Liz McManus (Wicklow, Labour)
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Question 16: To ask the Minister for Arts, Sport and Tourism his views on the tax breaks for the film industry here; the steps he has taken to ensure the extension of section 481 tax relief provision which is scheduled to expire at the end of 2007; if he will publish the Indecon report into film financing; and if he will make a statement on the matter. [31460/07]

Séamus Brennan (Dublin South, Fianna Fail)
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The Section 481 scheme was unique in Europe when first introduced and was thus very successful in attracting foreign producers to make films here. In the intervening period other countries have copied it and, in some instances, offer incentives that are ahead of our approach. The UK, in particular, has strengthened funding for film and has a number of tax relief options available for film investment.

While 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, my Department's main 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 Irish Film Board and the Department of Finance and any enhancements necessary to retain or regain competitiveness are addressed as appropriate. In this regard, the scheme was amended and enhanced in the Finance Acts of 2000, 2003, 2004, 2005 and in 2006.

The most recent review by Indecon arose from a commitment made by the Minister for Finance during his second stage speech for the Finance Bill 2007 to extend the scheme and, in that context. to review it to ensure that it was delivering the desired results.

In that regard, the Department of Finance, in conjunction with my Department, is currently examining the report prepared by Indecon International Economic Consultants on the case for improvement in respect of the Section 481 scheme. Indecon's terms of reference were to identify a structured and innovative way forward to develop and consolidate the Irish film industry, taking account of the serious international competition issues now apparent. The publication of the Indecon report is, however, a matter for the Department of Finance as the Department that commissioned it.

I am at all times committed to ensuring that the most advantageous system is put in place that allows the Irish film industry to develop and prosper, while delivering value for money to the Irish exchequer, and I will continue to strive to achieve that.