×
You will be redirected back to your article in seconds

New Zealand Expands Reach of Subsidies

Review shows incentives boost local economy. Threshholds reduced.

HONG KONG — The craft folk of Los Angeles County may deplore foreign subsidies that lure movie work away from their home base, but New Zealand intends to slightly expand the reach of its soft money programs for the film and TV production sectors.

The NZ government today unveiled tweaks to its Large Budget Screen Production Grant and its Screen Production Incentive Fund, to make both parts of it accessible to lower budget TV productions.

Changes to the LBSPG include lowering the threshold for the 15% rebate on television production from $15m to $4m of qualifying NZ production expenditure. The threshold for qualifying for the Post, Digital and Visual Effects Grant also lowers from $3 million to $1 million.

Changes to SPIF include the new requirement a minimum non-government investment in qualifying content of at least 10% for films, and at least 25% for television.  The threshold for qualifying animation projects is to be reduced from $1 million to $0.4 million per hour.

Movies including the “Lord of the Rings” franchise and “The Hobbit” were produced with NZ incentives. New Line Cinema’s “Hobbit” (pictured) on which Peter Jackson this week completed lensing in Wellington, even required the NZ government to rewrite the rules of the LBSPG.

The latest changes were announced by the Ministry of Business, Innovation and Employment and Ministry for Culture and Heritage, after a review of the sector praised the effectiveness of the incentive schemes.

The review said that the LBSPG generated a small net economic benefit; improved NZ’s reputation as a viable place to make world-standard productions and to do cutting edge post-production work; increased employment and the local industry’s skills base and infrastructure; as well as benefiting the wider economy, including the information and communication technology and tourism sectors and the suppliers of goods and services to the screen production industry.

“The results signal the Government recognizes the value of screen to the New Zealand economy, and the role incentives play in attracting large budget productions and in particular international investment into New Zealand,” said Film New Zealand chief executive, Gisella Carr in a statement.

More Biz

  • Luciano Bernardini de Pace, Pietro Peligra

    Variety Announces Launch of Variety Italy

    Variety has announced the launch of Variety Italy, a new Italian-language international edition that will feature original as well as syndicated Variety content geared towards an Italian audience. The partnership marks the publication’s second international edition, following the announcement of Variety China earlier this year. Variety has partnered with Web Magazine Makers, led by president [...]

  • Alan Horn Bill Tanner

    Alan Horn to Keynote Variety Business Managers Elite Breakfast, Bill Tanner to Be Honored

    Bill Tanner will be recognized with Variety’s 2019 Business Managers Elite Award at the annual Business Managers Elite Breakfast presented by City National Bank, which takes place in Beverly Hills on Nov. 13. Co-chairman and chief creative officer of The Walt Disney Studios Alan Horn will be the keynote speaker in conversation with Variety editor-in-chief, [...]

  • Smoke haze covers the Sydney Harbour

    Australia's Seven West to Merge With Affiliate Prime Media

    Australia’s Seven West Media has agreed a deal to acquire regional broadcast group Prime Media. The move is a further step in the consolidation of Australia’s traditional media industry. The two companies announced on Friday that Seven will make the acquisition entirely through the issue of new shares to the owners of Prime. Both companies [...]

  • Ron Meyer

    Ron Meyer Files $10 Million Suit Over Forged Rothko

    NBCUniversal Vice Chairman Ron Meyer has filed a $10 million suit against two art dealers, claiming they sold him a forged Mark Rothko painting in 2001. Meyer accuses Susan Seidel and Jaime Frankfort of duping him into buying the work. According to the suit, he was told that it would be included in an official [...]

  • Former movie producer Harvey Weinstein (L)

    Harvey Weinstein Seeks to Call Expert on 'Recovered' Memories at Rape Trial

    Harvey Weinstein’s attorneys are seeking to call an expert on “recovered memories” at his trial on rape and sexual assault charges. The defense has filed a motion asking to call Deborah Davis, a psychologist and professor at the University of Nevada at Reno. Davis is a frequent defense witness. She co-authored an article in 2006 [...]

  • Tekashi 6ix9ine Docuseries Coming From Showtime

    Tekashi 6ix9ine Docuseries Coming From Showtime and Rolling Stone

    Showtime Documentary Films today announced a new limited docuseries profiling controversial rapper Tekashi 6ix9ine. Titled “SuperVillain” and inspired by the Rolling Stone feature written by Stephen Witt, the three-part series will trace how a New York City deli clerk named Daniel Hernandez became superstar rapper Tekashi 6ix9ine — who racked up 2.6 billion streams and [...]

More From Our Brands

Access exclusive content