Film tax credit cap increased by €20m
THE tax credit for film productions on eligible expenditure is being raised by 40pc to €70m as part of Budget 2016.
The previous cap stood at €50m and Finance Minister Michael Noonan says he hopes the move will attract foreign productions and create new jobs.
"This limit will be kept under review going forward.
"It is my hope that the industry will now make the necessary investments in studio space in order to attract high quality films and create new jobs. This change is subject to state aid approval," Mr Noonan said in his speech.
Chief executive officer of Screen Producers Ireland Barbara Galavan says that the increase in the cap is good news for the industry.
"It is good news absolutely and we would welcome it, I think it's improved Ireland's competitiveness," Ms Galavan told the Irish Independent.
While Ms Galavan welcomed the news, she said that there were disappointing aspects for the sector.
"The bit that we're disappointed in is that it doesn't come in tandem with an increase in film board funding. It's all very well attracting in this high-level foreign direct investment but you must support the indigenous sector as well."