The £700 million (approximately $890 million USD) Sunset Waltham Cross Studios project, once poised to be the largest film production facility in the UK, has officially been scrapped. The ambitious 91-acre development, backed by Blackstone and Hudson Pacific Properties, was intended to bolster the UK’s position as a global production hub. However, after years of delays, shifting market conditions, and ISG’s financial collapse, developers have abandoned the project and are now exploring alternative uses for the site.
From Industry Game-Changer to Canceled Project
Announced in 2021, Sunset Waltham Cross Studios was set to be a state-of-the-art production complex with multiple soundstages, designed to attract high-budget film and TV projects. ISG was appointed as the lead contractor in 2022, and enabling works by Erith got underway. But in 2023, the project hit a wall, with steel subcontractor Severfield removing the project from its order book, signaling deeper financial uncertainty.
For months, developers insisted the project was only paused—but this week, that changed. A spokesperson for Blackstone and Hudson Pacific Properties confirmed that “a studio development is no longer feasible at this time given market conditions.”
The Fallout of a Shifting Production Landscape
This cancellation comes at a precarious time for the UK’s film and TV industry. Following a surge in studio developments post-2020, including the launch of Sky Studios Elstree ($240 million USD), Shinfield Studios ($315 million USD), and Liverpool’s Littlewoods Studios, the market has cooled significantly.
A major factor has been the impact of the 2023 Hollywood writers’ and actors’ strikes, which forced major studios to reevaluate their long-term infrastructure investments. With global production still rebounding, many large-scale projects—including Sunset Waltham Cross Studios—have been left without the financial backing needed to move forward.
ISG’s Collapse and the Industry Impact
For ISG, the primary contractor on the project, the cancellation was a devastating blow. The £600 million ($765 million USD) contract was one of the firm’s largest, and its suspension contributed to ISG’s eventual financial collapse.
According to administrators EY, ISG had already been struggling due to pandemic-related issues, disputes over high-rise residential projects, and the collapse of the Britishvolt gigafactory project in Northumberland. The studio’s indefinite pause only exacerbated cash flow problems, ultimately pushing the £2 billion ($2.55 billion USD) contractor into insolvency.
What’s Next for the Waltham Cross Site?
With the film studio no longer on the table, Broxbourne Council and developers are now conducting a feasibility study to determine alternative uses for the site.
Council leader Mark Mills-Bishop expressed disappointment, stating, “It is my understanding that the market conditions are currently not favorable for new film studios across the UK.” However, he emphasized that Broxbourne remains committed to working with developers to bring new economic opportunities to the region.
The decision to cancel Sunset Waltham Cross Studios highlights the volatile nature of the film infrastructure boom and serves as a reminder that while the UK remains a major production hub, large-scale investments must be carefully timed to industry demand.
