Several indies pull out of PACT

Several indies have decided not to renew their membership of industry body PACT.

At least eight small and medium companies are leaving, according to reports. They say a rising membership fee is not justified for the representation they get.

Three indies who have confirmed their decision are Zig Zag, Betty and Firecracker.

"It is quite simply a cost issue for us," said Betty's managing director Andrew Conrad. "We had been having doubts for a while but the recent rate hike has put this into perspective and we don't now feel the service is worth the fee PACT demands.

"I am sure PACT does a good job on many levels but I don't feel that indies like us are properly represented. I think many medium- sized indies feel like they are very small fishes in a very big pond."

The three companies are members of the medium-sized producers group New Independent Producers Alliance.

PACT recently introduced a new fees structure which means many production companies pay more.

John McVay, PACT's chief executive, responded: "Turnover in the indie sector is up by around £2bn as a result of PACT's work. We have added significant value to the sector and by winning the terms of trade we enabled indies to own their own IP and build a sustainable production business for the first time in 20 years.

"I didn't want to put the fees up but it is something we have had to do to continue offering a level of service to our members."