The Battle for Improved Streaming Residuals in the UK

The battle for improved streaming residuals in the United States has made progress, with the writer, actor, and director guilds securing improved streaming residual packages. However, across the pond in the UK, the fight is just beginning. Directors UK (DUK), which represents British directors, has taken a crucial step by reaching out to major streaming services such as Netflix, Amazon, Disney, Paramount, Apple, and Warner Bros. Discovery (WBD) to seek royalties for its over 8,000 members. This move aims to ensure that directors are adequately compensated for their work not just upfront but also through royalties down the line.

In a bold move, Directors UK has indicated that it could potentially withhold copyright from the streaming platforms in the future if they fail to engage in negotiations and agree to fair deals. While specific details of the letter sent by DUK have not been disclosed, industry insiders have suggested that this development could become a topic of discussion at the upcoming Edinburgh TV Festival. The streaming giants, including Netflix, Amazon, Disney, Paramount, Apple, and WBD, have chosen not to comment on the matter at this time.

Directors UK is requesting royalties for its members on projects produced by UK-based streaming services. While directors typically receive substantial compensation for their contributions to these projects, DUK argues that they should also be entitled to royalties in line with industry norms. Currently, DUK has an existing agreement with UK broadcasters, Sky, and producer trade body Pact regarding royalty distribution, but no such arrangement is in place with streaming platforms. The organization emphasizes that directors, as copyright owners, deserve to be fairly compensated for their work.

The Importance of Royalties

A spokesperson for Directors UK highlighted the significance of royalties in sustaining a directing career, particularly in an industry where freelancing is common. The spokesperson noted that securing royalties from international streaming services is essential to aligning with established practices within the UK television industry. Directors UK manages copyright on behalf of its members, which provides the organization with the leverage to withhold copyright from the streamers if necessary.

A Collective Effort for Improved Residuals

Directors UK is not alone in its pursuit of enhanced residuals in the British entertainment industry. Equity, the actors union, has also voiced demands for improved secondary payments during ongoing contract negotiations with Pact. While initial threats of strike action were made, the situation has since evolved. Similarly, the Writers Guild of Great Britain has recently negotiated improved residuals deals with Netflix and the BBC, signaling a broader push for better compensation across the board. In the United States, the Directors Guild of America successfully secured a significant increase in foreign residuals for directors without the need for strike action, setting a positive precedent for the industry.