Chancellor announces UK Film Tax Relief boost
Date posted: 05.12.2013
Existing reliefs mean that film or television production companies with projects that qualify as British can claim film tax relief of between 20-25%, depending on their qualifying expenditure. Since being announced in 2007 the reliefs have seen an influx of production to the UK, significantly boosting the industry here.
The extensions to the reliefs announced today are:
- A lowering of the minimum spend requirement from 25% to 10%
- Making the Cultural Test more inclusive, in line with other European Member States' tests
- Increasing the value of the relief to 25% on the first £20 million of qualifying expenditure for large budget features.
These enhancements, coupled with the introduction of the high-end television and animation tax reliefs introduced earlier this year, further cement the UK's global standing as one of the most attractive production bases for major film and television projects.
Film London and British Film Commission respond
The news was welcomed by the British Film Commission, who played a leading role in coordinating the film industry's response to the Government consultation which led to these enhancements.
Adrian Wootton, Chief Executive of the British Film Commission and Film London, said:
"The UK is home to world-class film-making talent and expertise which help drive the industry forward, as demonstrated recently by the UK-produced and critically-acclaimed Gravity. However, in order to continue to attract business to the UK in a fiercely competitive global marketplace, our industry must be underpinned by effective fiscal incentives. The tax relief was a game changer when introduced in 2007 and today's announcement ensures we can continue to grow our industry, boosting the UK economy and creating British jobs; it will also encourage the production of more culturally British projects."
The Film Tax Relief has assisted the UK in attracting countless major features, including recent box office success Thor: The Dark World (Marvel) and the upcoming releases Malificent (Disney) and Jupiter Ascending (Warner Bros.), with Star Wars 7 (Lucasfilm) and The Avengers: Age of Ultron (Marvel) amongst major titles confirmed to shoot in the UK next year.
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