The Irish screen industry has welcomed the introduction in the budget of a new tax credit for unscripted television productions as well as an 8 per cent “uplift” to the existing film tax credit for lower budget projects.
The unscripted television production incentive will “maintain momentum and expand the breadth of the Irish industry”, Minister for Finance Jack Chambers said.
“It is a source of great pride for Ireland that we have an international reputation as a centre of excellence for screen production, with a vibrant creative culture,” he said.
This new tax credit, which is subject to European Commission approval, will be available at a rate of 20 per cent on qualifying production expenditure of up to €15 million. The projects will be required to pass a cultural test.
Budget 2025 main points: Energy credits, bonus welfare payments, higher minimum wage and tax changes
Budget 2025 calculator: How this year’s budget will affect your income
VAT cuts for restaurants were a bad idea last month. Why are they a good idea now?
Got a mortgage? There is up to €2,500 in tax relief waiting for you
[ Audiovisual Ireland calls on Government to match UK screen tax creditOpens in new window ]
The hope is that the incentive, first floated by Minister for Expenditure Paschal Donohoe in his budget speech two years ago, will help the State become an international production hub for unscripted television, including “shiny floor” entertainment shows seeking a cost-effective base for filming series aimed at international audiences.
In recent years, several Fox Entertainment game shows aimed at the US broadcasting market have filmed in Dublin and Wicklow in partnership with Irish-founded company BiggerStage.
The Government will also bring in an 8 per cent uplift to the section 481 film and tax credit for feature film productions with a maximum qualifying expenditure of €20 million. This is to help close the gap between the 32 per cent relief offered under section 481, as it stands, and a new UK incentive.
The Irish screen industry had feared that the State would lose audio-visual industry business to the UK since the introduction of a 40 per cent credit for projects with a budget of less £15 million (€18 million) by former UK prime minister Rishi Sunak earlier in 2024.
There was no new measure for the visual effects (VFX) sector, but the Minister flagged that one would be considered.
Mr Chambers said he was “conscious of the importance of the visual effects (VFX) sector” within the Irish audio-visual industry. He said he had instructed his officials to monitor trends in the sector internationally over the coming year with a view to “providing options to introduce a sector-specific measure as part of Budget 2026, if appropriate”.
Screen Ireland, the national agency for the industry, welcomed the Government’s support for the local film industry, saying the 8 per cent uplift to section 481 would support Irish feature film production.
“Screen Ireland is delighted to welcome the incentive uplift to further develop Irish cinema, local production and creative artists. In an intensely competitive global industry, the fiscal incentive together with Screen Ireland investment, is vital in supporting Irish filmmaking and storytelling on screen, led by Irish creative talent,” said chief executive Désirée Finnegan.
Screen Ireland also acknowledged the Minister’s recognition of the future growth potential of the VFX industry and said the 20 per cent tax incentive for unscripted productions offered “further opportunities for growth across the Irish screen industry”.
Audiovisual Ireland, the Ibec-affiliated group representing the screen sector, said the budget announcement was “very positive” in light of increased competition from the UK.
