Ministers are weighing whether to appoint the boss of one of the UK's biggest cinema chains as the next head of the British Film Institute (BFI) despite him being unable to serve a full term under its existing Royal Charter.
© Ooyala - Sky News UKTim Richards has previously served on the BFI board
Sky News has learnt that Tim Richards, the chief executive of Vue Entertainment, has been recommended as the preferred candidate to become the BFI's next chairman - a role that carries vast influence over one of Britain's most important creative industries.
Sources close to the process said that Mr Richards' name had been identified in recent weeks, and that it was awaiting formal sign-off by the prime minister and culture secretary.
Industry insiders, however, have cast doubt about the certainty of the Vue chief's appointment, with one saying on Wednesday: "This was supposed to have been announced by now, and the longer it drags on, the more I wonder whether there is an insurmountable issue with it."
© PAThe cinema industry has been badly hit by pandemic restrictions
Nick Clarry, the head of sports, media and entertainment at private equity group CVC Capital Partners and chair of The Old Vic theatre, and Caroline Michel, chief executive of literary agent Peters Fraser & Dunlop, are also understood to have been deemed "appointable" candidates for the post.
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One source said it remained possible that either of them could still trump Mr Richards if ministers had a change of heart.
Ms Michel chairs the BFI Trust, while Mr Clarry has no direct links to the film industry and has been positioned by allies as an independent candidate.
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The timing of the appointment is crucial, with the film industry - like many others - seeing its funding impacted by the COVID-19 crisis.
"The BFI has weathered the pandemic so far, but clearly events and fundraising activities need to reopen sooner rather than later or there will be a cash crunch, as is the case with other cultural bodies," said one leading indystry figure.
If he does get the nod, Mr Richards would only be eligible to serve as BFI chair for three years, rather than the full four-year term.
That is a consequence of him already having served two terms - totalling seven years - as a BFI governor, with ten years set as the maximum time that any individual can serve on its board.
Mr Richards stepped down from the BFI board last May, but emerged as a late entrant into the chairmanship race.
One source suggested that the government could be prepared to amend the BFI's Royal Charter once Mr Richards was installed as chair to allow him to serve until 2025, although this would require Privy Council approval.
As an arms-length body with charitable status and governed by Royal Charter, the BFI is one of the most important cultural institutions in Britain.
It is responsible for maintaining the world's most important film and television archive, distributing millions of pounds of National Lottery funding, and staging globally renowned festivals.
Chairing the BFI is regarded as one of the most prestigious roles in the British media industry, with the post most recently having been filled by Josh Berger, a former Warner Bros studio executive.
Mr Berger stepped down late last year after serving on the board for a total of ten years.
Some industry figures have questioned whether Mr Richards' appointment would represent a conflict of interest given his "industry and BFI insider status", although they acknowledged that the well-regarded Mr Berger had also been a governor prior to his elevation to the chair role.
One source said concerns had also been raised about the optics of anointing Mr Richards as the figurehead of British film-making if - as a result of the coronavirus pandemic - Vue was to be forced into a radical financial restructuring that could trigger substantial job losses or losses for creditors.
Screen International, the film industry title, reported last month that the original ten-strong list of candidates to replace Mr Berger contained only one woman - Ms Michel - and no ethnically diverse people.
A DCMS spokesman insisted that no decision had yet been made about Mr Berger's successor.
The BFI declined to comment, while Mr Richards could not be reached for comment.