John O'Donoghue (Kerry South, Fianna Fail)

I refer the Deputy to my previous replies of 26 October 2006 and 30 November 2006 regarding the incentives available for film production in the State. I explained at that time that the task of attracting international production to Ireland is dependent on a number of elements, not all of which fall within the sphere of influence of my Department or of the Irish Film Board. Decisions to site a film project in a particular territory involve complex funding, cultural, logistical and project-specific elements, all of which must gel for a successful result. As described in these previous replies, primary responsibility for the support and promotion of film-making in Ireland in respect of both the indigenous sector and inward productions is a matter for the Irish Film Board. This agency is funded through my Department and is independent of the Department in its operations.

My Department's primary role in supporting the film sector relates to the administration of elements of the section 481 tax relief scheme. I have previously outlined the Government's initiatives and enhancements of the scheme contained in the Finance Act 2006 in recognition of the changing dynamics of this industry, aimed at increasing Ireland's attractiveness as a film-making location. These incentives are kept under review in conjunction with the Irish Film Board and any necessary amendments to retain or regain competitiveness will be addressed and brought to the attention of the Minister for Finance as appropriate.

The Irish Film Board has been the driving force in such endeavours and, with its overall funding for 2007 increased to €19.7 million, it will be enabled to continue with its key role of developing and supporting film production in Ireland. The increased current allocation will facilitate the board in marketing Ireland as a film location and, in particular, will assist the work of the newly appointed film commissioner in Los Angeles in raising the profile of the Irish audiovisual industry abroad.

The welcome additional funding provided by me to the Irish Film Board in 2005 and 2006, totalling €3.5 million, was directed to supporting international productions that could demonstrate clear economic, industrial and cultural benefits to Ireland. The Irish Film Board's judicious selection of projects to support in 2005 resulted in significant additional Irish production activity worth €30 million in 2005 and €34 million in 2006. Therefore, €3.5 million generated €64 million. The evidence in employment, training and turnover is clear, going some way to restoring the health of the sector which had to rely on low scale indigenous production in 2004 and 2005.

The continuing increases in capital funding to the Irish Film Board since 2004 have ensured support to meet the demands of the industry in the areas of project and talent development, training and indigenous film and television production. The increased support enables the Irish Film Board to fulfil its aim of sustained growth of the industry, increasing the number and quality of films produced in Ireland each year.

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