The government extends tax break incentives for British films

The British film industry was one of the first victims of the coalition government's austerity measures with the abolition of the UK Film Council last year (a move that drew criticism from respected filmmakers such as Steven Spielberg and Clint Eastwood), but there's been some good news today as David Cameron has announced that tax incentives for UK films has been extended "to the end of 2015". This means that eligible films - those that spend 25% or more of their production budget in the UK - can qualify for a rebate of up to 25% of their production costs, making the UK up to 40% cheaper for filmmakers than the United States.

Citing the recent success of British-based blockbuster productions such as Captain America: The First Avenger, Clash of the Titans, Gnomeo and Juliet, Harry Potter and the Deathly Hallows: Part 2 and Pirates of the Caribbean: On Stranger Tides, culture minister Ed Vaizey paid tribute to the wealth of talent in the country: "The huge success of British films at the Oscars, the Golden Globes and the BAFTAs this year is clear recognition of our world class talent and creativity. But as a vital creative industry, it also has huge potential for economic growth. Film tax relief is at the heart of our drive to support the production of culturally British Films within a sustainable and vibrant industry. I'm delighted that we can give certainty to the industry for the next four years."

In addition to big-budget productions, the move should help smaller British films, with the likes Brighton Rock and Attack the Block having benefitted from the rebate scheme in the past year. Meanwhile the news was also welcomed by the acclaimed studio Pinewood Shepperton - which is currently hosting production of the 23rd James Bond outing, Skyfall, and recently lent its sound stages to the filming of Peter Jackson's The Hobbit prequels - with chairman Lord Grade of Yarmouth stating that: "This decision will deliver certainty for the UK's talented film-makers and will provide the platform for growth, investment and jobs in a growing segment of the economy."