“We have a proud and long heritage here in British Columbia of film and television productions,” said Eby. ”But film production in B.C. has taken a big hit over the last few years, responding to significant impacts from the pandemic, multiple labour disruptions and changes to industry practices.”
He said the increased tax incentives ensures B.C. remains competitive in attracting both domestic and international productions, after California recently boosted its incentives.
In the next budget, B.C. will increase the tax credit for Canadian-content productions to 36 per cent from 35 per cent, and hike the tax incentive for international projects to 36 per cent from 28 per cent. When final, the changes will be retroactive to Jan. 1, 2025.
“Unless you do the accounting, you don’t know what a big difference that’ll make,” said the B.C. tourism and arts minister. Spencer Chandra Herbert, of the added incentives.
In order to attract bigger productions, projects with B.C. costs of more than $200 million will receive a two per cent bonus.
“That’s our way of saying to the big productions like The Last of Us that was shot here … that we want you back,” said Chandra Herbert. “Our communities want you back, and we want more of you.”
A day after they were sworn in as ministers, Chandra Herbert and Finance Minister Brenda Bailey were on a plane to Los Angeles as part of a delegation to meet with Hollywood studio heads to make a pitch for B.C.’s film and television industry.
The government said it also plans to restore an animation tax credit for companies that have a brick-and-mortar presence outside of Metro Vancouver, the Fraser Valley and Whistler/Squamish to encourage economic growth in regions outside of B.C.’s film hubs.
In October, California Gov. Gavin Newsom proposed to increase his state’s film tax credit program from US$330 million to US$750 million a year, hoping to attract more productions back to the state.
In 2023-24, B.C. provided $909 million in film and television tax credits.
B.C.’s film sector generates significant returns to the province, including tens of thousands of direct jobs, increased economic activity and boosting tourism.
Last year, it generated $2 billion in GDP despite a five-month strike and decrease in global production. In 2022, the film industry generated $2.7 billion, roughly one per cent of the province’s GDP.
Gemma Martini, chairwoman of Screen B.C. and CEO of Martini Film Studios, welcomed the B.C. government’s announcement as the “best Christmas present ever.”
The support was “heartening” for the industry after a tumultuous year, she said. “It is clear that British Columbia is a well-respected and preferred global production partner but we must be able to compete at the bottom line.
“We know our government’s announcement will put B.C. back into the game to earn our true Hollywood North reputation.”
