It is less easy to describe the amounts to be allocated in the overhead expenditure section since it is highly dependent on the way the cinema is organised and operated. For example some services may be provided under a management contract by third parties or some overhead costs might be shared with a larger organisation (if the cinema is part of an arts centre for example). There are a number of independent specialised cinemas in the UK which receive revenue subsidy from regional and local public bodies to enable them to programme culturally significant films and carry out educational work. However, in real terms the value of this subsidy has declined significantly since the 1970s when many of these venues were established and most now offer a mixed programme and are much more heavily reliant on box office income than they used to be.
It is unlikely in the current political and economic climate that a new cinema would attract public subsidy for operation except perhaps at local level with some investment (often in kind – for example through charging nominal or no rent for a building) from a local authority. Project funding is at present in a state of transition, Creative England have recently launched a Film Culture Fund for audience development and film education, and the BFI plans to look at film funding priorities for distribution and exhibition post March 2012. However, in general, budgets should be built on the assumption that box office and ancillary trading income (bars, restaurants and screen advertising) will be required to cover all costs.
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