New Tax Credit System Offered to British Film Industry
The government of the U.K. announced a new tax credit system this week designed to support the British film industry, which was applauded by the UK Film Council. In the Pre-Budget report, the Chancellor of the Exchequer confirmed the new rate of tax relief for low budget films (films budgeted up to £20 million) would be a net 20%. For big budget films (£20 million and above), the rate will be a net 16%. Both rates apply to the U.K. spend of a films budget, capped at 80%.