The creative sector in the UK is set to receive a welcome boost, earlier this year Chancellor George Osborne announced Corporation Tax Relief will come in to effect from April 2013. Whilst the tax relief is only being valued at what outsiders deem a relatively small amount (£50 million), it comes as a major boost to the creative sector.
The plan is to make the UK a more attractive location for the production of high budget video games, animation and television shows. It is hoped that the tax relief will stem a recent exodus of drama production from the UK, small screen productions such as ‘The Tudors’ and ‘Robin Hood’ have recently been shot abroad because it is cheaper to do so. The UK film industry has enjoyed the benefits of this relief since 2007, which provided £200 million in support in the past year alone.
Research carried out by the TV Coalition predicts that this relief could provide around £350 million per year as a result of high-budget TV productions moving to the UK. Not only this but the job market would also receive a welcome boost, with thousands of jobs being created and thousands more being preserved in what is a highly competitive economy.