Is The UK Film Boom Under Threat Of Trump Tariffs?
Published: 04.10.2025
Reading time: 2.6 minutes
The UK’s film and high-end television industry is in the midst of a record-breaking run, drawing billions in overseas investment as American studios increasingly shift major productions to the United Kingdom.
This fact is generally seen as a positive development for all European filmmakers, whether they are based in the United Kingdom or in the European Union. The geographical proximity of these productions has always significantly increased opportunities for professionals from Bulgaria and its neighboring countries, as such projects are often partially filmed between London, Sofia, Bucharest, or Budapest — the four capitals that have established themselves on the market as the most attractive destinations for global cinema.
Yet the sector’s momentum may be undercut if US President Donald Trump follows through on his promise to impose 100% tariffs on foreign-made films.
A New Hollywood in the UK
London and its surrounding regions have rapidly become a global filmmaking hub, with major studios operating at near full capacity. Pinewood Studios in Buckinghamshire, now locked into a long-term lease with Disney, has secured marquee productions including the next Spider-Man installment and two upcoming Avengers films.
The numbers highlight the scale of the boom: in 2024, UK film and premium TV production generated £5.6 billion, up 31% from the year before. The vast majority – £4.8 billion – came from international co-productions and outside investment, reflecting Britain’s appeal as a cost-effective and reliable destination.
A generous incentive scheme, the Audio-Visual Expenditure Credit, offers tax relief of up to 25.5% on qualifying production costs, giving US studios meaningful savings. Combined with a seasoned workforce and the absence of US-style healthcare expenses, these factors have made the UK one of the most attractive alternatives to Los Angeles.
Hollywood’s Decline, Britain’s Gain
While the UK surges ahead, US production levels have contracted sharply. Industry tracker ProdPro reported that the number of American film projects dropped 40% between Q2 2022 and Q2 2024, underscoring a broader slump in Hollywood.
Observers say Los Angeles is struggling to compete against international production centers like Britain and Canada.
Trump has warned of a “very fast death” for Hollywood if measures aren’t taken, and has signaled that tariffs are his preferred response. If enacted, such levies would directly target the very blockbusters driving the UK’s current boom.
For Britain, where Hollywood-backed projects are now central to the industry’s health, the threat has sparked unease. Industry leaders warn that even the prospect of tariffs could chill investment and stall growth just as the UK has reestablished itself as a top-tier filmmaking hub.
For now, the UK’s “Brollywood” era continues, but the durability of its success may depend less on studio bookings than on the next move from Washington.
Everyone awaits to see if and how exactly would such tariffs be implemented on practice.
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