After months of bitching and spinning from both sides, the UK government has abandoned plans to merge the two bodies. Poor British Film Institute. Earlier this week, the government cancelled its cherished National Film Centre. The institute has absorbed 50% of the cuts announced by the culture department in its austerity package. I suspect the UKFC had second thoughts when it realised that the BFI’s charitable Royal Charter status would have meant the tail wagging the dog in any merged body.