Bectu responds to proposed takeover of Warner Brothers by Netflix

Head of Bectu Philippa Childs reacting to the proposed takeover of Warner Brothers by Netflix said:

“The proposed takeover of Warner Brothers by Netflix is a hugely worrying development for anyone who values competition, and a plurality of voices and stories in entertainment and the media.”

“There is a very real danger that the industry is becoming too skewed towards large streamers with homogenisation of content and the loss of much of the UK’s unique and distinctive output.”

“This move makes it all the more important that we properly fund, value and support public service broadcasting. The BBC Charter is up for renewal and a key consideration for the Government must be ensuring the continuing commissioning and production of quintessentially British content.”

“As acknowledged in the industrial strategy British cultural exports are a key economic driver and must be protected.”

Head of Bectu Philippa Childs wrote a blog for Broadcast outlining our wider concerns for the future of our theatre, film and TV industries:

“The proposed takeover of Warner Brothers by Netflix is a hugely worrying development for anyone who values competition, and a plurality of voices and stories in entertainment and the media.

We share the concerns of US trade unions about the merger’s potential impact on jobs, wages and conditions for screen industry workers. Under current arrangements, production companies typically receive a flat rate for making films for streamers and surrender the rights. This merger could see a shift in payment models, away from a percentage of box office sales, which could have a direct impact on workers’ terms and conditions.

Film and TV workers will no doubt be worried about what the announcement – and Paramount Skydance’s hostile bid – could mean for their job security and the nature of production.

But we also have concerns about the wider implications of such a deal across the UK’s creative infrastructure.

The industry is already becoming skewed towards large streamers, with increased homogenisation of content and the loss of much of the UK’s unique and distinctive output. This move would amplify that danger and makes it all the more important that we properly fund, value and support public service broadcasting. With the BBC Charter up for renewal, the government must ensure the continued commissioning and production of quintessentially British content.

The threat this deal could pose to cinema is clear. Netflix’s co-chief executive Ted Sarandos said in April of this year that making films to be watched in cinemas was “an outmoded idea, for most people”. Cinemas, which have struggled to get back to pre-pandemic levels of box office takings, fear the deal will see shorter theatrical runs, and even releases going to streaming services.

This would have a huge impact on the many cinema workers Bectu represents, but also local economies, with each of the UK’s 850+ cinemas generating at least £600k of additional social value a year alongside the annual £1.18 million a year of market value in ticket and sales.

Beyond the screen, the acquisition could also reshape the global theme park industry. Warner Bros. currently licenses major IP, including Harry Potter, and runs the hugely popular Warner Bros. Studio Tour London. Similarly, Warner Bros.’ theatrical productions, including the internationally successful Harry Potter and the Cursed Child, are a vital part of the live entertainment ecosystem.

Netflix inheriting these assets raises questions about future licensing arrangements and whether the streamer will expand into immersive attractions or even full-scale parks. This could squash competition and further consolidate control of cultural experiences under a handful of global players, reducing diversity in themed entertainment. Moreover, there is a risk that commercial priorities overshadow creative diversity, and the nurturing of new British stage works.

This is a deal that threatens not just streaming services, but the entire creative ecosystem and many of the skilled jobs that underpin it. As acknowledged in the government’s industrial strategy, British cultural exports are a key economic growth driver. Protecting the vibrancy of our world-leading creative industries and ensuring continued investment in original productions must remain a priority.”