The UK government will extend tax breaks for the film industry in Britain after plans were approved by the EU. The scheme will provide production companies with tax relief up to 25% off costs.
The new tax relief scheme, which will allow production companies to claim 25% towards the cost of production and helped 222 films in 2014, is expected to attract more blockbuster productions to the UK. Recent successes to have benefited from the scheme includes Woman In Black 2 and Far From The Madding Crowd.
All films will have the opportunity to gain from the tax break after it was previously only available for those productions with a budget over £20m.
Chancellor George Osborne, having announced the plan during his budget, said: “These tax credits, that support both film and TV production, create around £2bn worth of business for Britain. That’s many thousands of jobs and lots of different industries, not just acting but film-making and costume design and set design. All of those things are really brilliant jobs supported by this brilliant industry. It’s also a great advert for the country.”
“The film tax relief is a key ingredient in the UK’s winning combination of outstanding film-making talent and crews, world-leading studios and facilities, and iconic locations,” said Amanda Nevill, chief executive of UK film body the BFI.
“It keeps us competitive on the world stage, and helps grow our economy and create jobs at home. We warmly welcome this extension to the tax relief and the government’s continued commitment to the UK’s thriving film industry.”