Government to abolish audiovisual production incentive next year – film director: ‘Like stabbing yourself in the foot’

The projector of the Oulu movie theater Star projects
In the audiovisual sector, the film Sisu and the TV series The Peace Maker and Sorjonen have been among the recipients.

The incentive has helped Finland gain a reputation as a filming country for international productions. The incentive is a 25% rebate on the cost of an audiovisual production made in Finland.

– The last few years have been very hard work and it has started to bear fruit. Now that the wheels are in motion, the incentive is being taken away.

– This seems like a rather absurd decision, because one euro invested through Business Finland brings back four euros to Finland. Stopping the incentive feels like stabbing yourself in the foot.

Incentives have brought jobs to the sector

According to Ronkainen, the use of the incentive has also increased foreign production in Finland. They have provided a lot of employment for people and companies in the sector. If the subsidy system is not in place, budgets are reduced and quality suffers.

– The effect is manifold. Then the series and films made by us will not be in such great demand abroad. The after-sale income will also not be received, says Ronkainen.

Incentive funding for the film industry is used in many countries, for example in Lithuania, Latvia and Estonia. If the system is not in use in Finland, it may lead to Finnish productions being filmed outside of Finland.

– Then work and money flow there.

The Kaiki sinnit series, directed by Ronkainen, has been sold in more than 40 countries. When the series was filmed in the Oulu region, actors and staff came from outside Oulu and accommodation had to be arranged for them. Catering is also procured from subcontractors.

– Local companies will benefit from it. It is known that the first season of the Kaikki sinnit series left one million euros in the Oulu region, says Ronkainen.

Regional incentives may become more important

In 2021, the city of Oulu launched a production incentive for the AV industry, which enables the production company to recover a maximum of 10 percent of the production costs incurred in Oulu.

If support is removed at the national level, regional incentives will play a greater role.

– The government’s decision does not affect this regional incentive, which helps domestic productions to some extent. The film industry is a business and that side should be seen here, says Reetta Turula.

Reetta Turula has tried to take a calm approach to the matter, because, for example, APFI, the organization that represents producers in the Finnish film and TV industry, is trying to influence the decision to remove the incentive.

– The operation has now started properly, there have been large productions and the domestic productions have gained a name in the world. So that this good development does not stop, we have a lot to think about.