BBC director general MarkThompson has said the broadcaster needs to look at raising its investment inthe UK film industry.

Thompson told an all-partyselect committee on Tuesday that the BBC would be willing to screen more UKfilms and less US fare. He added that the broadcaster should also look atboosting the $18m (£10m) a year it invests through production arm BBC Films.

"One of the questions weneed to look at inside the BBC is whether £10m is enough a year or whether weshould provide a bigger role."

Thompson's comments comeafter film lobbyists told the select committee, which is investigating theBBC's application for charter renewal, that the BBC's film output is dominatedby US fare.

Producers body PACT and filmsupport body the UK Film council said that less than £10m of the publicbroadcaster's $126.3m (£70m) film acquisitions budget went on local films lastyear.

"Over time, I wouldwelcome a chance to show more high quality British feature films and less poorquality American ones," said Thompson. "British film and the developmentand support of the British film industry by broadcasters is very important."