Quality Irish films may become ‘thing of the past’
Screen Producers Ireland (SPI) issued the warning after it was revealed that Irish-made films, Veronica Guerin and Intermission, have grossed 6.5 million at the Irish box office.
Joel Schumacher’s take on the life of the crime journalist helped boost Irish cinema ticket sales by 17% in August compared to the same month last year. Both films were made in Ireland and benefited from the Section 481 tax break. It is planned to scrap Section 481 from the end of next year.
Large Hollywood film companies have also benefited, including the makers of blockbusters such as Braveheart and Saving Private Ryan.
A Department of Finance spokesperson said yesterday there was still a possibility Finance Minister Charlie McCreevy might change his mind on the tax breaks. He is to discuss with Arts Minister John O’Donoghue the impact on the industry if Section 481 is scrapped.
Film producers are adamant revoking the tax break will be a disaster and are concerned about the future of some of the 7,000 industry workers.
Ronan Glennane, of the Ward Anderson Group, which owns cinemas in Dublin, Dun Laoghaire and Galway, said large productions “simply won’t be made here anymore”.
“The number of indigenous films will seriously dwindle. The knock-on affects of the loss of the tax incentive will be felt not just by Irish producers and directors, but by the exhibition and distribution sectors also,” he said
SPI said the number of admissions between January to August is similar to the 11.5m recorded over the same period last year. Veronica Guerin was by far the most successful film made in Ireland, grossing over 4m. The total take for films at cinemas around the country this year is 80m.
Mr Glennane said: “The Irish box office has held its own this year largely due to the wealth and quality of Irish-made films which have attracted huge audiences. It proves there is a high demand from Irish people for Irish films. There is no doubt the cinema/exhibition sector in Ireland will suffer if the film industry loses its tax incentive.” SPI chairperson Joan Egan said: “There are 7,000 employed in Ireland in the cinema screen business and this high level of employment will be affected with the cessation of a tax incentive for film production ,” she said.
“We continue to have the highest admission levels per capita in Europe.
“However, the growth of the Irish film industry has played a major role in creating this momentum. Unless the Government realises film production cannot be sustained without a tax incentive, this momentum will cease rapidly and quality Irish films become a thing of the past,” she said.
An SPI-commissioned report claims the tax break does not cost the State and supports 4,300 jobs in the film production industry.
