Runaway Production in Canada Five years ago, Canada was in a league of its own. Now 18 other countries are offering subsidy programs that were modeled after the original Canadian subsidies. Canada has seen a steady decline of American films and is losing ground to other production hotspots abroad offering more generous “incentives” such as Eastern Europe, Australia, New Zealand and the U.K.
It was inevitable that the studios would just point themselves in the direction of the most generous kickbacks. The Canadian government had to raise their subsidy rate 45% last spring (2004) to remain competitive. In December of 2004 The province of Ontario (Toronto) raised their provincial subsidy to 18% (a 70% increase). The province of Quebec (Montreal) also raised their provincial subsidy to 20% (a 90% increase). In January 2005 the province of British Columbia (Vancouver) raised its provincial subsidy to 18%.(a 70% increase). At the same time, their unions are mulling over the prospect of cutting wages to maintain the work.
While studio profits soar to record high of 40 Billion in foreign and domestic Box Office and DVD sales, the race to the bottom for workers’ wages is in full swing.
There is a better way – enforce existing trade agreements, like the Motion Picture Association of America (MPAA), that have language designed to protect our jobs.
From Below The Line. January Issue, 2005 Canada Subsidy War: Quebec Vs. Ontario Vs. B.C. By JACK EGAN
From the Daily Variety January 20, 2005 B.C. gov't agrees to up tax credits, Proposal also affects local production By Don Townson
From the Daily Variety January 13, 2005 Protests target B.C. tax breaks, Producers threatening to move projects to Ontario By Don Townson
From the Daily Variety January 2, 2005 Quebec ups tax credits to lure film prod'n, Province responds to changes in Ontario incentives By BRENDAN KELLY
From the Daily Variety December 21, 2004 Ontario boosts local, foreign prod'n credits, Canucks offer extra credit to bolster industry By TAMSEN TILLSON
From the Daily Variety December 9, 2004 Looking for credit, Ontario pledges incentives to lure filmmakers By TAMSEN TILLSON
From the Daily Variety November 23, 2004 A runaway runway, Toronto mayor unveils plan to woo film biz By TAMSEN TILLSON
From the Daily Variety November 21, 2004 Canada confronts crisis, Currency devaluation leads to production crunch By TAMSEN TILLSON
From the Daily Variety November 23, 2004 Great white gloom, Canuck confab tackles off year for pic prod'n By BRENDAN KELLY
From the Daily Variety November 16, 2003 Canucks up local prod'n tax credits, Gov't aims to bolster domestic film, TV By BRENDAN KELLY
From the Daily Variety October 22, 2004 In reel trouble, Canuck production hits hard times By Don Townson
From the Daily Variety September 7, 2004 Fear of flight, Canada grapples with its own runaway production By Brendan Kelly
From the Daily Variety September 5, 2004 Fewer bucks for Canucks, Runaway shoots north of border feeling 'location fringe' By Dave McNary
From the Daily Variety August 5, 2003 Quebec cuts local film & TV funding, Some skeins no longer eligible for tax credits By DON GROVES
From the Daily Variety June 15, 2003 Quebec cuts local film & TV funding, Some skeins no longer eligible for tax credits By BRENDAN KELLY
From the Daily Variety February 19, 2003 Canada on a runaway train, Gov't ups tax breaks for foreign prod'ns By TAMSEN TILLSON
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