Production of the new Lord of the Rings television series will move to the UK from New Zealand, Amazon Studios has confirmed.

The as-yet-untitled fantasy epic is set thousands of years before the events in JRR Tolkien’s books The Hobbit and The Lord of the Rings.

It is a major blow for New Zealand’s entertainment industry where the award-winning movies were also filmed.

UK culture secretary Oliver Dowden welcomed the decision.

He said: “Thousands of high quality jobs all across the UK will be created and supported by The Lord of the Rings television series so this is very exciting news.”

The Department for Digital, Culture, Media and Sport and the Treasury have been approached for comment on whether Amazon Studios has been offered financial subsidies to move production to the UK.