Investment in Regional Production Presents Great Opportunities for the Screen Industry

Audiovisual Ireland, the representative body for the screen industry within Ibec, has released key recommendations for the 2025 Budget and called on the Government to strengthen the indigenous independent production sector by enhancing the Section 481 tax credit incentive and to invest more in promoting regional production.

The Section 481 tax credit incentive should be increased from 32% to 40% for feature film, television drama, animation and creative documentaries where the global production budget is less than €20 million per project For VFX only projects the increased rate should be available where the Irish expenditure budget is less than €10 million per project.

Increased investment in regional skills development and production, including interim funding is recommended to bridge the gap until new regionally focused Section 481 measures are introduced.

Audiovisual Ireland acknowledges the significant progress made since the launch of the Audiovisual Action Plan in 2018, including increased funding for Screen Ireland and the significant increase in the Section 481 tax credit cap in the most recent Budget. However, more work is needed to fully capitalise on this success and secure a vibrant future for Ireland’s screen industry with regional growth providing a big opportunity for the sector. The film, TV, and animation sector is estimated to be worth over €692 million, comprising 11,960 jobs through direct, indirect, and induced employment across the economy.

Speaking on the submission, Torlach Denihan, Director of Audiovisual Ireland said:

"The Irish screen sector has seen remarkable achievements over the last decade. Now, we have a unique opportunity to take that success to the next level. By increasing fiscal incentives, growing regional skills and production, and promoting Irish language content, we can build a sustainable and thriving industry that showcases Irish talent to audiences both at home and globally.

We know there will be increased demand for independently produced productions, which presents a real opportunity for the sector. However, it is important to avoid over-concentration in certain locations and to spread production across the country. This will only be achieved through investment in regional skills and incentives to encourage production in the regions."

Key Budget 2025 Recommendations:

Fiscal Measures:

• Increase the Section 481 tax credit incentive from 32% to 40% for projects with budgets under €20 million.
• Conduct a study to explore introducing a Section 481 tax credit incentive uplift for producers based in Gaeltacht areas.

Screen Ireland Funding:

• Continue increasing Screen Ireland's current and capital funding to support Irish creative talent and attract inward production investment, benchmarking against similar agencies in other countries.

Regional Production and Skills Development:

• Invest more in regional skills development and production, including interim funding to bridge the gap until new regionally focused Section 481 measures are introduced.

Irish Language Content:

• Promote the development, production, and delivery of Irish-language content to showcase Irish culture and heritage.

Digital Piracy:

• Allocate additional resources to An Garda Síochána to combat digital piracy through investigation and prosecution.