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Film Industry Development

Dáil Éireann Debate, Wednesday - 30 January 2013

Wednesday, 30 January 2013

Questions (20, 33, 47, 128, 129)

Michael McGrath

Question:

20. Deputy Michael McGrath asked the Minister for Arts, Heritage and the Gaeltacht his plans for the future of the audio visual industry here; and if he will make a statement on the matter. [4468/13]

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Thomas P. Broughan

Question:

33. Deputy Thomas P. Broughan asked the Minister for Arts, Heritage and the Gaeltacht if he will report on the decision to extend section 481 the film tax relief scheme until the end of 2020; if he has set any annual targets for the film sector in terms of the attraction of international productions, revenue generated for the local economy and use of local crews and actors for example; and if he will make a statement on the matter. [4263/13]

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Bernard Durkan

Question:

47. Deputy Bernard J. Durkan asked the Minister for Arts, Heritage and the Gaeltacht the extent to which he continues to have discussions with film-makers at home and abroad with a view to facilitating the development of this country as a major world-wide filming location and thereby promoting the national image and economic recovery; and if he will make a statement on the matter. [4495/13]

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Bernard Durkan

Question:

128. Deputy Bernard J. Durkan asked the Minister for Arts, Heritage and the Gaeltacht the extent to which the film industry has developed and grown indigenously in each of the past five years to date; his plans for future development and expansion in this regard; and if he will make a statement on the matter. [4813/13]

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Bernard Durkan

Question:

129. Deputy Bernard J. Durkan asked the Minister for Arts, Heritage and the Gaeltacht the extent to which it is intended to promote the use of this country as a film location with obvious and consequent economic benefits; if he has had any discussions with potential film makers from overseas regarding same; and if he will make a statement on the matter. [4814/13]

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Written answers

I propose to take Questions Nos. 20, 33, 47, 128 and 129 together.

The whole area of the development of the Irish audiovisual industry was examined during the preparation of the Creative Capital Report – Building Ireland's Audiovisual Creative Economy . The Report was published in July 2011 and an implementation committee to pursue the execution of its recommendations has been established. One of the main recommendations in the Report is the extension of the Section 481 Scheme until the end of 2020; it is currently approved until the end of 2015.

A public consultation process to assist the Department of Finance in examining the operation of the Section 481 Scheme beyond 2015 was announced in May 2012. This consultation process invited interested parties to make submissions on the economic impact assessment of the operation, status and future development of the Section 481 Scheme. My Department was involved centrally in this consultation. In his budget speech last December, the Minister for Finance, Mr Michael Noonan, T.D., announced that the Section 481 Scheme will be extended to 2020. An important and significant change will mean that the scheme will operate as a tax credit model from 2016. This will allow an extended lead-in period to enable the sector to adapt to the change to a tax credit model. This very good news has been welcomed by the sector. The extension of this scheme gives a great deal of certainty to the Irish audiovisual sector to the end of this decade and will help to ensure that current jobs in the sector for indigenous crews and actors are maintained.

As the Deputies are aware, primary responsibility for the support and promotion of film-making in Ireland, in respect of both the indigenous sector and inward productions, is a matter for the Irish Film Board (IFB). This agency is funded through my Department and is independent in its day-to-day operations. As part of its remit, the IFB would have regular meetings with international film makers, as well as attending the major international film festivals to promote Ireland as a location for film making. I support that effort and, with An Taoiseach, recently met the renowned film director, Mr Stephen Spielberg.

The IFB targets for 2013 in terms of audiovisual production activity is for an increase in the value of such activity of over 20 per cent - from €180m in 2012 to €220m in 2013. In tandem with this, the IFB aims to increase employment in the sector from 6,600 full time equivalents (FTEs) to 7,800 (FTEs) – an increase of 19 per cent. These are ambitious targets for the audiovisual sector but, combined with the incentives from Section 481, I believe that they can be achieved.

Finally, with regard to the growth in the Irish audiovisual sector in the last five years, one simple indicator can be obtained by comparing the number and value of Section 481 (Film Tax Relief Scheme) projects approved between 2008 and 2012. In 2008, there were 38 projects approved with an Irish spend of €108m, while, in 2012, there were 52 projects approved with an Irish spend of €143m - an increase of 36.8% in the number of projects and an increase of 32.4% in the level of Irish spend.

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