Demand for studio space from the UK film and TV industry is set to increase over the coming year, according to research from CBRE.
The firm surveyed 100 senior film and TV industry professionals and found 30% expect to see an increase in demand for film and TV studio space, with 84% of respondents stating they required the same amount or more space this year compared with last year.
Next year, 40% of respondents envisage there will be an increase in the number of UK film and TV productions, which will result in further demand for studio space – 53% of respondents said they expect to use more studio space next year.
However, there is a looming supply demand imbalance with 11.2m sq ft of new studio space in the pipeline, but CBRE said only one new scheme will become available this year. TV and film industry professionals already report finding suitable space to be an issue, with 21% of respondents suggesting it will become more challenging to find suitable studio space in the coming year.
The quality of existing space is also an issue with half of respondents rating the quality of studio space as ‘good’ in the last year and 18% rating the quality as ‘poor’.
Jennet Siebrits, head of UK research at CBRE, said: “This rise in demand follows rapid growth in the sector following the growth of global video-on-demand platforms where global subscription revenues have nearly tripled since 2017 to £69bn. The UK has been a major benefactor of this growth and, in 2022, there were a total of 415 film and HETV [high-end TV] projects produced in the UK. This buoyancy has continued into Q1 2023 with combined total spend on film and HETV hitting £922m from 88 productions.”
Simon Calvert, senior director and studio occupier lead at CBRE, added: “There is a real need for developers to ensure that new studios which are in the pipeline reach the quality standards demanded by occupiers if the UK is to maintain its position on the global production stage. Developments which are not well located or do not provide suitable stages, production spaces and amenities risk being under occupied.”
