries that are handing out tax credits to make films,” he added.
California Gov. Gavin Newsom rebutted Trump's tariff proposal on Monday with his own proposal of $7.5 billion in federal film tax credit. It is the largest single-government grant program in history for the US industry and the first grant program at the federal level.
Even without tariffs, higher US tax incentives would “inevitably” affect the UK industry, Bectu said.
To some extent, increasing reliance on American productions is a challenge for the UK industry and its workers. I like “Evil” and “Mission: Impossible – Dead Records,” and television shows like “The Game of Thrones” spinoff “House of the Dragon” were mainly filmed in the southeastern England. The UK government is increasing tax cuts on small productions to strengthen the UK's independent film industry.
These tax credits would help, Childs said, “But I don't think it's going to fill the US investment space.”
