If you are a member of Screen International online, you can read their article on the new EIS rules which could be a huge help to production companies when raising private film financing. Click here to visit their site and log in. Read what the partners at NLP have said about these changes below.
From April this year, the income tax relief that an individual can claim on any EIS investments made is to rise from 20% to 30%. Robert Paul (partner at NLP) describes the proposed changes, which will come into effect “subject to state aid approval” as a “major boost” to the UK film industry.
“Films are based on investment and the better the encouragement to invest, the more likelihood that films will be able to get their funding and that they will actually get made. This is going to greatly incentivise private invidividuals to put money into films,” he said.
Anthony Pins, who is working on an EIS deal on a film version of TV series CatWeazle for Intandem, explained that the changes were likely to encourage bigger budget films to use the EIS scheme. “Under the current rules, the films that are around the £5-6m tend to go elsewhere, so this would be good for them.”