Michael Cahill (Kerry, Fianna Fail)
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55. To ask the Minister for Finance if he will prioritise the introduction of a new regional AV tax credit in 2026; and if he will make a statement on the matter. [3645/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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Finance Act 2018 introduced a short-term, tapered regional uplift under the section 481 film tax credit for productions being made in areas designated under the State aid regional guidelines (among other criteria). The purpose of the regional uplift was to support the development of new, local pools of talent in areas outside the current main production hubs, to support the geographic spread of the audio-visual sector.

The uplift provided an increased level of credit for five years, with 5% available in years 1 to 3 (2019, 2020 and 2021), 3% available in year 4 (2022), and 2% available in year 5 (2023). The uplift has now ceased.

As the regional uplift was an approved State aid, any restoration of the uplift would require approval from the European Commission. It should be noted that a further extension of the uplift in its previous form may not be possible. While it was not a Regional Aid, the relief operated by reference to the regional aid map applicable at the time it was introduced. A new regional aid map, covering a smaller geographic area, was introduced from April 2021.

There are presently no plans for the introduction of a regional uplift or any other regionally-targeted tax-based supports for the audiovisual sector. However, the Deputy will be aware that, as part of Budget 2024, the cap on eligible expenditure for audio-visual productions was increased from €70 million to €125 million. In addition, two further new measures were introduced for the audiovisual sector as part of Budget 2025. The section 481 film tax credit has been amended to provide for an uplift of 8% to the existing rate of 32% for small to medium sized productions with a maximum qualifying expenditure of €20 million, and a new audiovisual credit has also been introduced for Unscripted Productions, this provides for a 20% credit on eligible expenditure of up to €15 million per production. Both measures have been introduced subject to commencement orders, pending receipt of State aid approval from the European Commission.

There are no geographic restrictions on the availability of these supports, so they be available to projects taking place in all regions of the State.