Martin Cullen (Waterford, Fianna Fail)

I propose to take Questions Nos. 1 and 2 together.

The Irish film industry is one of our most important industries, providing substantial levels of employment and significant inward investment. In 2007, the value of the audio-visual production sector in Ireland was more than €500 million. It provides direct employment of 6,000 people according to the Irish audio-visual content production sector review prepared for the Irish Film Board and published last December. Direct employment in the industry grew from just 1,000 in 1992. This palpably demonstrates an industry that has grown very significantly and with the potential to grow even further with the correct nurturing and support.

The Irish film industry is dependent on the combined supports provided by the Irish Film Board, the tax relief afforded by the section 481 scheme, the continued presence of a studio infrastructure - currently Ardmore Studios - and a stock of world-class talent. The sector is further subject to external competitive influences and incentives that require our systems to be continuously updated and upgraded. It is an internationally traded sector.

The Irish Film Board has primary responsibility for the support and promotion of film making in Ireland. This responsibility extends to both the indigenous film industry and inward productions such as "The Tudors". The Irish Film Board is the national development agency for the Irish film industry, investing in talent, creativity and enterprise.

In 2009 the Irish Film Board will receive funding of €21.8 million to develop and support film production in Ireland. The €3 million it receives in current funding facilitates the marketing of Ireland as a film location and, in particular, raises the profile of the Irish audio-visual industry abroad. The Irish Film Board has been extremely successful in its role of marketing Ireland over the years, so much so that it now has a key role at the heart of the new creative knowledge economy.

The capital funding of almost €18 million provided to the board in 2009 has ensured that it can facilitate the growth of the film industry by funding the areas of project and talent development, training and indigenous film and television production. It enables the board to fulfil its aim of sustained growth of the industry, increasing the number and quality of films produced in Ireland each year. The IBEC audio-visual review estimated that for every €1 invested by the Irish Film Board, close to €10 is generated.

In tandem with supports from the IFB, my Department's primary operational role in supporting the film sector relates to the administration of elements of the section 481 tax relief scheme. This scheme is kept under regular review in conjunction with the Irish Film Board and any enhancements necessary to retain or regain competitiveness are addressed and brought to the attention of the Minister for Finance as appropriate. The recently published report of the Commission on Taxation has urged the retention of section 481.

The benefits to Ireland of having a vibrant film industry and audio-visual sector are obvious and the Government recognises this. Last July it approved the finalisation of a ten-year strategy for the sector and that is proceeding apace. I remind the Deputy that the proposals in the report of the special group on public service numbers and expenditure programmes have not been adopted by the Government as policy but rather are proposals for consideration by the Government in the context of addressing the current budgetary challenges.

The international success of Irish film speaks for itself. On the employment front this year two projects alone, "Leap Year" and series four of "The Tudors", will employ more than 3,600 people between crew, cast and extras. These are high-level jobs which are highly prized at this time of rising unemployment.

The significant issue now is to continue to provide as supportive an environment as is possible. There are many great projects coming down the line such as Neil Jordan's "Ondine", starring Colin Farrell, Ian Fitzgibbon's "Perrier's Bounty", starring Cillian Murphy and Conor McPherson's new film, "The Eclipse". Our films are continuing to reach international audiences and they continue to showcase Ireland abroad.

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