Business leaders on Wearside have backed council efforts to secure funding needed to deliver a “game-changing” film and tv studios development, following the news a key investor has withdrawn.
The vision for the huge £450 million Crown Works Studios was originally led by FulwellCain, a joint venture between global entertainment company Fulwell 73 and Cain International, who had hoped to build 19 sound stages at the riverside site and create thousands of jobs.
Enabling works on land next to the Northern Spire Bridge to make the site ready for development are already under way, paid for through public money, but building work on the flagship studios development itself has not started.
In an announcement on Monday (30 June), it was confirmed Sunderland City Council and the North East Combined Authority (NECA) are looking for fresh investment for Crown Works Studios after its initial backers, financiers Cain International, withdrew.
Sunderland City Council said Fulwell Entertainment “remains a committed champion of the scheme”, but that the proposals were now “being presented to the investment market, with the aim to put in place a final funder and developer later this year.”
Several key figures representing businesses on Wearside, reacting to the news on Tuesday (1 July, 2025), said they continue to back plans for Crown Works Studios and the renewed search to find funding to make the project a reality.
Sharon Appleby, chief executive of Sunderland’s Business Improvement District (BID), said she was “confident that this city won’t stop until it has secured the investment needed”.
“Sunderland’s ambition and determination has helped it deliver regeneration on a scale not seen for decades against a backdrop of unprecedented economic turbulence,” she said.
“Private sector investment – whether on a small or significant scale – doesn’t just fall into our laps in this city.
“It takes time, energy and effort to secure, and – if the market conditions shift – it can well fall away.
“Notwithstanding all of that, Sunderland has a track record of bringing in huge levels of investment, and there is a relentless spirit here that means I am confident that this city won’t stop until it has secured the investment needed to bring forward these game-changing studio plans.
“This is part of that journey.”
Rob Lawson, chair of Sunderland Business Partnership, a collective of the region’s businesses and organisations, said it was important to support the efforts of the council as it searches for new investment.
“Sunderland is a city of grit and determination – a place that digs in and delivers through adversity,” he said.
“Now is the time to get behind this investment search, and to support the efforts of the council, who – quite evidently – are working to ensure the city’s studio ambitions are not lost.”
Alex Kirtley, from Kirtley Co, owners of business hub Mackie’s Corner, credited the ongoing regeneration of Sunderland city centre and said it was important Sunderland “moves forward with the positive momentum”.
“Given the current regeneration of our city centre, businesses don’t need this development to thrive, Sunderland city centre will continue to grow with housing, workspace, new developments, experience and entertainment,” she said.
“We need to continue to educate the people of Sunderland and surrounding areas about the city centre offering , there is so much going on and more to come.
“Yes it’s a shame about the Crown Works funding but as a city we move forward with the positive momentum.”
The Crown Works Studios development has also previously been welcomed by the University of Sunderland as an opportunity for film production graduates to “fulfil their potential while remaining in, and contributing to, the North East”.
The comments came from Sir David Bell, vice-chancellor and chief executive of the University of Sunderland in early-2024, following Central Government Budget announcements at the time.
In a statement released this week, the University of Sunderland confirmed it remains supportive of efforts to bring Crown Works Studios to the city.
A university spokesman said: “The university remains fully supportive of the efforts that the city council is making to bring a major film studio development to the city.”
Image: Sunderland Labour
Cllr Michael Mordey, Labour leader of Sunderland City Council, stressed the film and tv studios “represent a game- changing opportunity for the city and we cannot wait to see them progress”.
“There’s an absolute commitment to secure the best possible delivery partner to move this forward and we expect that we will have funding confirmed and be ready to progress the first phase of the studios by the time remediation works complete later this year,” he added.
North East mayor Kim McGuinness said the Crown Works Studios could “eventually be the largest film and TV production complex in the UK outside of London and the South East”.
She added the development would “create thousands of new jobs for local people and end the days where people have to leave the North East to pursue a career in creative industries” and that “we remain confident that this will be a flagship site in a thriving industry for years to come.”
Planning permission for the development was secured last year, but detailed approval has only been granted for a first phase of building that would include four sound stages, production offices, workshop buildings, and a multi-storey car park.
The Government has provided an initial £25m cash injection, via the devolution deal which established the North East mayor, while Sunderland City Council and the North East mayoral authority have committed to ultimately invest up to £120m.
A specialist agent is being appointed by the council to engage with investors, which the authority said would still include the likes of Fulwell Entertainment – who were behind the Sunderland ‘Til I Die Netflix series.
A spokesperson for Fulwell Entertainment, in a statement this week, said they “remain committed to working with the council to find appropriate private funding, complementing the combined NE Authority and wider government funding needed to make these world class production studios a reality.”
North East Screen chief executive Alison Gwynn also said the region is “100 per cent committed to studio development as part of their support for the wider creative industry”.
“We are now excited to be looking for the right investor for the next stage of our region’s growth,” she added.
“The North East has never been in a better position to make the most of these exciting opportunities.”
Cain International have previously been contacted for comment.
