The UK Film Council has officially closed and transferred its responsibilities to the BFI. In the wake of the UK government's decision to axe the council, widespread condemnation followed, from the British film industry to Hollywood.

There was a sense of desperation as the UK film industry had no clear government body to help young talent, or guide film productions coming from overseas.

From today, the transference of responsibilities to the BFI has been put into place with 38 former UKFC employees working at the British Film Institute.

With the recent Oscar victory of 'The King's Speech' its hard to comprehend how a successful agency that brought a huge economic benefits to the British economy was axed.

Funding for films is set to be increased by a lottery grant from today's £28 million to over £40 million by 2014

Critics are still vocal about the decision to close it. According to the Guardian, the National Audit Office report revealed closing the organisation cost £12 million, 4 years worth of salaries.

The UK Film Council's axe was most likely a political move to silence a Labour era initiative, despite its flaws. Will the BFI's new powers stand the test of time?