Brexit and the Effects of the Proposed EU–UK Partnership Agreement on the Audiovisual Sector

Abstract

The audiovisual media industry has undergone and is undergoing a phase of global consolidation. While the sector is a significant component of the European economy, it is a special sector from a cultural perspective. Governments have reacted to this by trying to accommodate a tension between commercial objectives and what is perceived as ‘cultural’ objectives. Also the European Union has sought to reconcile these tensions. Now, Brexit poses further challenges for the global media sector, much of whose business activity was based in the UK.While the exact details of what Brexit would mean were unclear in June 2016, they have been partially clarified since then. The aim is to base the future EU/UK relationship on a free trade agreement, not on the Single Market. However, the audiovisual sector will be excluded from this agreement in line with the long-established precedent of a cultural exception in EU trade deals. The sector has widely understood these following extensive debates since 2013, ahead of adopting the EU mandate for the now-abandoned Transatlantic Trade and Investment Partnership (TTIP) negotiations with the US. Many international broadcasting groups have anticipated the end of UK Single Market access after Brexit by relicensing channels and relocating staff into the EU27. While the UK will retain and maybe grow some core strengths, notably around content production, its role as the leading European centre for global media companies is likely to be eroded by new hubs in the EU27, while UK-based media companies will continue to be affected by EU regulation in relation to market access as well as free movement. There are particular issues around data transfers and state aids. This article seeks to evaluate if the current negotiations cater to the interest of the audiovisual sector and if not, why not. Brexit, EU–UK Partnership, Audiovisual, Post-Brexit settlement, Personal Data, State Aid