George Osborne, Britain’s Chancellor of the Exchequer, the equal of other countries’ Finance Minister or Treasury Secretary gave his 2015 budget speech in parliament recently.
Osborne stated that the UK’s creative industries are a very important contributor to the British economy and we want to make our TV and film tax credits more generous.
Osborne went on to further state that “Britain is a cultural centre of the world, and with these tax changes, I am determined we will stay that way.”
The budget showed that the film tax relief will increase from 20 percent to 25 percent for all qualifying core expenditure and for all eligible film productions.” He added that “the distinction between limited budget films and all others will be removed.” subject to state aid approval by the European Commission. The changes will take effect on or after April 1, 2015 or the date of state aid approval, whichever is the later date.
A spokes-person for the British Film Institute said the new budget offered “yet further evidence that tax reliefs are working for the creative sector.”
Caroline Norbury, CEO of Creative England, said “2014 had been a record-breaking year for the creative sector, which was growing faster than any other industry sector.” Thanks to a winning combination of attractive tax-incentives and world-class creative talent. Film production brought an incredible £1.23billion to the UK economy and these incentives will enable us to compete on a global scale. It’s no accident that Disney chose to film its biggest blockbusters of 2015 in England”.