The Edinburgh International Film Festival, the Edinburgh Filmhouse, and the Aberdeen Belmont theatre have all ceased operations immediately.
The nonprofit that oversees them, Centre for the Moving Image, revealed that it had appointed administrators following a “perfect storm.”
Due to the consequences of the Covid epidemic, it reported a dramatic increase in prices accompanying a decline in trade.
It was announced that 102 employees were laid off as a result of the closures.
First Minister Nicola Sturgeon informed MSPs that she was “very alarmed” by the news.
It comes just weeks after the festival celebrated its 75th anniversary and casts questions on the future of the Edinburgh International Film Festival, the world’s oldest continuously running festival.
The CMI was established in 2010 and has managed Aberdeen’s Belmont Filmhouse since 2014.
In March 2020, just before the Covid epidemic, the CMI disclosed plans for a new £50 million cinema facility opposite the Usher Hall that would house the Edinburgh International Film Festival.
The proposals were welcomed by executives as a “21st-century sanctuary for movies.”
However, the charity has now called in administrators due to harsh post-pandemic conditions that have resulted in a more than 50% decline in attendance.
It was stated that mounting operations and overhead expenses, together with rising energy costs and inflation, had contributed to unsustainable cash flow issues and debt.
In a statement, the company acknowledged the anguish it would cause for employees who lost their employment.
A spokesperson for the CMI board stated, “We would like to express our profound gratitude to the whole staff team, whose passion for film and for the audiences and communities we work with and service has remained unabated despite the hardships of the past few years.”
In response to a question from Labour MSP Daniel Johnson at First Minister’s Questions, Ms. Sturgeon stated that the Scottish government will consult with the Edinburgh and Aberdeen city councils to determine whether assistance might be provided.
She stated, “The problem is of grave concern, and I am certain that many people in Edinburgh and Aberdeen will be deeply distressed by it.”
These are significant cultural organizations, and we all wish for their continued success.
Administrators Tom MacLennan and Chad Griffin have been recruited to evaluate the future of the charity and have stated that the CMI was “vital to the growth of Scotland’s booming film industry.”
Mr. MacLennan stated in a statement, “Unfortunately, CMI and its three subsidiary firms have been adversely impacted by a wide variety of reasons that have rendered the operations unsustainable, and administration was the only viable choice.”
We hope that firms currently functioning in the film sector as well as entrepreneurs seeking to enter the film industry would register their interest in the assets.
