Union welcomes film tax break

BECTU has joined the rest of the film industry in welcoming a new tax credit announced by the government.

The new arrangement, intended to ease tax bills for UK film-makers, will replace the existing "Section 48" rules from April 2005

It increases the level of relief available to production companies from 15% to 20%, and will be available to films with budgets up to £20 million, instead of the current £15 million.

However, in a marked departure from the Section 48 rules, tax relief will claimable only by companies, and not by individual producers.

Martin Spence, BECTU Assistant General Secretary, said: "Taken as a whole, the package should help generate real investment in UK film production, and demonstrates the Government's continuing commitment to the industry".