Source: Radio New Zealand
Nicola Willis said the country’s screen sector contributed $3.5 billion to the economy each year. Photo: HAYKIRDI/Getty Images/ATEED
The finance minister says New Zealand is at risk of missing out on film productions as international competition intensifies.
The government is expanding eligibility for the International Screen Production Rebate scheme to allow smaller budget productions and digital effects only projects to benefit from the rebate.
Nicola Willis said the country’s screen sector contributed $3.5 billion to the economy each year.
“These changes ensure New Zealand remains a serious contender in an increasingly competitive global screen industry.
“They will help diversify our screen economy, build stronger partnerships in growing markets across Asia and the Middle East, and keep Kiwi talent in steady work while attracting new investment, skills and technology.”
From January next year the minimum spend for productions eligible to access the scheme would be lowered from $15 million to $4m.
More mid-budget productions would be enabled to qualify for a 5 percent additional “uplift” – with that part of the rebate’s eligibility threshold lowered from $30m to $20m – and post-production, digital and visual effects only projects would now also be able to access the funding boost.
The rebates would be funded through the additional $577 million provided to the scheme in the last Budget, bringing its total funding to $1.09b.
Willis said the updates would empower the screen sector to attract a broader range of productions.
“Modern screen production is borderless and dynamic. By staying agile and globally connected, we can turn Kiwi creativity into competitive advantage – keeping New Zealand on the world stage and growing one of our most distinctive export industries.”
Nicola Willis. Photo: RNZ / Mark Papalii
New Zealand Film Commission head of international attraction Philippa Mossman said changes to the rebate scheme would improve the position of the sector in an “intensely competitive” market.
New Zealand’s 20-25 percent rebate still lags behind other territories such as Australia (up to 40 percent), Ireland (32 percent), the UK (29 percent) and Canada (up to 29 percent).
Mossman said stronger rebates globally had seen fewer productions come to Aotearoa.
“We’re not at the top of the pack, and all over the world recently we’ve seen rebate rates increasing. It’s not a magic wand that will bring every single production in. We have to work hard to land every possible opportunity.”
She said the scheme had recently assisted productions such as Avatar: Fire and Ash, Minecraft, Spartacus: Chief of War and Predator: Badlands.
Mossman said the broader eligibility to the scheme would have flow-on benefits to tourism, hospitality and construction.
She said the move reinforced New Zealand’s reputation as a “creative powerhouse” in global film production.
A Screen NZ International survey in July revealed a sharp decline in productions and highlighted the need to improve the international competitiveness of the sector.
Vice chairperson Harry Harrison said the changes responded to the challenges facing the industry and acknowledged its contribution to the economy .
“Research has shown that every $1 of rebate investment generates more than $6 in economic return to New Zealand across Kiwi businesses, crew and creative professionals as well as tax payments back into the Government’s books.
“Kiwis make up over 82 percent of the workforce on these international productions, demonstrating the sector’s important role in employment and skills development,” Harrison said.
Actor Cliff Curtis said changes to the International Screen Production Rebate would make a real difference to the 34,000 people working in the country’s screen sector.
Curtis said people in industry were “heartened” to have the government listen to the sector’s pleas for greater support in the face of stiff international competition.
“These incentives are crucial. It means that we keep this connection with coming from where we come from and then going out into the big wide world and realising that we can lead. We’re not just in this race to survive we can actually lead our sector,” Curtis said.
He said the changes assisted the need to balance attracting international investment while also continuing to support local projects and story-telling.
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
