Figures from across the industry have been broadly supportive of the Chancellors announcement
By Matthew Corrigan
Published: October 30, 2024 Updated: November 1, 2024
Figures from across the industry have been broadly supportive of the Chancellor's announcement
target=_blank title=Share on LinkedIn class=share-linkedin> Figures from across the industry have been broadly supportive of the Chancellor's announcement
https://www.tvbeurope.com/business/creative-industries-react-to-budget-statement title=Share via Email class=share-email>
Figures from across the UK's media and entertainment sector have reacted to the new Chancellor's first budget.
In her first Budget speech, Chancellor of the Exchequer, Rachel Reeves MP, announced a forthcoming tax relief package aimed at reducing costs for visual effects (VFX) production for our world-beating creative industries.
From April 2025, film and high-end TV productions will be able to claim an enhanced 39 per cent rate of Audio-Visual Expenditure Credit on their UK VFX costs. Additionally, UK VFX costs will be exempt from the Audio-Visual Expenditure Credit's 80 per cent cap on qualifying expenditure. Costs incurred from 1st January 2025 will be eligible.
The budget announcement has been broadly welcomed by the UK's creative industry, with UK Screen Alliance stating the country is set to attract an additional £175 million per year of film and TV VFX spending, creating 2,800 new jobs. The government had previously identified the sector as a growth driver in its Industrial Strategy, unveiled earlier this month at its International Investment Summit.
UK Screen Alliance had campaigned for the removal of the cap and a more competitive rate of credit. Following the Chancellor's speech, Neil Hatton, the organisation's CEO, said: The confirmation in the Budget that the VFX rebate will be available from the New Year is terrific news for the UK's visual effects companies. We know that productions are making decisions right now on where to place their VFX work for 2025 and beyond. Today's announcement means that these clients will be incentivised to place many millions of dollars of inward investment work with the UK's award-winning VFX community, creating considerable value for the UK economy.
His sentiments were echoed by figures representing a broad cross-section of the creative community:
Sir William Sargent, chairman, Framestore Company 3, said: The UK's place at the heart of the global visual effects industry has been hard-fought, and these changes represent a significant step forward. This is a highly skilled, highly creative and highly innovative sector with technology at its heart, and the strides we make across film, TV, advertising and immersive experiences have wide-ranging benefits for a wide range of industries. As the impact of emerging technologies continues to grow, it is more vital than ever that we future-proof the UK as a place where the best artists, technologists and creative thinkers can push the boundaries of what is possible these changes will help them do just that.
Sue Lyster, executive in charge, Industrial Light and Magic, London added: We're incredibly pleased to hear the announcement of improvements to the VFX tax incentive in the Chancellor's Budget statement. This important step will undoubtedly retain and attract more VFX work to the UK.
Stefano Salvini, general manager, DNEG London said: The Chancellor's statement is very welcome news for our industry, and recognises its delivery of considerable economic value and strong potential for further growth. This announcement will incentivise productions to place more highly creative VFX work in the UK, driving technological innovation and crucially creating a significant number of new jobs in our industry. We are grateful that the government has also agreed to bring the implementation date forward, allowing these changes to make an immediate and positive impact on the UK's VFX sector.
BECTU, the UK's media and entertainment union, issued a statement welcoming the promising signs in Reeves' announcement, adding that they need to be backed up with the aforementioned Industrial Strategy. The union's head, Philippa Childs, said, There are promising signs in today's Budget that the government understands the incredible cultural and economic value of the creative industries. We welcome the minimum wage rise, which we hope will provide some welcome relief for many in the creative industries who continue to struggle due to low pay.
We're also pleased to see additional VFX tax reliefs, the boost for film and TV development in the North East and the wider commitment to driving growth and jobs across the nations and regions. We now want to see this localised funding translate into meaningful support for creative talent and jobs across the UK.
Many in the creative industries continue to face low pay, poor conditions and precarious employment and significant challenges remain for the workforce. We hope to see today's promising signs backed by a significant and sustained commitment to bolstering the sector via the government's Industrial Strategy.
Commenting on measures to boost the VFX sector, Anna Fry, partner and UK TMT tax market leader at consultants, EY, said, [The] announcement confirms that UK visual effects costs in film and high-end programmes will receive a 5% increase in Audio-Visual Expenditure Credit and can be outside of the 80% cap on qualifying expenditure. This broadly aligns with the previous government's proposals announced in the Spring Budget and will be well-received by the sector.
Although there are some caveats, such as the additional tax credit generally being available only after productions are completed, this measure highli
Europe Stories
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
04/07/2026
April 7 2026, 19:00 (PDT) Detective Conan: Fallen Angel of the Highway Opens in...
02/06/2026
Musically intelligent soft synth gets upgraded
Scaler Music will be probably be best known to many for their music theory tools, but their product range al...
02/06/2026
Powerful new vocal-production tool announced
Described as a vocal performance station , Klevgrand's latest plug-in combines pitch-correction with harmo...
02/06/2026
Launched alongside Go Green sale extension
McDSP have just released the latest addition to their APB line-up, DC-2 Dual Compressor, and have also announced ...
02/06/2026
Create custom tools for Ableton Live 12 Suite
Ableton have just introduced a new open JavaScript toolkit that allows anyone to create their own custom tools...
02/06/2026
Now features full H90 algorithm library
Eventide have announced the upcoming launch of the H9 Harmonizer Gen 2, a new and improved version of their hugely p...
02/06/2026
Plus UAD Half Yearly Sale now live
The latest arrival to the Universal Audio range delivers a new native pitch-correction plug-in that's capable of deli...
02/06/2026
Rohde & Schwarz to present comprehensive performance, conformance and spectrum-m...
02/06/2026
BTL Laboratory becomes Taiwan's first test house with a CTIA Certification c...
02/06/2026
If you've kept up with this article series, you know by now where to start w...
02/06/2026
With new DSP configurations and flexible licensing options, Calrec is removing the barriers to virtualised audio, giving broadcasters the freedom to scale produ...
02/06/2026
02 Jun 2026
VEON Closes USD 1.4 Billion Bond Offering, Refinancing 2027 Notes A...
02/06/2026
Praise for series three:
The Times - sun-dappled pleasure
The Daily Mail - The Homes Counties' Charlie's Angels
The Sun - 4* this [is an] enjoya...
02/06/2026
Wuppertal June 2, 2026
Gudrun Scharler Appointed CEO of Riedel Networks The Riedel Group today announced the appointment of Gudrun Scharler as CEO of Riedel N...
02/06/2026
Trust has become a commercial issue With global advertising spend forecast to exceed US$1 trillion this year*, the commercial consequences of weak governance co...
02/06/2026
June sees Ireland's cultural calendar in full bloom, as RT Supporting the Arts showcases a vibrant and wide-ranging programme spanning music, theatre, visu...
02/06/2026
After The Traitors Ireland launched in 2025, Irish audiences proved to have a taste for the global hit reality show. This Bank Holiday Monday fans can indulge e...
01/06/2026
Category line-up & sponsors announced
Photo: Paul Clarke
The Production Music Awards (PMA) have announced that submissions are now officially open ahead of...
01/06/2026
New hybrid sample/synthesis instrument revealed
Excite Audio have just released the latest instalment in their Evolve series, which has been developed in co...
01/06/2026
Latest TONEX expansion captures three rare vintage amps
The newest addition to IK Multimedia's ever-growing TONEX line-up introduces a set of three incr...
01/06/2026
Musically intelligent soft synth gets upgraded
Scaler Music will be probably be best known to many for their music theory tools, but their product range al...
01/06/2026
Rohde & Schwarz Satellite Industry Days 2026 guided by the motto From Earth to ...
01/06/2026
Luxembourg, June 1, 2026 - SES, a leading space solutions company, and Viva, Mexico's ultra low-cost airline, launched fast and reliable multi-orbit satelli...
01/06/2026
Mardi 2 juin 14h00
FilmLight (ARRI), 10 rue Ren Boulanger, 75010 Paris
Rejoignez-nous pour d couvrir comment FLAPI (l'API FilmLight) peut transformer e...
01/06/2026
January 6 2026, 05:30 (PST) Dolby Sets the New Standard for Premium Entertainment at CES 2026
Throughout the week, Dolby brings to life the latest innovatio...
29/05/2026
The days are getting longer, the temperatures are rising, and playlists are filling up for the season. With summer around the corner, Spotify's global edito...
29/05/2026
New retro-inspired MPC announced
There are few devices that have gained the status held by Akai Pro's MPC range, and in recent years, the company have s...
29/05/2026
Save up to 30 on acclaimed titles
Following a successful launch at Superbooth 2026, Bjooks have revealed that they will be continuing the Kickstarter campa...
29/05/2026
Binaural monitoring application improved
Genelec have just released an update that brings some powerful new features to their HRTF-based binaural headphone ...
29/05/2026
6 June 2026 at SAE Institute, London, UK
IMSTA FESTA 2026 is almost upon us, with some of the biggest names in pro-audio set to descend upon SAE Institute i...
29/05/2026
cetecom advanced certifies Rohde & Schwarz test solution for hybrid and Next Gen...
29/05/2026
May 29 2026, 09:00 (PDT) Dolby and rednote Bring More Immersive Storytelling to...
29/05/2026
Youtube exclusive special drops today
Watch now
UKTV today announces another e...
29/05/2026
Genelec announces V2.1 for Aural ID binaural headphone monitoring application posted: 29/05/2026
Aural ID 2.1 enhances binaural monitoring for stereo and ...
29/05/2026
At just 20 years old, Sean Melia from Summerhill Co. Meath has been revealed as the winner of Super Garden 2026. Sean is the youngest ever contestant and winner...
28/05/2026
Thomsons Climate Crisis Toolkit is already being put to work, helping journalist...
28/05/2026
A little refresh can go a long way. We've been making behind-the-scenes upda...
28/05/2026
Since early last year, our quarterly Creator Milestone Awards have celebrated podcasts from around the world that hit major streaming milestones on Spotify. Tod...
28/05/2026
New software-based MIDI multi-clock announced
Rapid Flow have just announced the launch of a new MIDI utility plug-in that aims to solve one of the most per...
28/05/2026
Company introduce most affordable interface yet
SSL's range of audio interfaces has just gained its latest, and smallest member, the SSL 1. Designed to ...
28/05/2026
New compact drum machine & sampler announced
The latest instrument from Sonicware sees the company kick off an all-new Deconstruct series with a compact dru...
28/05/2026
Hellenic Civil Aviation Authority modernizes nationwide ATC voice communications...
28/05/2026
Comscore Announces Appointment of Matt McLaughlin as Chief Executive OfficerJon Carpenter to remain as Senior Advisor to the Board and CEO
Global business lead...
28/05/2026
Wuppertal May 28, 2026
Berliner Ensemble Upgrades Backstage Infrastructure With Riedel Stage SystemsRiedel Communications today announced that Berliner Ensemb...
28/05/2026
Harmonic's Software-Based XOS Advanced Media Processor Powers Cost-Efficient 24/7 Channel Origination and Direct-to-Consumer Delivery
SAN JOSE, Calif. - M...
28/05/2026
RT presents Wild Conamara, a two-part natural history documentary that brings a...
27/05/2026
Spotify already brings together listeners' favorite music, podcasts, and audiobooks in one place. Now, we're trialing a new format that expands the cont...
Figures from across the industry have been broadly supportive of the Chancellors announcement
