‘Hollywood North’ may soon be under new pressures, especially with California potentially ramping up its film industry support from its state government, which could challenge British Columbia’s status as a premier film and television hub in North America.
California Governor Gavin Newsom has put forth a bold proposal to significantly increase the state’s film tax credit program from its current $330 million to an ambitious $750 million annually, a move aimed at bolstering local production and jobs in the face of fierce competition.
“We need to do this. This is about jobs, this is about investment, and it’s about recognizing that the world we created is now competing against us,” Newsom emphasized during a public address on Sunday, reflecting on the broader implications of this initiative for the state’s entertainment industry. “It’s not just New York, it’s not just Georgia.”
British Columbia’s film and television sector presently offers a compelling 28-per cent production services credit to attract both domestic filmmakers and foreign producers, an incentive that comes with no stipulation for Canadian content, enhancing its appeal for international projects.
During the recent provincial election, B.C. Premier David Eby committed to increasing this credit to 36 per cent, a strategic move aimed at retaining the province’s competitive edge in the increasingly crowded film industry.
In a statement during his first media appearance following re-election on Tuesday, Eby reiterated his administration’s determination to keep the B.C. film sector competitive, especially as it faces mounting pressure from major streaming platforms eager to claim market share. “We know that if we’re competitive, we can bring in the big productions,” Eby noted, signaling a clear direction for his government’s focus on the industry.
“We’re not going to be able to outbid the lowest common denominator bidders in the United States. However, if we maintain our competitive advantage, coupled with the incredible talent and crews available in our region, we can effectively manage some of the biggest productions that come to the province,” he explained, emphasizing the quality of local talent as a vital asset.
CreativeBC, the non-profit agency dedicated to supporting the province’s creative sector, highlights that the B.C. film industry employs over 45,000 people and accounted for an impressive $4.4 billion in direct spending in 2022, underscoring the sector’s significant economic impact.
B.C. allocated about $900 million in tax credits to the industry that same year, reinforcing its commitment to fostering growth and sustainability in the vibrant film landscape.
