Behind the lens of March 2026: UK Film and TV insights

In 2026, buzzwords like digital-first, micro-dramas, the creator economy and vodcasts will face their moment of truth; Paramount’s Warner Bros. Discovery deal could reshape UK PSBs – will Sky and ITV tie the knot, and what about a BBC-Channel 4 merger? AI’s influence will grow with the anticipation of the first fully AI-generated feature film and increased use of generative tools by UK broadcasters.

The year is off to a flying start and the first 2026 edition of our UK film and TV newsletter covers how shifting viewing habits will see ad-supported streaming rise, cinema admissions decline and more YouTube experimentation, and discuss how studios will adapt by testing vertical drama formats while broadcasters strengthen partnerships with global streamers.


HARBOTTLE HIGHLIGHTS

Harbottle & Lewis and Animation UK Partnership

We are excited to announce our brand-new partnership with UK Screen Alliance /Animation
UK as their exclusive legal sponsor for 2026.

Since its inception, UK Screen Alliance, in partnership with Animation UK, has championed
the strengths of the sector, playing a pivotal role in securing the introduction of the UK’s Film
and High-End TV tax relief in 2013. More recently, the UK Screen Alliance and Animation UK
persuaded the UK government to introduce an uplift in respect of Animation and VFX in the
Audio-Visual Expenditure Credit.

Keep an eye on our LinkedIn to learn more about how we’ll be working with UK Screen
Alliance /Animation UK over the next 12 months. And if you’re a member, you may be seeing
more of us in the near future!

GROWTHLAB AND INDIELAB INNOVATION AWARDS 2025

2025 marked Indielab’s 10th anniversary, and as part of our ongoing partnership, we joined
their Growthlab conference in November for the launch of their first Innovation Awards.
Edward Lane, Clare McGarry, Katerina Capras, and Caitlin McGivern all attended and Ed
had the honour of presenting the award for ‘Outstanding Indie of the Year’ to CPL
Productions, the creative force behind MAFS UK, Love is Blind, 90 Day Fiancé, and A League
of Their Own, among others. It was a fantastic day and evening celebrating some of the
most exciting innovation and creativity across UK television and digital-first content.

CONTENT LONDON

Our annual industry “Harbottle Happy Hour” returned this year and was held at the German Gymnasium in King’s Cross. This was a great opportunity to catch up with friends, clients and contacts during one of the busiest weeks in the industry calendar.

WOMEN IN FILM AND TV AWARDS 2025

Back in December, Sarah Lazarides, Abigail Payne, Catherine Flood, and Caitlin McGivern attended the Women in Film and TV Awards, joined by key contacts and clients at our annual table. The awards celebrate the outstanding female talent across the film and television industry, and it was a pleasure to be part of such an inspiring event.

INDIELAB CONTENT FUTURES ACCELERATOR 2026

We are continuing our long-standing partnership with Indielab into 2027 as the exclusive legal sponsor of their Content Futures 2026 Accelerator.

This year, the newly rebranded Content Futures programme will focus on technology, branded entertainment, digital platforms and the global TV market, supporting participants in reaching their goals in distribution, funding, and investment.


INDUSTRY UPDATES

PACT/EQUITY UPDATE

UK film and TV performers vote overwhelmingly for AI protections

Equity’s indicative ballot in December saw 99.6% of participating performers vote to refuse digital scanning on set without stronger AI protections. Although not legally binding, the result prompted Equity to push Pact for improved proposals focused on explicit consent, transparency and fair compensation, building on standards set by SAG AFTRA. Pact has now issued a revised counterproposal that strengthens provisions around synthetic performers and maintains that existing protections, combined with UK GDPR, already offer comprehensive safeguards. Pact has also rejected claims that producers are selling biometric data to third parties, noting no evidence has been found, but has agreed to review GenAI market practices on a regular basis.

New Pact Equity TV Agreement rates card

As of 1 January 2026, the new rates card under the TVA is now in effect. Pact and Equity have
also agreed to extend the current rates under the CFA until 5 April 2026.

EMPLOYMENT RIGHTS ACT 2025

After the twists and turns of its parliamentary journey in 2025, the long-awaited
Employment Rights Act 2025 is now law. Read our note to see what this means for
employers in the film, TV and entertainment sectors: ERA 2025: the new Act and the
entertainment industry
.

NEW DIRECTORS UK BLANKET AGREEMENT

The updated agreement, effective from 1 July 2025, keeps commercial fees for PSB and Sky
commissions at current levels and introduces a 3% net revenue share from year eight on profitable, fully recouped programmes.

Producers do not need to include this in individual contracts, as it applies automatically unless a separate deal is less favourable. The agreement covers all new and returning commissions after the effective date and will be reviewed in 2028.

RIGHT TO WORK CRACKDOWN

Proposed Home Office reforms could see companies face fines of up to £60k per casual worker if they fail to carry out right to work checks on freelancers, extending existing obligations beyond standard employment contracts and hitting sectors reliant on short term labour such as film and TV. Experts warn that gaps in verification processes could create significant financial and reputational risk, and the clear message for employers is that right to work checks must be completed for every individual engaged, regardless of contract type or duration.

OFCOM STATEMENTS

In November 2025, Ofcom released two significant publications relating to the implementation of the Media Act 2024, which is expected to result in substantial changes in the media landscape by 2027. Ofcom’s report focuses on how streaming services that are available in the UK protect their audiences and further identifies areas for improvement.

Read our note on the key points and practical implications: Ofcom gives weight to the Media Act.

AI UPDATE: FIRMLY IN FOCUS FOR 2026

Disney Partners with OpenAI’s generative platform to license iconic characters

Disney is making more than 200 characters, along with costumes, props and vehicles from Marvel, Pixar, Star Wars and classic animations available on OpenAI’s Sora platform, allowing fans to create AI generated videos and images. Disney also plans to use OpenAI technology internally to support new products and enhance Disney Plus, with both companies stressing responsible AI use and a commitment to protecting creators’ rights while expanding storytelling and audience engagement. This is BIG news, especially given Disney’s historic reputation of being super protective over its IP.

No changes to the UK’s AI legislative framework

The UK has made no major changes to its AI framework following its government consultation, confirming it will retain a flexible, non-binding, sector based approach rather than introduce formal legislation (for now…). Although the consultation highlighted gaps and the need for more support, the government has kept its non-statutory model and committed funding to strengthen regulators instead of creating binding obligations. With other regions introducing comprehensive AI laws, the UK’s slower approach risks ongoing uncertainty for the creative sector seeking clearer rules on responsible AI use.

Getty v Stability AI: UK Appeal set to shape copyright & AI in 2026

Getty Images has been given permission to appeal its case against Stability AI. Getty’s original claims centred on the alleged use of millions of its images to train Stable Diffusion, but the primary infringement claim was dropped after the court accepted that training took place outside the UK.

After the primary claim fell away, Getty instead argued that making the model available for download in the UK amounted to importing an infringing copy, which the court rejected on the basis that Stable Diffusion does not contain copy’s of Getty’s works. The court recognised the issue as both novel and important and allowed an appeal on the meaning of an infringing copy, leaving open future arguments about AI training and primary infringement.

The Court of Appeal’s decision will be key in determining the reach of English copyright law reaches into global AI development.

IT’S ALL ABOUT COLLABORATIONS

BBC announces new strategic partnership with YouTube

The BBC is expanding its YouTube presence with new digital first programming, including targeted channels for children and young adults such as Deepwatch and channels featuring content from Operation Ouch, Horrible Histories, Horrible Science and Deadly 60. The partnership aims to boost the visibility of major BBC brands and deliver trusted news through global channels, live story streams and new storytelling formats to reach younger audiences who do not consume traditional BBC content. It also includes a UK wide creator development programme, with around 150 media professionals receiving YouTube training through workshops and events led by the National Film and Television School.

Netflix and Spotify’s video podcast partnership: a strategic move

Netflix has partnered with Spotify to bring a slate of established video podcasts to the SVOD platform, supporting its strategy to expand engagement through more diverse and timely formats. The selected shows sit within genres where Netflix already has a strong presence or ambitions to grow, including sport and true crime, and are intended to complement its mix of appointment viewing and more casual background content. The move is aimed at positioning the service more competitively against platforms like YouTube in the live and interactive space. While some questions remain about how this fits with Netflix’s premium brand, the partnership offers creators new distribution opportunities and opens the door for further live or timely formats.

Netflix and Sony expand exclusive movie pact

Sony and Netflix have expanded their Pay 1 deal into what they describe as an industry first worldwide arrangement that will roll out as Sony’s individual territory licences expire, giving Netflix exclusive first post theatrical rights to Sony films. The deal builds on their existing agreements in the US, Germany and Southeast Asia and is expected to reach full global availability by early 2029.

Titles covered include Sam Mendes’ four-part Beatles project due in 2028, Spider Man: Beyond The Spider Verse, the live action Legend of Zelda adaptation, Sony Pictures Animation’s Buds and The Nightingale, with Netflix also licensing select Sony feature film and television library titles.


IN THE SPOTLIGHT

M&A – THAT’S ALL, FOLKS!

Written by partner Ed Lane.

The last few days has brought big news on two of the most exciting “will they, won’t they” storylines we’ve had since Ross and Rachel. Paramount pipped Netflix to the post on Warner Bros Discovery and – hot off the press – Banijay Entertainment and All3Media have finally confirmed their merger of equals. Yes, please welcome to the stage (deep breath) Paramount Skydance Warner Bros Discovery and Banijay Entertainment All3Media. I am sure that someone is, as we speak, working on some better names.

Yes, big deals are back!

Paramount is forking out $111bn for Warners and the combined Banijay/All3 will be the largest production group outside of the US. We’ve also in recent months had French studio Mediawan’s acquisition of Peter Chernin’s The North Road Company and Sky and ITV in talks to do a $2.2bn tie-up.

After years of lacklustre M&A activity, what’s going on? Well, in this modern era, scale is survival. These are defensive moves. The move to streaming as the dominant business model has made access to huge amounts of content paramount. Audiences have never had more choice, and streamers have responded by competing for the best, most enduring IP. Scale also gives you pricing power and better terms.

The broader macroeconomic environment is still uncertain, inflation remains stubbornly high and interest rates are not coming down as quickly as expected. Uncertainty is the new paradigm. This should mean less M&A. The fact that we are seeing these big deals means all is not well. The Attention Wars aren’t going great for traditional media: competition from YouTube, Instagram, TikTok, purveyor of parasocial relationships OnlyFans and prediction markets has meant those selling more traditional content are fighting over an ever-shrinking pool of attention. People are spending less time watching long form content and subscriber growth has slowed.

These megadeals are really about securing a bigger slice of a smaller pie.

The question now for Paramount is whether it can get past the various regulatory hurdles and close the deal – this is only the beginning of a long process, in the course of which AI may have transformed (even more) the world of content. Meanwhile, Netflix’s share price has skyrocketed, telling us all we needed to know about the market’s view of the deal (at one point its share price has dropped by more than the $82bn it had bid for Warners). Netflix also receives a $2.8bn break fee for its troubles; not bad for a few months’ work.

At the smaller end of the market, we are seeing good levels of activity and hope to be able to talk about a number of cool things we’ve been working on soon. The main driver of the deals we’re doing is more positive: larger businesses acquiring indie expertise and experience in areas they want to expand into – it’s all about backing talent and giving them the resources to meet their full potential.

Until next time!

IP, THEREFORE I AM?

Increasingly, AI is being used to generate digital replicas, also known as “deepfakes”, of reallife individuals. This is often for commercial use, including on social media, to promote products and services. This is of particular concern for actors and celebrities, whose images and likenesses are widely available and accessible online, meaning that there is an abundance of source material for AI systems to draw from.

Intellectual property managing associate, Daniel Prim, shares his insight on how this development might unfold in the UK and its impact on the creative industry on our website.

McLaren v Palou: key takeaways

In a well-documented High Court case, McLaren has been awarded millions of dollars in damages after driver Alex Palou reneged on an agreement to drive for the Arrow McLaren IndyCar Team, and to provide reserve and test driving services to the McLaren Formula 1 team.

This case provides interesting lessons for teams, athletes, agents and brands relating to agreements between teams and their elite athletes, and commercial agreements with brands and suppliers.

In particular, this case shines a light on the following issues.

Agreements with athletes

SIGNING ON FEES

Any element of an athlete’s fee that is payable in consideration of their signature is likely to be unrecoverable by their team, as was the case in McLaren v Palou, in which the Court ruled that the signing on fee was a literal reward for Palou’s agreement to sign the contract. From the team’s perspective, it would typically be considered reasonable to ensure all fees are expressed as subject to performance by the athlete, payable in instalments, and refundable if the Driver defaults.

TERMINATION RIGHTS

If an athlete is entering into a contract in order to achieve a specific outcome, whether that be securing a Formula 1 seat or a regular starting position in a football’s team’s lineup, they should be advised not to rely on promises and non-contractual representations, but instead to consider ways to hold the team accountable contractually. For example, termination rights linked to the team’s failure to support an aspiring Formula 1 driver in his journey by offering him a certain number of rookie test sessions, or including a footballer in a certain number of starting lineups during each season, can help the athlete to exit a relationship that is not working, and avoid protracted, expensive legal proceedings such as McLaren v Palou. That being said, this case has demonstrated that contracts can, and regularly are, broken in sport. If a relationship is not founded on mutual trust, making the wrong long-term commitments can be career defining.

LIABILITY AND INDEMNIFICATION

In McLaren v Palou, McLaren claimed it had suffered substantial losses relating to its Formula 1 and IndyCar teams and their commercial agreements with third parties. These alleged damages far surpassed the fees payable to Palou under the driver agreement. Careful drafting can help athletes to avoid liability for losses that do not directly result from the athlete’s breach. As a minimum, if the team’s bargaining power is such that the athlete is on the hook for losses associated with the team’s agreements with third parties, the athlete should resist providing indemnities in this regard and should require the team to agree to an express obligation to take steps to mitigate its losses. In circumstances where an athlete is being courted by another team, the athlete should take a leaf out of Palou’s book, requesting an indemnity to shield the athlete from incurring these sorts of losses.

Commercial agreements with brands or key suppliers

KEY INDIVIDUALS

In cases where major commercial agreements are contingent upon the presence of key individuals in the team, suppliers, brands and teams should weigh up the benefits of making this contractual. From the supplier or brand’s perspective, this would provide them with clear recourse – and ideally the ability to exit – should the key individual leave the team.

From the team’s perspective, in the event of the athlete’s breach of contract leading to the sponsor or supplier terminating the agreement, the team will have a more straightforward claim against the athlete given the causal relationship between athlete’s breach and team’s loss. Better still, if the team is concerned about the athlete honouring the contract, an indemnity could be sought to cover anticipated losses. That being said, the benefits of naming key individuals in commercial agreements should be assessed on a case-by-case basis taking specialist legal advice, particularly as the risk of losing the athlete in a non-breach scenario could leave the team exposed.

PERFORMANCE BONUSES

A brand will often try to include a performance-related element in sponsorship deals. This might be tied to the fee or a break clause where a certain level of performance is not achieved. While the team may be confident of achieving the performance milestones, circumstances outside of the team’s control such as a key team member’s departure (or failure to join the team as expected) could compromise the team, leading to lower than expected revenues or the departure of key partners. In McLaren v Palou, the Court determined that McLaren could not recover all of its losses linked to failure to achieve performance bonus milestones, citing the inherent uncertainty in projecting performance outcomes notwithstanding the Driver’s talent. That said, it may be preferable for a team to agree to a lower overall guaranteed fee, over a higher fee that encompasses performance-related elements.

Our sports team has extensive experience advising teams, athletes, agents and brands on agreements with elite athletes, as well as commercial deals with brands and suppliers. For more information, please get in touch.

Meet the Indie Games Collective members

After launching the Harbottle & Lewis Indie Games Collective (IGC) in January, we are pleased to announce our programme members for 2026.

PROGRAMME OVERVIEW

Over the next six months, they will have access to a series of training sessions covering key legal and business topics, including an introduction to IP essentials, contracts, the use of AI, corporate housekeeping and much more.

THE IGC MEMBERS

Beyond the Pixels

Based in London, Beyond the Pixels develops original and licensed game IP designed to expand into film, TV and user-generated content. Their debut indie game Astro Burn is being developed in parallel as a TV show concept.

Epoch Media Studios

Based in Warsaw, Poland, Epoch Media Studios has just premiered their asymmetric horror game Soul Walker as transmedia IP, with plans to expand into film, animation and fashion collaborations.

Foolhardy Games

Based in London, Foolhardy Games develops indie games for Steam. They are currently working on their upcoming game Crashbound, a 2D side-scrolling strategy game where players aim to survive, expand and rebuild their airship to escape a hostile world.

Galatico Studios

Galatico Studios is an independent UK games studio based in Portsmouth that creates gameplay-driven experiences for PC, mobile and AR, with a focus on community. The studio also supports emerging developers through practical production experience, mentorship and collaboration.

Gamirare

Gamirare is an indie games studio based in Kyiv, Ukraine, currently working on projects Trickster Trove and SaaS Keeper. With game designers, developers, artists and storytellers, their focus is on building deep, re-playable worlds. Their portfolio includes dark fantasy PvPvE titles, storytelling tools and a creator platform.

Haaris Entertainment Ltd

Haaris Entertainment Ltd develops online entertainment focused on unique gameplay, distinctive characters, imaginative worlds and in-depth narratives. The London-based company aims to create experiences designed to inspire creativity and connections across multiple media platforms.

Lost Wanderer Games

Also based in London, Lost Wanderer Games aims to craft immersive gameplay experiences through meaningful storytelling. They are committed to innovation and creativity in order to reflect the diversity of the real world.

Ludo Gamelabs

Ludo Gamelabs is a games development studio from Manchester focused on creating innovative and engaging gameplay experiences. The studio utilises AI technology to support game creation and offers tools to assist developers in brainstorming ideas, generating assets and streamlining workflows. Their platform aims to empower creators and enhance the game development process. Recent projects include Wordhunters and Project Rome.

Pretty Cool Games

Based in Leeds, Pretty Cool Games are currently developing their debut title for PC and console, featuring physics-based gameplay. Their aim is to centre their business around creating unique, memorable and engaging IP.

Second Star Games

Second Star Games is a games development studio based in London that creates interactive experiences for young gamers and their families. The studio focuses on storytelling, unique mechanics and delivering exceptional story-led co-op experiences based on well-known and loved IPs (LEGO Star Wars), aiming to bring new worlds to life and create shared moments for families.

Silver Script Games

Silver Script Games is a Hampshire-based games startup currently focusing on their debut game The Quiet Things, an autobiographical game that deals with topics around childhood abuse and the impact that has on a person growing up.

South Westerly Games

South Westerly Games is a micro indie studio based in Hastings on the Southeast Coast, focused on developing and publishing games. The studio’s debut title, NINE ROUNDS RAPID, is a hand-painted, stylised roguelite top-down shooter for PC, PlayStation, Xbox and Switch.

Splash Games

Based in London, Splash Games is a tech-first games company building a platform for skill-based competitive play. They develop and operate original mobile games that allow players to compete in short, structured competitions where outcomes are driven by skill rather than chance. The company focuses on scalable technology, strong unit economics and operating responsibly within regulated environments.

The Goblin Workshop

The Goblin Workshop is a PC-first studio based in Surrey with four core values: a focus on action RPGs, influence from both the UK and Japan, visionary leadership and creating games that are dark but with a heart. 

Umbra Dynamics

Based in Scotland, Umbra Dynamics specialises in remastering classic games for modern audiences, preserving well-loved game heritage. The studio revitalises proven IP to make previously out-of-print titles accessible, with the aim of appealing to both nostalgic gamers and introducing timeless classics to new generations. 

Unannounced studio

This Derby-based games studio focuses on creating compact and innovative games developed with an emphasis on sustainability and ethical practices. With extensive experience in design, programming and independent publishing, the team is currently working on its first commercial project and looks forward to sharing it with players soon.

Unskippable Dialogue

Unskippable Dialogue is in the very early stages of development. The studio will focus on narrative experiences to tell stories about overlooked people throughout history. Their latest project focuses on lightkeepers of the 1860s and the surprisingly perilous work they undertook to keep the shipping lanes safe.

Verso Gaming

Verso Gaming is a UK-based skill-tech company creating regulated, skill-based competitive infrastructure for multiplayer games. Its platform integrates with PvP titles to enable fair and compliant competitive play, allowing players to compete for real rewards while protecting developers from risks. Verso aims to provide a trusted, ethical and scalable alternative to unregulated competition, prioritising skill over spending and safeguarding player autonomy.

Whetstone Games

Whetstone Games is a London-based studio focused on developing short, genre-blending games for PC and console, with an emphasis on sustainability, quick production turnarounds and small budgets. The studio’s first project, currently in early prototype stages, is a business simulation game centred on music production.

Loot box crackdown in the UK: what you need to know

What’s happened?

On 26 February, the UK Advertising Standards Authority (ASA), the UK’s advertising regulator, issued an Enforcement Notice concerning the disclosure of loot boxes in mobile game advertising and app store listings. For these purposes, “loot boxes” are random-item generators that can be acquired with real money, or with virtual currency obtainable only through real-money purchases. The notice was prompted by the ASA’s concern that mobile game publishers are failing to adequately disclose the presence of loot boxes in their games.

The ASA will begin actively monitoring compliance from 26 May, with targeted enforcement action to follow.

What is an Enforcement Notice?

An Enforcement Notice is essentially a warning to the relevant sector that the regulator intends to focus on this issue more intensively starting from the relevant date, giving the relevant businesses an opportunity to ‘get their house in order’.

We can expect a string of adjudications from the ASA (which enforces the CAP and BCAP Codes) on this subject in the months to come.

What are the rules?

Under CAP Guidance, the presence of loot boxes in a game is considered material information. This means the presence of loot boxes must be presented to consumers before they purchase or download a game (particularly for those with gambling-related vulnerabilities).

This can be achieved with a disclosure statement such as “Includes random-item purchases” or “Contains loot boxes” in a prominent location within advertising and app store listings.  

Players should not need to expand hidden sections or scroll through game descriptions to find it. Note that built-in app store labels such as “Offers In-App Purchases” are not generally sufficient on their own. Loot box disclosures must be presented prominently alongside, or as part of, any in-game purchasing information.

What should I do now?

If your game incorporates loot boxes, review your advertising and app store listings to ensure the appropriate disclaimers are included.

Bear in mind that the global loot box regulatory environment is fragmented. This is largely due to a lack of harmonisation of gambling regulation and consumer protection laws across many jurisdictions that have developed in different directions over time.  Territories with a particular interest in regulating and taking enforcement action in relation to loot boxes include Brazil, Netherlands, Poland, Belgium and recently there has been action in the US.  It is a good time to reflect on your global loot box approach, and update any internal policies.

If you would like to discuss this further, please contact Sophie Lewis and Kostyantyn Lobov.

AI, deepfakes and the protection of personality rights

Increasingly, AI is being used to generate digital replicas, also known as “deepfakes”, of real-life individuals. This is often for commercial use, including on social media, to promote products and services. This is of particular concern for actors and celebrities, whose images and likenesses are widely available and accessible online, meaning that there is an abundance of source material for AI systems to draw from.

In December 2024, the UK Government launched an “AI and Copyright” consultation. The Government sought views from the industry on whether “personality rights” legislation should be introduced, or if existing performers’ rights legislation should be amended in the UK to give individuals greater control over how their likeness or voice is used. The Government recognises that other countries have taken action, or proposals have been made, to address this issue. For example, in the United States, two bills were enacted in California in 2024 to protect performers regarding the use of digital replicas imitating an individual’s voice, image or personal attributes without consent (California Assembly Bills 2602 and 1836). In Denmark, a bill was proposed allowing individuals to own copyright over their physical likeness which includes face, body and voice.

There were over 11,500 responses to the Government’s AI and copyright consultation from a range of parties including creators and right holders, developers of AI models and applications, academics, researchers, cultural heritage organisations, and legal professionals. The Government will be submitting a full report and economic impact assessment of its consultation before Parliament on or before 18 March 2026.

Whilst it is currently unclear whether or not specific personality rights legislation will be introduced into UK legislation to protect an individual’s likeness or voice from being digitally replicated by AI, it is worth bearing in mind that there is a patchwork of existing civil rights in the UK that may be relevant to the use of digital replicas without the consent of the real-life individual. Enforcing these rights in the UK civil courts in the context of AI digital replicas is, however, currently untested.

The rights include:

  • Trade marks. A UK trade mark registration gives the holder the potential to sue for trade mark infringement in respect of signs that are similar or identical to which the trade mark is registered. A real-life individual may wish to register a trade mark using a portrait of their face to give them the potential avenue of bringing a trade mark infringement claim when a digital replica of their face is used without consent by an AI. Well-known figures have sought such trade mark registrations. For example, Jeremy Clarkson has recently obtained a UK registered trade mark comprising two photo portraits of his face. This approach has also been taken in other jurisdictions, for example Dutch models Rozanne Verduin and Yasmin Wijnaldum have registered portrait photos of their faces as EU trade marks.
  • Passing off. If the public is misled into thinking a real-life individual has endorsed a product or service via a digital replica, the tort of passing off may be helpful to bring a stop to what the digital replica is doing.
  • Misuse of private information. If the real-life individual can establish that they have a reasonable expectation of privacy in the information contained in the replica (which may, depending on the circumstances, include private events, or intimate scenes etc), then this tort may be helpful in relation to any unauthorised publishing of such information via the digital replica.
  • Data protection. Data protection legislation may also be helpful to prevent the misuse of personal data (which may, depending on the circumstances, include an individual’s likeness/voice) that has been processed by the digital replica’s handler.
  • Defamation. If a digital replica uses the real-life individual’s likeness/voice in such a way that causes the individual serious harm, the individual may have grounds to sue for defamation.

For now, the Government’s upcoming report on the consultation is due to be published by 18 March 2026 and is eagerly awaited by practitioners and the creative industry. It is almost guaranteed to encourage more debate on the issue of an individual’s personality rights in the UK.

ERA 2025: the new Act and the entertainment industry

After the twists and turns of its parliamentary journey in 2025, and many amendments later, the long-awaited Employment Rights Act 2025 is now law. We unpack what this means for employers in the film, TV and entertainment sectors for the year ahead. 

UNFAIR DISMISSAL CHANGES

Turning first to the biggest change, unfair dismissal rights. The Labour Government’s aspirational ‘day one’ right not to be unfairly dismissed did not become law. However, the changes are still significant.

From 1 January 2027, employees will need six months’ service to bring a claim for ordinary unfair dismissal (rather than the current two years), meaning anyone continuously employed on or before 1 June this year will have protection from unfair dismissal from the start of 2027.

The current statutory cap on compensation for unfair dismissal, a year’s pay or £118,223, will also be abolished.

This is a big moment in employments rights. Although moving from ‘day one’ to ‘six months’ feels like a welcome compromise, employers must take greater care to get recruitment practices right, assess fit early on and take decisive action when things do not go to plan.

For film and TV companies, who hire staff short term for specific productions, careful thought will need to be given to employment status and termination processes when a production wraps or projects come to an end.

Equally significant is the removal of the compensation cap. Employers are used to the comfort of the statutory cap representing a worst-case scenario for unfair dismissal claims, but such claims will have a higher potential value. In the entertainment industry, where talent, presenters, and behind the camera executives are on significant salaries, this change really will matter.

TRADE UNION EMPOWERMENT

The Act has promised modernisation of trade union legislation, and with this comes a shift of power back to the unions. The Government’s union proposals have largely made it into the final law, with the result that unions will have more freedom to access members and workplaces, call industrial action and secure recognition.

Major changes begin to take effect in February 2026 (with some immediate changes for the public sector before then). In relation to industrial action including strikes, unions will need a simple majority vote to take action, any mandate will last for 12 months, instead of six months, and the notice of industrial action will reduce from 14 to 10 days.

This change to the law is of particular relevance for the film and television industry at the moment, given British Equity’s indication late last month that it may hold a statutory ballot on industrial action if terms cannot be agreed regarding AI. This followed a poll of British Equity members in December, with 75% turnout, where 99% of members indicated that they would refuse to be scanned on set without AI protections.

During 2026, a framework will be introduced giving trade unions stronger rights of access to workplaces from October 2026, both physically and through digital communications with employees.

More detail will follow in Regulations over the coming months.

Union agreements and relationships form an integral part of employment terms and arrangements for many businesses in the entertainment industry. It will be important for employers to fully understand the enhanced union rights and consider how this impacts their own union engagement and industrial relations strategies.

FAMILY FRIENDLY AND LEAVE RIGHTS

Day one rights have been introduced for family and other types of leave, with most expected to come into effect in April this year, or in early 2027.

These include: an entitlement to at least one week of bereavement leave, including for early pregnancy loss; paternity and parental leave rights from day one of employment; and statutory sick pay applicable from the first day of absence.

Rates of pay in respect of such rights remain low or uncertain. Statutory sick pay is capped at £123 per week, and a significant increase is not currently contemplated. The day one rights in respect of maternity and paternity leave do not extend to statutory pay, with employees still needing a period of continuous service for eligibility.

This means immediate costs to businesses are not duly onerous, although employers should note there is an ongoing wider Government review on the parental leave and pay system, although the review stage will not conclude before 2027. 

For many employers in the entertainment industry, these reforms won’t mean significant changes, as many already offer over and above statutory entitlements. However, for smaller employers and productions with staff on short or fixed term contracts, it will be important to be aware of the changes and how they may impact policies and different staff groups.

AND THE REST…

The above is a snapshot of three key aspects of the Act likely to be especially relevant to the film, TV and entertainment industries, but there is a raft of further reforms to be aware of.

You can read our overview of the changes here and we will share further insights and webinar offerings as more details emerge.

The takeaway from here is that whilst there are undoubtedly reforms of significance, and employer clients need to use the coming year to get ready for the changes, businesses should not be unduly worried. Being informed and prepared will help the creative sector successfully navigate and manage risk in this new landscape.

Please reach out to our head of film and television and partner, Sarah Lazarides, for more information or training requests about employment law changes and their potential impact.

Join the Indie Games Collective

Today we launch the Harbottle & Lewis Indie Games Collective – a mentorship programme which will offer legal guidance to early-stage games businesses, to help them navigate in their next steps in the industry.

The 12-month programme will include expert-led training sessions on key topics like incorporation, fundraising and access to finance, key commercial contracts, IP and regulation; and access to a free legal helpdesk for all members throughout the programme period.

Members will be invited to attend networking events, where they can connect and share insights with others in the industry.

The programme is completely free, but spaces will be limited and filled from a pool of applicants.

If you are an early-stage games business looking for some guidance and support, and would like to take part, please apply below by Friday 23 January 2026.

Register for the Collective

View a list of FAQs here and read the full programme terms here.

The Employment Rights Act is now law: what this means for employers and employees

After a complex journey through Parliament, the Employment Rights Act has officially passed into law. While many of its provisions will require further detail through regulations following consultations scheduled for 2026, some key points are already clear. This new legislation heralds significant changes to employment rights and obligations, with important implications for both employers and employees.

Key changes to unfair dismissal rights

The most notable change concerns unfair dismissal rights, which will no longer be a ‘day one’ right contrary to the Government’s initial proposal. Employees must now complete six months of service before being eligible to bring a claim for unfair dismissal. This new service requirement will take effect from 1 January 2027 and will therefore apply to employees who start work on or before 1 June 2026, provided they are still employed on 1 January 2027.

In a surprising twist, the current statutory cap on compensation for successful unfair dismissal claims has been abolished. Currently, compensation is capped at the lower of one year’s pay or £118,223, effectively limiting pay outs for higher earners. With the removal of both caps, claim values could increase significantly, particularly for higher-paid employees, unless new limits are introduced through future regulations. This unexpected development has raised concerns among employers and could dramatically alter settlement negotiations and tribunal outcomes.

These changes come at a time when the Employment Tribunal system is already experiencing chronic delays, with many cases taking more than a year to reach a hearing. The removal of compensation caps may further exacerbate these delays, as higher-value claims could crowd out lower-value cases. Employers are advised to address any performance or conduct issues promptly, ensuring any necessary terminations occur well before January 2027 to avoid potentially higher claim costs.

Family and leave rights: a day one entitlement

The Act also introduces day one rights for family and other types of leave, expected to come into effect sometime in 2027. These rights include:

  • Bereavement leave: Employees will be entitled to at least one week of bereavement leave, which will apply to early pregnancy loss as well as all other types of bereavement.
  • Parental leave: Employees will have the right to 18 weeks of unpaid parental leave from day one of employment, to be taken any time between the birth of a child and their 18th birthday. Currently, low uptake of this leave is attributed to the fact that it is unpaid.
  • Maternity and paternity leave: These rights will also apply from day one, with no obligation for employees to disclose pregnancy or impending parenthood during recruitment.
  • Statutory sick pay: Employers will be required to pay statutory sick pay from the first day of illness, ending the current three-day waiting period. However, the statutory sick pay rate remains low, capped at £123 per week, with no indication of significant increases.

Trade Union rights: A shift in the balance of power

The Act introduces major changes to trade union rights, which will take effect from February 2026, with some immediate repeals for public sector workers. Key changes include:

  • The removal of restrictions on the number of employees allowed to picket their employer’s premises.
  • A reduction in the notice period for strike action from 14 days to 10 days.
  • An obligation on employers to provide all employees with written information about their right to join a trade union.

Other reforms

The Act also introduces a range of other significant reforms including:

  • Zero-hours contracts: Employees on zero-hours contracts will, in certain circumstances, have the right to guaranteed hours, and employers will be required to give reasonable advance notice of working hours.
  • Pay gap reporting: Employers with more than 250 staff will face extended paygap reporting obligations, aimed at addressing inequalities.
  • Menopause policies: Employers with over 250 employees will also be required to adopt and publish formal policies to support employees going through menopause.
  • Fair work agency: A newly created fair work agency will enforce rights related to minimum wage, sick pay, holiday pay, and modern slavery. However, further details are awaited regarding the extent to which this agency will replace employment tribunals for claims in these areas.

What’s next?

While the passing of the Employment Rights Act into law provides some clarity, much remains uncertain. Several consultations are underway, with more expected, and the start dates for many provisions have yet to be confirmed.

What is clear, however, is that the Act represents a significant shift in the balance of rights and obligations in employment relationships. Employers should take proactive steps to prepare for these changes, including reviewing policies, addressing current employee issues, and planning for the impact of these reforms on their business operations.

As more details emerge, employers will need to stay informed and adapt to ensure compliance with this transformative piece of legislation.

Ofcom gives weight to the Media Act

Yesterday, Ofcom released two significant publications relating to the implementation of the Media Act 2024, a piece of legislation bringing substantial changes to the media landscape by 2027. In this article, we summarise the key points and practical implications.

Review of Audience Protection Measures for Streaming Services

What has Ofcom published?

Ofcom has published a comprehensive report examining how streaming services (also known as on-demand programme services, or ODPS) protect their audiences. This covers major platforms including Disney+, Amazon Prime Video, BBC iPlayer and Now.

Why does this matter?

The Media Act introduces new standard requirements for streaming services available to UK audiences. Ofcom now has the power to examine and report on the measures providers are using to protect audiences, and to identify areas for improvement.

This review is part of Ofcom’s broader work implementing a new content standards code, anticipated to be named the Tier 1 Standards Code for designated Tier 1 services.

What did Ofcom find?

Ofcom assessed the following audience protection measures (APMs):

  • Age ratings
  • Content warnings
  • Parental controls
  • Age assurance mechanisms

Some good news: the current implementation of APMs is broadly adequate across the sector.

Areas for improvement:

  • Better user guidance: services should provide clearer information on how to find and use protection tools.
  • Enhanced content warnings: viewers want more detailed warnings, particularly episode-specific information for serialised content.
  • Cross-device consistency: parental controls need to work reliably across all platforms and devices.
  • Proportionality: protection measures should balance safety with user experience and not intrude on data privacy.

What should streaming services consider?

  • Review current APMs against Ofcom’s findings.
  • Consider how available protection tools are communicated to users.
  • Assess whether parental controls function consistently across all devices.
  • Ensure approach is tailored appropriately for UK audiences.

Ofcom plan to conduct a further review of APMs used by Tier 1 services once the Secretary of State has announced how Tier 1 services should be determined.

Channel 4 Commissioning Policy Guidance

What has Ofcom published?

Following public consultation, Ofcom has published final guidance on Channel 4’s commissioning obligations under the Media Act.

Why does this matter?

The guidance establishes clear requirements to ensure fair access, transparency and competition in Channel 4’s commissioning process. This creates a more level playing field for independent producers and increases accountability.

What are the key requirements?

Channel 4 must publish an annual Statement of Commissioning Policy covering:

  • In-house production separation: how Channel 4 maintains appropriate separation between its commissioning and in-house production activities.
  • Programme submissions: clear processes for how external programme proposals are handled.
  • Dispute resolution: transparent mechanisms for resolving commissioning-related disputes.
  • Annual reporting: year-on-year progress tracking to demonstrate accountability.

What should you consider?

If you work with or supply content to Channel 4:

  • Familiarise yourself with the new transparency requirements.
  • Understand the dispute resolution mechanisms available to you.
  • Monitor Channel 4’s annual statements to track changes in commissioning approach.

Next steps

These developments represent important steps in the evolving regulatory framework for UK media services. We will keep you updated as these changes get implemented along with other aspects of the Media Act.

If you have any questions about this article, please reach out to managing associate, Clare McGarry.

‘Earned settlement’ and further proposed changes to UK Immigration

It seems the changes to UK immigration policies in summer were just the beginning, as the Home Office has decided to gift us with an early Christmas present of further changes: some that have been recently implemented and those due to be implemented early next year. This was also echoed by the Home Secretary in the foreword of the latest consultation document, A fairer pathway to settlement: “it is clear the pace and scale of migration in this country has not just been unprecedented but also destabilising”.  

‘Earned settlement’ 

On Thursday 20 November, the Home Office released a policy document outlining the proposed framework of ‘earned settlement’ ahead of the government consultation. Most requirements outlined are subject to consultation. The consultation is open until 12 February 2026 and the intention is to implement the changes in the April 2026 Statement of Changes.  

WHO IS NOT AFFECTED? 

Individuals with pre-settled or settled status under the EU Settlement Scheme will not be affected by these changes. This also applies to applicants with permission as the parent/partner/child of a British citizen that meet the “core family requirements”, unless there are factors that could increase the qualifying period i.e. use of public funds/criminal convictions.  

10-year baseline to settlement 

The proposed baseline for settlement in the UK for all other individuals will be 10 years, and there will be a set framework of minimum requirements that someone applying for settlement will be required to meet. Aside from the “contribution” dimension, these are not subject to consultation. The requirements (subject to consultation) are as follows: 

  • Suitability: Must meet the general grounds of refusal found in the new Part Suitability section of the Immigration Rules. Must not have any current litigation, NHS, tax or other government debt. 
  • Integration: Must meet the English requirement at level B2 and pass the Life in the UK test. 
  • Contribution: Must have made National Insurance contributions by way of an annual salary or income of over £12,570, held for three to five years (this is currently subject to consultation).  

Factors that can reduce the minimum settlement period 

Where an individual may qualify for more than one reduction, the qualifying period will only be reduced by the larger figure, meaning the below factors cannot be combined.  

Separately, it is worth noting that there are also factors that could increase the individuals qualifying period i.e. receiving public funds – five/10-year increase; overstaying: 20-year increase.  

Will these proposed changes have a retrospective or retroactive effect? 

One of the worries for those already in the UK is whether these changes will apply to them, or whether they will only apply to people coming to the UK after these changes take effect. 

Unfortunately, we have no clarity on this yet. The policy states that it will apply to all immigrants, including people already in a route to settlement, but it also states that the consultation will look at whether to introduce transitional provisions for people already in a route to settlement and if so, what they should look like. 

A summary of further updates to UK Immigration 

If you have any questions in relation to any of the above, please get in touch with our immigration lawyers