Spring Budget: Film & TV summary
Simkins' Film & TV team offers a summary of key announcements in the Spring Budget for the film & TV sector.
As part of the Government’s Spring Budget, the Chancellor yesterday announced a package of measures which will serve as a boost to the UK’s film and TV sector.
Jeremy Hunt told the House of Commons that “our film and TV industry has become Europe’s largest without creative industries growing at twice the rate of the economy”.
The Budget increases film and TV tax relief from a 25% rebate to an “expenditure credit” of 34%, effective from January 2024. Current tax reliefs will be replaced by a new “Audio-Visual Expenditure Credit”.
Despite industry concerns that the Government was considering raising the qualifying threshold for high-end TV programmes, the Chancellor announced this would be frozen at £1 million. The freeze is expected to continue to encourage investment in the sector.
In addition, the Government has also announced:
- a 39% expenditure credit for the animation and children’s TV sector;
- a drop in the minimum TV programme episode length from 30 minutes to 20 minutes for it to qualify for tax release, effective 1 January 2024; and
- a commitment to maintain the 80% cap on qualifying expenditure
After some months of uncertainty, the Government’s Budget commitments are likely to be welcomed by the film and TV sector.