Both of his parents were artists, one a sculptor and the other a painter and theatre director. Early in his life, he considered going into film or being a painter.
He made his directorial debut in 2012 with the true-crime story The Imposter. It is about Frédéric Bourdin, a French man who claimed to be a missing Texas teenager. Layton won a BAFTA for Outstanding Debut by a British Writer, Director or Producer for the film at the 2013 EE British Academy Film Awards.
He both wrote and directed American Animals. It depicts a 2004 book heist, with fictionalized versions and interviews with real people. Among the interviewees are the original criminals behind the heist. He had initially discovered the story in a magazine. The film was picked up by MoviePass.

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