Australian screen producers face unsustainable costs, with most development funding failing to cover essential expenses and producer fees.
The Australian screen industry faces mounting financial pressure, threatening the viability of smaller production companies and new entrants, according to Screen Producers Australia (SPA).
Insights from a recent survey of SPA members highlight a growing concern that producers are shouldering disproportionate costs during the development phase of projects.
The survey revealed that just 10 per cent of film and television projects that moved into production had sufficient external funding to cover their development expenses. Alarmingly, 26 per cent of projects were fully or almost fully funded (80–100 per cent) by producers themselves, showcasing the precarious nature of the development process.
Over the past three years, producers have collectively received $14.5 million in external development funding but have supplemented this with an additional $18.5 million of their own funds.
The primary source of development funding was Screen Australia, accounting for 61 per cent, followed by Screen NSW (30 per cent) and local platforms and broadcasters, which contributed 26 per cent.
Insufficient Support
Despite external contributions, 62 per cent of respondents reported that the funding provided was inadequate to cover rising third-party development costs, such as writers’ fees, script editing, legal costs, and other overheads. Furthermore, 57 per cent stated that they had not received any funds to cover their producer fees or corporate overheads over the last three years.
One respondent highlighted a lack of recognition for the producer’s role, remarking on a “serious misunderstanding and under-appreciation of what producers do during development.” Another labelled producers the “forgotten profession in development.”
Industry Crisis Looming
SPA CEO Matthew Deaner described the situation as a “development crisis point,” warning of severe consequences if systemic issues remain unresolved.
“When producers play such a crucial role in the development phase of a screen project, there is currently a clear imbalance between producers and other creative professionals engaged in a project that needs to be addressed,”
“The reality is that producers are usually at the end of the queue for receiving any financial recompense.”
Deaner attributed the financial strain partly to unregulated streaming platforms, which he said operate under self-determined commissioning rules, reshaping the dynamics for all stakeholders.
“The lack of a ‘rights reversion’ framework, which exists in other countries, exacerbates this problem for producers,”
“Unfortunately, this phenomenon has also coincided with other important commissioners such as the ABC, SBS, and different screen agencies operating within restricted budgets for this work, which has inevitably flowed on to producers and their screen businesses.”
Call for Action
Deaner emphasised the urgent need for reforms to ensure the sustainability of the screen production sector.
“It is untenable for screen producers to not be paid something reasonable for their work,”
With development costs rising and external funding failing to meet the demand, the findings underscore the need for a collaborative approach to address the challenges facing producers and secure the future of Australia’s screen industry.