BRITISH FILMS.

Auckland Star, Volume LXVIII, Issue 100, 29 April 1937, Page 7

BRITISH FILMS.

SAVE INDUSTRY.

Legislation to Stop Drift to

Bankruptcy.

LOSSES £2,000,000.

LONDON, April 22

Legislation is to be introduced to arrest the drift toward bankruptcy of the British film industry, which lost £2,000,000 in 1936. It is proposed to extend the Film Quota Act for 10 years, but it will be modified, with the object of bettering the standard of British films.

The Act, designed to aid British studios to establish themselves against American competition, compels British theatres to display a fixed proportion of British films. It is suggested, however, that it has also encouraged "mushroom companies," the productions of which have lowered the general standard of English pictures.

The Government's decision to help the industry foretells a new flow of capital into British films, probably under the unofficial observance of the Bank of England and the Government.

Addressing the House of Lords on the Government's proposals, Lord Templemore said that they aimed at achieving not only quantity but also quality in British films.

The Government wished to restore confidence in the industry and to save a ship which was perilously near the rocks. "Hestore Stability." "It is hoped to restore stable conditions, under which adequate finance for reputable producers will be forthcoming," Lord Templemore said. Meanwhile, London finanaial circles will intensify the campaign to drive "hit or miss" producers out of the business. Last year's huge losses on British films may prove to be even greater than announced, because many productions costing £1,000,000 to make, have not yet been released. The Film Council has estimated that £13,000,000 has already been invested in British films without any dividends being paid. England's largest film producers, the Gaumont British Company, was last year compelled to shut down many of its enterprises.

It was then stated that the company had invested £3,000,000 in making pictures in six years.

Failure on the American market is said to have caused most of the British film losses.