With work now well underway, this project cannot be derailed. It is worrying that one of the two major backers has dropped out without explanation. I can only assume that Cain must be in some sort of financial trouble and now feel unable to commit to such a massive venture. I'm hoping that Fulwell have the industry contacts to pick up the mantle and get this completed with minimal delay. The region can't afford for this to fail to materialise.
That's a big funding hole to find. Such a shame as we need some larger employers to take the focus away from Nissan. Let's hope they can find new investment but suspect the film industry and creative industries are finding it tougher out there.
It's a very big sum to find. Can't see that happening unfortunately, certainly not in the near term. Maybe a reduced project might be possible. Would like to hear more from Cain on why they have pulled out. Nothing much has changed that looks obvious since the earlier agreement. If the money for the project is classed as coming from abroad, which could be possible, then it's possible that some of the tax changes brought in might have spooked them. FDI into the UK. has collapsed to its lowest level in nearly twenty years in the last year. Maybe this project has been caught up in that. I can't think of anything else, so it would be good to hear from Cain.
Also,PE firms are pulling their horns in,worried about future returns and not being able to cash out,lots of potential deals being shelved.Cain may have been a victim.
Is it more of a case of the general financial issues within the film industry as to why this company has pulled out, feel like this will halt all works and will rumble on for years
It could be that too. Certainly businesses are retrenching all over. Many are moving abroad, others cutting hiring or laying off workers, or more often, not replacing those who leave. But the film industry is at a melting point, so it could be that too. Only Cain will know.
Aye,it's bad news. I suspect it's general financial and economic issues rather than something specific to the film industry.Kills all the optimism around the place. Let's hope some alternative finance is found quickly.
Just been on Tyne Tees news saying that Cain's commitment was for the full project but it's actually going to be done in phases. The first phase is something like £140 million. The council and other people connected with Crown Works are confident about finding new investment and say the demand for the studio space is definitely there.
Sounds not too bad that. Hopefully they get it going. Really interesting and dynamic idea. It will bring much else in its wake of it gets done fully.
