Minutes of evidence taken before the Departmental Committee on Cinematograph Films (1936)

MINUTES OF EVIDENCE 125 30 June, 1936.] Mr. S. Rowson. [Contin u,ed. Form C basis calculations. I somehow find myself quite unable to accept those figures, especially the 5j millions. I will tell you why. 1 have for some years had to make some estimate at the end of the year on the remittances abroad. In connection with that I have always had to make an estimate first of the total amount of money paid into the box offices of all the cinemas in the country, and an estimate of all the money paid out of the box offices for films to the various renters, and I am satisfied that the order of magnitude of the total film bill in the country is of the order of £12 millions out of the 35 to. 37 or whatever it is representing the total payments into the box offices. Now out of this £12 millions there are first of all the distributors expenses to be paid which at 20 per cent, would bring it down to £9,600,000, and there are prints and advertising to be paid out of that which would at least amount to another million or so, much more. And out of that there is the British newsreel to be paid for, and there is then left a total fund of the order of perhaps £8 millions, or even £8J millions for the payments to America and the payments for British films. Now, we know that the payments to America are of the order of £6 millions, £6j millions. If you care to see it the method by which that calculation is made is contained in a paper which 1 communicated to the British Association 18 months ago. I think the Department has copies, but it is here. Now if we pay £6 millions out of £8i millions to America there is only left £2^ millions or thereabouts for British films, and I cannot conceive the possibility of producing £5 millions and only getting £2i millions. I understand, of course, the margin may be made up to a small extent by loan money, but this goes on each year and there is no prospect of the year's output being so large, there is no prospect of the revenue from the year's output producing anything like the cost. Unless they are working on a very heavy loss basis, which I am not prepared to say. 1314. (Chairman) : We shall be very glad to have this monograph if we may. The members of the Committee have expressed to you our debt for the very instructive and lucid evidence which you have prepared for us. — Thank you very much. Sir. (The Witness withdrew.) APPENDIX. Table I. Comparison of Exhibitors'' and Renters' Returns of Registered Films. Year. 1932 1933 1934 1935 Length of " Long " Films Registered in Years ending 31st March. Footage of " Lon g " Films Exhibited in years ending 30th September. Amount (in million feet). Amount (in thousand million feet). Average number of times screened. Foreign. British. Foreign. British. Foreign. British. 2-96 3-06 3-12 3-12 0-93 0-96 1-18 1-18 21-49 22.20 23-21 24-09 6 89 7-90 9-22 9-41 7,260 7,250 7,440 7,720 7,410 8,230 7,810 7,970 Table II. Population ... Population aged 15 and over Admissions p. a. Average p. a. per population Average p. a. aged 15 and over Seats in cinemas ('000) Cinemas Average size of cinemas Population per seat Population aged over 15 and over per seat Population per cinema Population (aged 15 and over) per cinema (millions) U.S.A. 127 89-7 3,700 29 41 10,000* 14,501 700 13 9 s.st in 6.200 Great Britain. 45 34-3 963 21 28 3,872 4.3< 15 900 11.6 9 10,500 S.OOI) Estimated for cinemas open and wired for sound. 37873