The last year has been marked by remarkable upheaval in the UK film and television sector, with significant layoffs issuing a stark warning about the industry’s health. Yet, contrary to this narrative of decline, a fresh report from talent agency recruiter Sumo reveals a surprising trend: staff levels at UK management companies are on the rise. Between February 2024 and February 2025, these agencies reported a 13% increase in their workforce, translating to an average of eight new hires per agency. This development paints a vibrant picture of a sector that, while grappling with challenges, continues to innovate and expand.
The Divergence of Agency Sizes
A deeper dive into the data reveals that smaller and medium-sized agencies—those with fewer than 40 employees—are the real champions of growth, outpacing their larger counterparts significantly. These agencies have experienced astonishing growth rates of 16% to 17%, in stark contrast to a mere 2.3% increase among traditional large firms. This trend may suggest that nimble agencies are better positioned to adapt to the rapidly evolving landscape of the entertainment industry, capitalizing on new opportunities while larger firms struggle with outdated structures and mindsets.
Further complicating the landscape, however, is the issue of employee tenure. While employees at these smaller, dynamic firms may enjoy the excitement of new opportunities, their average tenure of two years significantly lags behind the four years typical at larger agencies. This disparity underscores an important challenge; small and medium-sized agencies must craft retention strategies to harness the potential of their growing teams and compete sustainably with the established giants of the industry.
Digital Dominance: A Beacon of Hope
Amid these insights, the report shines a light on the burgeoning digital agency sector, which boasts a staggering 15% growth—a rate significantly higher than both unscripted and scripted fields. This surge not only highlights a shift in focus toward innovative market segments but also reinforces the importance of adapting to consumer demands in a digital-first age. While scripted agencies maintain a strong footing with an average employee stay of six years—indicating stability—they face the challenge of evolving their offerings to remain relevant in an increasingly competitive environment.
The struggles faced by traditional broadcasters and production companies emphasize the need for agility within the sector. As mid-range factual programming declines and American buyers scale back on their financial commitments, the UK industry must heed the warning signs and pivot effectively to survive. The latest survey from broadcasting union Bectu revealed that nearly half of respondents are currently unemployed, with a significant portion considering a move away from the industry altogether.
A Call for Resilience and Adaptability
In this climate of uncertainty, the necessity for resilience and adaptability becomes paramount. For agencies, the ability to harness the excitement and energy brought by new hires while also nurturing seasoned talent will be key to sustaining growth. The challenges facing the UK film and television industry are daunting, but those agencies willing to innovate, attract, and retain top talent will emerge as frontrunners in the post-volatile era. The industry is at a crossroads, and those who choose to embrace change will not only survive but thrive.