BFI to take on work of axed UK Film Council
It will take on much of the work of the UK Film Council whose abolition was announced by the government earlier this year.
Culture minister Ed Vaizey said it would save "significant amounts of money" that could be reinvested in the industry.
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Hide AdBFI chairman Greg Dyke welcomed the move, which he described as a "great vote of confidence" in the organisation.
He said: "We see an opportunity to reduce overhead costs, which in turn will allow us to put more of the Lottery funds into front-line activities and provide greater public value."
Mr Vaizey also announced he was setting up a Ministerial Film Forum that would meet every six months to discuss issues in the industry. He refused to be drawn on who would take part but said it could include "one or two interesting personalities".
He welcomed moves by Odeon cinemas to support the industry, including offering extra reward points to holders of its loyalty card when they see British films.
The minister added that he would like to see broadcaster Sky "seriously consider investing" in producing British films.