Pinewood, the iconic home of James Bond and Disney franchises from Marvel to Star Wars, is set to convert 78% of its proposed 1.4 million square foot expansion into a datacentre. This shift reflects a broader trend in the UK film and TV industry as the era of peak TV production gives way to the AI boom.
Peak TV Behind Us
Ambitious plans for studio expansions are being scaled back. The British Film Institute (BFI) is expected to report a third consecutive annual decline in UK film and high-end TV production in 2025. One senior industry executive stated, "Peak TV production is behind us now. The great British studio building boom is officially over."
Four years ago, the streaming wars drove record spending of £7.8 billion on UK-made productions, leading to a surge in studio construction. However, the combined Hollywood actors' and writers' strikes in 2023 froze production, while streaming companies shifted focus to sustainable profitability.
From Studios to Datacentres
Property developers are now pivoting to datacentres, which offer higher land values. Adrian Wootton, CEO of the British Film Commission, noted that the UK added more studio space in three years than any other country, from 3 million to over 6 million square feet. "It was unsustainable," he said.
Pinewood's planning permission for a datacentre is a notable example. Other casualties include Blackstone and Hudson Pacific Properties abandoning a £700 million studio complex in Hertfordshire, and Stage Fifty's closure leading to Wycombe Film Studios' scrapping in favour of six datacentres. Sunderland's Crown Works Studios faltered after Cain International pulled out, with council leader Michael Mordey calling the initial plans "absolutely crazy."
Continued Expansion in Some Areas
Despite the slowdown, some expansion continues, such as at Ealing Studios and a new development in Marlow, Buckinghamshire. However, the UK appears to have hit peak studio space. Chris Berry of Lambert Smith Hampton said, "Land for datacentre development is worth at least twice as much as studios."
US Studios Drive UK Production
Almost £7 billion was spent on UK film and TV in 2024, the third highest on record. US-based studios and streamers accounted for nearly 80% of film spending and 82% of high-end TV production. Disney, Netflix, Amazon, and Warner Bros have long-term deals at UK studios, including Pinewood, Shepperton, and Leavesden.
Wootton remains optimistic: "All major players have established homes here. The UK benefits from core franchises like Bridgerton, Harry Potter, and Marvel. Costs have increased, but I am cautiously optimistic about more growth."
