Martin Cullen (Waterford, Fianna Fail)

At the outset, I extend my congratulations to all of the team behind "New Boy" on its Oscar nomination last week in the best short film category. In that regard, I congratulate the Irish Film Board, IFB, which funded the production. I also extend my congratulations to the other Irish nominees, Mr. Martin McDonagh and Mr. Nathan Crowley. I also heartily congratulate Mr. Colin Farrell and Mr. Gabriel Byrne on their Golden Globe wins. In a truly amazing month for the creative community in Ireland, I am sure the House will join with me in congratulating Mr. Sebastian Barry on winning the Costa Book Award last evening.

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 IFB, which is funded through my Department but is independent of the Department in its operations. I have no role to play in the day-to-day conduct of its business. My Department's primary operational role in supporting the film sector relates to the administration of elements of the section 481 tax relief scheme. The scheme is kept under regular review in conjunction with the IFB and the Department of Finance and any enhancements necessary to retain or regain competitiveness are addressed as appropriate.

The most recent amendments in 2008 related to extending the scheme until the end of 2012, increasing the overall ceiling on qualifying expenditure from €35 million to €50 million for any one production, increasing from €31,750 to €50,000 the annual investment limit for each individual taxpayer and an increase from 80% to 100% in the amount of the investment that can be offset for tax purposes.

Amendments relating to the increase in the ceiling on qualifying expenditure and the increased percentage in the amount of investment that can be written off for tax purposes have not commenced yet. These amendments are awaiting the approval of the European Commission because, as the Deputy knows, they involve State aid. This approval is expected shortly. Accordingly, no film or television project commenced under the new amendments in 2008. However, in 2008 a total of 38 film, animation and television projects received approval for section 481 funding, an increase of four projects when compared to 2007. The film and television production sector is the core activity of the Irish audiovisual industry, which employs approximately 7,000 people and was worth approximately €550 million to the economy in 2007. Its importance to Ireland's smart economy is essential.

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