UK government unveils $500m creative industries plan as AI proposals remain uncertain
The UK government has published its Creative Industries Sector Plan, which includes £380m (US$509m) in targeted funding, while its position on AI and copyrighted material remains up in the air.
The £380m is designed to support innovation, access to finance, research and development, skills and regional growth across the UK and was announced by Lisa Nandy MP, secretary of state for culture, media and sport.
Also under the plan, business investment in creative industries will nearly double to £31bn by 2035 with 2,000 new film and TV apprenticeships to be delivered, while a ‘freelance champion’ for the creative industries will be appointed to the Department for Digital, Culture, Media and Sport.
Within the funding, the government will invest in the National Film & TV School, expand the UK Global Screen Fund and provide funding to the British Film Commission (BFC) for a further three years from April 2026.
Meanwhile, the plan acknowledges that with tech such as AI set to change the sector over the next 10 years, “human endeavour and creativity will be more valuable than ever” in a world of synthetic material and AI-generated content.
Having come under fire for its plans to allow tech companies to use copyrighted material to train their AI models, the UK government used the plan to pledge to “support rights holders in licensing their work in the digital age while allowing AI developers to benefit from access to creative material in the UK.”
The government is currently analysing responses to the consultation on delivering a copyright and AI framework, with “all options” being looked at.
The government will set out a “detailed economic impact assessment on all options under consideration and a report on the use of copyright material for AI training, transparency and technical standards.”
This analysis will inform the government’s position, alongside a series of “expert working groups to bring together people from both the AI and creative sectors on the issues of transparency, licensing and other technical standards to “chart a way forward.”
Earlier this month, the British Film Institute stressed the need to “act quickly” over copyright concerns after revealing 100,000-plus scripts have already been used to train generative AI tools.
The BFC welcomed the overall creative industries plan, describing it as “not only a show of support but of confidence in the strength and growth potential of the UK’s inward investment film and TV production sector.”
BFC CEO Adrian Wootton said: “While the global industry is still in a state of change and yet to reach a ‘new normal,’ this strong support from government, coupled with our compelling package of tax credits – including an increased VFX tax credit and new credit for limited-budget films – will ensure the UK remains well-placed to see a competitive share of the global production spend.”
Recovering from the global impact of 2023’s US actors and writers’ strikes, inward investment in the UK generated by film and high-end TV production during 2024 reached £4.7bn, up 43% from 2023.
According to the BFC, the organisation provided support to productions and companies responsible for 91% of the total US inward investment in high-end TV and 94% of total US inward investment in feature films in 2024.
This included support to companies responsible for major titles such as The Conjuring: Last Rites (Warner Bros, New Line), How to Train Your Dragon (Universal), House of the Dragon season three (HBO), Black Bag (Focus Features), The Running Man (Paramount), Bugonia (Square Peg UK, Element Pictures), Peaky Blinders: War (Netflix), Citadel S2 (Amazon) and Slow Horses S5 (Apple TV+).
UK film and TV trade union Bectu also welcomed the Creative Industries Sector Plan, particularly with regard to the freelance champion, which Bectu had campaigned for.
Bectu’s head Philippa Childs said: “The creative sector is powered by a diverse and highly skilled workforce, many of them freelancers, that have endured an incredibly tough few years, and helping to support this workforce must be a central pillar of any successful plan for the sector.
“These measures will be welcomed by the creative workforce as a show of commitment to the sector. However, they will also be looking for sustained support for creative workers across government in the coming years as the sector recovers from a series of external shocks.
“Freelancers are the backbone of the creative industries and have borne the brunt of both recent economic shocks and poor employment practices in the sector. It is clear the government needs to improve its understanding of and support for these vital workers and the many challenges they face. Bectu has been fighting hard to secure a better deal for creative freelancers and this is a crucial step forwards in that campaign.
“It is also welcome that the government has taken a number of other steps to back creative workers including a strengthened commitment to tackling bullying and harassment in the industry, a new skills passport and confirming the intention to support self-employed workers through the Make Work Pay agenda.”
Creative UK, meanwhile, defined the recognition of the creative industries as a potential high-growth sector as “a landmark moment.” Similarly to the BFC and Bectu, it did not specifically reference the government’s plans around AI.
Caroline Norbury, Creative UK’s CEO, said: “We welcome the plan’s focus on access to finance, R&D and innovation, skills, trade, place and IP, which are all key enablers for scaling creative businesses. The emphasis on leveraging the British Business Bank [a state-owned economic development bank] and extending the reach of expert intermediaries demonstrates a maturing understanding of what the sector needs to thrive.
“Delivery will now be key. It will require genuine co-ordination across departments and agencies, and close partnership with regional and local leaders, such as combined authorities, to ensure that support reaches the full breadth of the sector.
“We stand ready to play our part in turning this shared vision into reality, ensuring tangible benefits reach the freelancers, microbusinesses and cultural institutions who are the bedrock of our success. As the global race to lead in creativity and innovation accelerates, the message from the UK must be clear: we are open for creative business.”
