Netflix’s Plan to Acquire Warner Bros. It sparked a wave of existential reflection in the international film industry. But the practical implications for the UK film industry could be significant.
While the deal may not be set in stone just yet, with Paramount Skydance throwing a few curveballs and Warner Bros. shareholders still not having a say in the preferred option, the Dec. 17 statement from Warner Bros.’s board of directors rejecting Paramount’s proposal provides further clarity on the future direction. Netflix co-CEOs Ted Sarandos and Greg Peters even took part in a very public tour of the Warner Bros. property in Los Angeles hosted by Warner Bros. Discovery CEO David Zaslav.
Netflix’s $82.7 billion offer promises annual cost savings of $2-3 billion by year three. In the UK, Netflix and Warner Bros. have large teams across production, marketing, PR, distribution, studio equipment, commissioning and legal, so job losses will be inevitable.
On a broader scale, screen It focuses on the first questions the British film industry has in the early stages of what could be an entirely new era.
Will Netflix release Warner Bros. movies in full in theaters?
The question everyone is wondering is whether and how Netflix will honor Warner Bros.’ theatrical legacy. Netflix says it remains “deeply committed” to Warner Bros.’ theatrical model, but it’s unclear what that will actually look like in the long term. The messages have been mixed so far. Meanwhile, Sarandos, who said in April that going to theaters is “an outdated concept for most people,” appeared at Canal+’s 2026 Slate showcase in Paris in mid-December and affirmed that the streamer would honor all theatrical slots for Warner Bros. films in France, but apparently not in the short term.
Movie theaters remain in a precarious situation, and Warner Bros. titles are essential to keeping the lights on. 2025 includes: Minecraft movies (UK and Ireland total: £56.9 million) superman (£28.1m) and Apple Originals F1 The Movie (£22.4m), released by Warner Bros. on behalf of the streamer.
The acquisition could also have a significant impact on local distributors. Altitude has typically booked movies into theaters on behalf of Netflix in the region for a fixed fee per movie. Will Netflix end up showing all its already limited theatrical releases through Warner Bros.?
Warner Bros. also provides the leverage for modestly sized distributors to expand their theatrical releases, as was the case with Picture House. pillionhas now grossed nearly £1 million in the region through a joint release between Picture House and Warner Bros. Will such partnerships be part of a new era for Warner Bros.?
If Netflix decides to scrap theatrical release slots for Warner Bros. films, will BAFTA stand by its own release slot rules regarding award eligibility?Currently, to win Best Film, a film must first be released theatrically to paying audiences for at least seven days on at least 50 commercial screens in the UK, or have a run count equivalent to at least 350 screenings. Will Bafta come under pressure from the joint giants of Netflix and Warner Bros. to add more leniency to these requirements?
Will the number of British film production requests increase?
Netflix’s model of acquiring intellectual property rights from producers for a flat fee, depriving them of potential profit opportunities from future box office or pay-TV deals, differs from Warner Bros.’ model, where producers can count on positive returns from a film’s success. For producers, the expansion of the types of deals Netflix offers in the marketplace is worrying.
Netflix has already stopped commissioning films in the UK in recent years, with only a handful of films coming from British teams, including one by Edward Berger. Ballad of a little player, kate winslet’s Goodbye June and peaky blinders Adaptation of function.
Former Film4 director Olly Madden joined Netflix as head of UK film in October, offering a glimmer of hope that the company intends to increase its interest in the region. However, it remains to be seen what Madden’s powers are at Netflix UK, and whether they will expand if the Warner Bros. takeover is successful.
Will a merger between Netflix and WB reduce the amount of film and TV filmed in the UK?
Warner Bros. is the main source of UK domestic film and television spending. Warner Bros. production scheduled to shoot in the UK in 2025 will include featurettes clay face, Wuthering Heights and practical magic 2similarly harry potter series.
In particular, Netflix’s Dec. 5 acquisition announcement mentioned plans for the two companies to “significantly expand U.S. production capacity,” raising concerns about how the merger will impact this revenue stream going forward.
For those who didn’t leave the industry completely, the fear of a recession due to the Hollywood strike in 2023 is still fresh, and British production staff will certainly be hoping that Netflix’s acquisition of Warner Bros. won’t reduce the amount of production flowing through the UK. Netflix also needs to decide what to do with Warner Bros.’ Crew HQ, a film and TV crew training program that has been running in Leavesden since 2023.
How will the merged Leavesden, Shepparton, Longcross and De Lane Leigh work together?
Netflix’s studio footprint in the UK is already substantial, with the company currently leasing its Shepparton hub from Pinewood (understood to be a 10-year deal that began in 2019) and Longcross Studios from Aviva Investors.
Netflix plans to add Leavesden, which Warner Bros. acquired in 2010, to its roster. If Netflix maintains its current lease agreement, it will operate out of three studios, all within 30 miles of each other. There are also questions about how Netflix will use De Lane Lee, Warner Bros.’ sound mixing and post-production facility in central London.
What will happen when HBO Max launches in the UK?
Warner Bros. Discovery has announced that its streaming service HBO Max will launch in the UK and Ireland in March 2026, just days before the Netflix and Warner Bros. deal was announced. It is understood that the launch of HBO Max will proceed as planned, as the deal with Netflix has not yet been finalized, taking into account shareholder reaction and future regulatory hurdles. It will be home to top-notch IP including: The Sopranos, Game of Thrones, White Lotus and sex and the city, It was previously available on Comcast-owned streaming platform Now.
It was expected that harry potter The Warner Bros. Leavesden-filmed television series is scheduled to begin airing on HBO Max in 2027 and run for approximately 10 years. But will Netflix keep such a major franchise show alive outside of its crown jewel platform? Objectively, how long will Netflix be willing to allow HBO Max to operate as a competitive platform in a major market like the UK?
How will British broadcasters react?
Isn’t it time to start talking about Project Kangaroo again? This joint video-on-demand project was proposed by the BBC, ITV and Channel 4 in 2008, but was scrapped after the UK government’s Competition Commission (now known as the Competition and Markets Authority) blocked the proposal. But with Britain’s public broadcaster exposed more than ever to the power of American streamers, maybe it’s time to revive the concept – or has that time passed?
Is Netflix planning to add tourism to its portfolio?
Warner Bros. Studio Tour London – The Making of Harry Potter has grossed over $1 billion since opening in 2012. Netflix aims for complete monopoly in this lucrative tourism sector. Have you decided to have this expertise in-house? Maybe bridgerton A studio tour will be held in Bath soon. Wednesday Will Ireland open up the world? The possibilities now seem endless.
