Kerre Woodham: Stage set for a fight

Sir Peter Jackson. Photo / Getty Images

I have huge admiration for actors in this country. Those men and women who've been able to fashion careers out of such a precarious industry are admirable but in this dispute with the producers of The Hobbit, I rather fear they've got a tiger by the tail.

You can only make demands from a position of strength - even if the demand is as benign as to just negotiate - and in an industry where supply massively exceeds demand, the power rests with the employer.

It gives the producers an excuse to go to other countries that may not offer the magnificence of the scenery - but the munificence of tax breaks will more than make up.