World
Increased Tax Credit Provides Welcome Relief to U.K. Independent Film Industry
The announcement of the U.K.’s new Independent Film Tax Credit (IFTC) back in March had a near instantaneous impact, at least in the case of one film production.
“Giant,” the biopic of boxer Naseem Hamed and starring Amir El-Masry, was in advanced pre-production when the news landed, with plans to shoot location work in Hamed’s home town of Sheffield and all the interiors — including the essential boxing rings — in Malta. Sets were already being built on the Mediterranean island, which has been courting numerous film productions in recent years thanks to a generous 40% tax rebate initiative.
But then the IFTC was unveiled and the U.K., when it came to producer’s all-important bottom line, was suddenly much more competitive. What had previously been a 20% tax break was now around 32.5% (it was initially billed as 40%, but is actually lower after corporation tax). Given the costs involved in shipping the film overseas, “Giant” didn’t need to pack up its bags.
“As soon as the tax credit came out, we did the analysis and immediately it made more economic sense, straight away, to keep it here,” explains Zygi Kamasa, the head of distributor and producer True Brit Entertainment. “So we pivoted within days of it coming through.”
“Giant” may have been the first, but just six months on from the announcement of the IFTC Kamasa says that it’s contributed enormously to the output of his nascent company — which was only launched in November 2023 with a focus on films for British cinemagoers. Where there was an initial aim to produce three films in its first year, True Brit will soon begin shooting its eighth. And while some — like “Giant” — would have happened regardless of the tax credit, he says “there were movies that were definitely expedited” because of it.
The significant interest and optimism within the British film industry since the IFTC’s announcement, despite not yet being fully implemented, is a far cry from the dark days of 2022. A report commissioned by the British Film Institute (BFI) that year had the key and ironic takeaway that the overall boom in the country’s film and high-end TV sector had led to a corresponding negative impact on the independent sector. It found that the speed and volume of growth strained the sector so much that it couldn’t compete with larger budget international productions on several levels — from accommodating the rising cost of production to securing cast and crew, and ultimately to reaching audiences.
BFI statistics reveal that getting U.K. films budgeted under £15 million ($19.6 million) into production had become increasingly challenging. After plummeting by 31% in 2022, spend on independent U.K. film in 2023 fell a further 11% to just £150 million ($196.9 million).
Now, in 2024, post IFTC announcement, Harriet Finney, BFI deputy CEO and director of corporate and industry affairs, says, “We’ve seen a lot of positivity in the industry. It’s definitely changed the conversation for independent filmmakers in this country.”
The BFI is currently preparing for increased capacity once the statutory instrument and guidance notes are published later this year. Finney explains, “We’re making sure that we’re in the best possible position to deal with what is likely to be a flurry of activity. It feels like there’s a growing sense of confidence around domestic production.”
Simon Williams, managing partner at Ashland Hill Media Finance, reports seeing an uptick in projects considering filming in the U.K. “We’re getting lots of different projects coming to us, asking if they should be shot in the U.K.,” Williams says. He notes that some international producers are exploring the possibility of adapting their scripts to meet U.K. requirements. “The U.K. looks more attractive for film currently, because the tax credit, it’s probably bigger than pretty much anywhere else in the world, aside from maybe Australia. But Australia is far away and it’s costly to take people over there,” Williams said.
However, Williams expresses concerns about potential cost increases. “We don’t want costs to increase by shooting in the U.K., which negates the benefit of the tax credit,” he cautions.
Ashland Hill-backed “The Magic Faraway Tree,” based on Enid Blyton’s beloved book, is currently in production. “The Scurry,” directed by Craig Roberts and starring Ella Purnell, Rhys Ifans and Antonia Thomas, has just finished shooting, which Ashland Hill funded against the increased tax credit. “That film would never have happened if it wasn’t for this increased tax credit. I think the only thing that may deter some lenders from putting money against it [is] if you are entering into a production now, you can’t put a claim in for your tax credit until April next year. Whereas in the current tax credit, you can make interim claims, which from a producer’s perspective, if you have a lender, you can make multiple claims and pay down the loan quicker, rather than doing one big claim in 18 months time,” Williams said.
Alex Ashworth, head of production at Anton, believes the IFTC will make a significant impact, particularly for films in the £5-15 million ($6.5-19.6 million) budget range. “I think it will really help independent film producers where we’ve lost that mid-budget section,” Ashworth says. “There was a long time where that was the U.K. sweet spot, films like ‘The King’s Speech,’ and I feel like the cost of production has gone up so that it’s very hard to make those at that level. Our incentives are good, but they aren’t necessarily comparable to some other territories. So by doing this, you’re offsetting basically the inflation that our production industry has experienced in the last five to seven years. I think it will really help those independent films who are probably struggling to get their finance plans to hit those higher budget levels.”
Ashworth estimates that Anton is currently working on four to five projects with the IFTC in mind for shooting in the next 12 to 18 months.
Producer Alastair Clark, whose recent film “Sister Midnight” premiered at Cannes, also sees the IFTC as a positive development for the industry. “The mood is great,” Clark says. He also points out that while the net benefit is around 32.5% after corporation tax, rather than the initially advertised 40%, it’s still a significant improvement over the previous system.
Clark is already incorporating the IFTC into his project planning. “Certainly, one very solid project right now that we’re raising the finance for. It’s a big part of it,” he says. Clark believes the increased tax credit will reduce the need for riskier private financing in some cases. “Borrowing against the tax credit versus borrowing against an MG (minimum guarantee) or a sales advance, is cheaper, and therefore helps finance plan a budget,” Clark said.
While the industry awaits full implementation of the IFTC, the initial response suggests it could play a crucial role in bolstering the U.K.’s independent film sector and positioning it far more attractively on the global stage. For Phil Hunt at Head Gear Films, it’s certainly a very positive move after the “nightmare of Brexit,” which he claims “ripped the heart out of indie co-productions.” The veteran producer says he’s already noticed that producers in North America are “definitely now looking to put more productions in the U.K. and, when talking to folk in LA, there seems to be a drain away from the U.S.”
But that’s not to say that execs are seeing IFTC at the perfect solution, of course. As with most newly-launched financial incentives, there are hopes that it will be tweaked and changed along the way, especially with the U.K. under a new Labour government that has, traditionally, been more supportive of the arts. An ideal situation for many is that the 40% rebate actually does mean a full 40% for producers.
“I’d love the government to look at that,” says Kamasa. “I think it should be the full 40%, because then you’d be truly competitive with places like Malta and Italy.”
HOW THE IFTC WORKS
The IFTC is calculated on “core expenditure” related to production activities, with qualifying companies able to claim up to 80% of their core expenditure or the amount of U.K. core expenditure, whichever is less. For a £15 million ($19.6 million) budget film, this could mean a maximum credit of £6.36 million before tax.
After corporation tax, which varies between 19% and 25%, the actual cash benefit could range from £4.77 million ($6.26 million) to £5.15 million ($6.76 million). This represents a substantial increase from the previous Audio-Visual Expenditure Credit (AVEC) system, which would have provided between £3.06 million ($4.01 million) and £3.30 million ($4.33 million) for the same budget.
The BFI will assess film budgets to ensure they meet the IFTC criteria. Productions that exceed the £15 million budget cap during filming will have the option to continue with the IFTC or switch to the AVEC system.
Claims for the IFTC can be submitted to HMRC (His Majesty’s Revenue & Customs) from April 1, 2025, for expenditure incurred from April 1, 2024, provided principal photography began after April 1, 2024.
World
The sea is higher than we thought and millions more are at risk, study finds
Climate change’s rising seas may threaten tens of millions more people than scientists and government planners originally thought because of mistaken research assumptions on how high coastal waters already are, a new study said.
Researchers studied hundreds of scientific studies and hazard assessments, calculating that about 90% of them underestimated baseline coastal water heights by an average of 1 foot (30 centimeters), according to Wednesday’s study in the journal Nature. It’s a far more frequent problem in the Global South, the Pacific and Southeast Asia, and less so in Europe and along Atlantic coasts.
The cause is a mismatch between the way sea and land altitudes are measured, said study co-author Philip Minderhoud, a hydrogeology professor at Wageningen University & Research in the Netherlands. And he attributed that to a “methodological blind spot” between the different ways those two things are measured.
Each way measures their own areas properly, he said. But where sea meets land, there’s a lot of factors that often don’t get accounted for when satellites and land-based models are used. Studies that calculate sea level rise impact usually “do not look at the actual measured sea level so they used this zero-meter” figure as a starting point, said lead author Katharina Seeger of the University of Padua in Italy. In some places in the Indo-Pacific, it’s close to 3 feet (1 meter), Minderhoud said.
Dilrukshan Kumara looks at the ocean as he stands by the remains of his family’s home in Iranawila, Sri Lanka, June 15, 2023. (AP Photo/Eranga Jayawardena, File)
One simple way to understand that is that many studies assume sea levels without waves or currents, when the reality at the water’s edge is of oceans constantly roiled by wind, tides, currents, changing temperatures and things like El Niño, said Minderhoud and Seeger.
Adjusting to a more accurate coastal height baseline means that if seas rise by a little more than 3 feet (1 meter) — as some studies suggest will happen by the end of the century — waters could inundate up to 37% more land and threaten 77 million to 132 million more people, the study said.
That would trigger problems in planning and paying for the impacts of a warming world.
People at risk
“You have a lot of people here for whom the risk of extreme flooding is much higher than people thought,’’ said Anders Levermann, a climate scientist at the Potsdam Institute for Climate Impacts Research in Germany, who wasn’t part of the study. And Southeast Asia, where the study finds the biggest discrepancy, has the most people already threatened by sea level rise, he said.
Minderhoud pointed to island nations in that region as an area where the reality of discrepancy hits home.
Children play on an uprooted tree along a beach in Mele, Vanuatu, July 19, 2025, that was once lined with vegetation, now largely lost to storms, erosion and other environmental pressures. (AP Photo/Annika Hammerschlag, File)
For 17-year-old climate activist Vepaiamele Trief, the projections aren’t abstract. On her island home in the South Pacific archipelago of Vanuatu, the shoreline has visibly retreated within her short lifetime, with beaches eroded, coastal trees uprooted and some homes now barely 3 feet (about 1 meter) from the sea at high tide. On her grandmother’s island of Ambae, a coastal road from the airport to her village has been rerouted inland because of encroaching water. Graves have been submerged and entire ways of life feel under threat.
“These studies, they aren’t just words on a paper. They aren’t just numbers. They’re people’s actual livelihoods,” she said. “Put yourself in the shoes of our coastal communities — their lives are going to be completely overturned because of sea level rise and climate change.”
Paying attention to the starting point
This new study is pretty much about what is the truth on the ground.
Calculations that may be correct for the seas overall or for the land aren’t quite right at that key intersection point of water and land, Seeger and Minderhoud said. It’s especially true in the Pacific.
Gravestones sit submerged in water on Pele Island, Vanuatu, a country heavily affected by rising seas July 18, 2025. (AP Photo/Annika Hammerschlag, File)
“To understand how much higher a piece of land is than the water, you need to know the land elevation and the water elevation. And what this paper says the vast majority of studies have done is to just assume that zero in your land elevation dataset is the level of the water. When in fact, it’s not,” said sea level rise expert Ben Strauss, CEO of Climate Central. His 2019 study was one of the few the new paper said got it right.
“It’s just the baseline that you start from that people are getting wrong,” said Strauss, who wasn’t part of the research.
Maybe not so bad, some scientists say
Other outside scientists said that Minderhoud and Seeger may be making too much of the problem.
“I think they’re exaggerating the implications for impact studies a bit — the problem is actually well understood, albeit addressed in a way that could probably be improved,” said Gonéri Le Cozannet, a scientist at the French geological survey. Most local planners know their coastal issues and plan accordingly, Rutgers University sea level expert Robert Kopp said.
That’s true in Vietnam in the high-impact area, Minderhoud said. They have an accurate sense of elevation, he said.
The findings come as a new UNESCO report warns of major gaps in understanding how much carbon the ocean absorbs. That report said that models differ by 10% to 20% in estimating the size of that carbon sink, raising questions about the accuracy of global climate projections that rely on them.
The coastline of Efate Island, Vanuatu is visible on July 19, 2025. (AP Photo/Annika Hammerschlag, File)
Together, the studies suggest governments may be planning for coastal and climate risks with an incomplete picture of how the ocean is changing.
“When the ocean comes closer, it takes away more than just the land we used to enjoy,” said Thompson Natuoivi, a climate advocate for Save the Children Vanuatu.
“Sea level rise is not just changing our coastline, it’s changing our lives. We are not talking about the future — we’re talking about the right now.”
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The Associated Press receives support from the Walton Family Foundation for coverage of water and environmental policy. The AP is solely responsible for all content. For all of AP’s environmental coverage, visit https://apnews.com/hub/climate-and-environment
World
Israel hammers Iranian internal security command centers to open door to uprising
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The Israeli military’s latest wave of airstrikes in Iran dealt a serious blow to the country’s brutal internal security apparatus, opening the door for a potential uprising.
During the strikes, Israel “dropped dozens of munitions on the Basij and internal security command centers that are subject to the Iranian terror regime,” the Israel Defense Forces (IDF) said in a statement on Wednesday. “The targeted command centers were used by the Iranian regime to maintain control throughout Iran and maintain the regime’s situational assessments.”
Since the start of Operation Epic Fury, the U.S. has hit nearly 2,000 targets as it carries out a sweeping military campaign aimed at dismantling the regime’s security apparatus and neutralizing threats. Adm. Brad Cooper of U.S. Central Command confirmed the number of targets hit in a video message.
The Islamic Revolutionary Guard Corps (IRGC) and the Basij militia, Iran’s volunteer paramilitary force, were behind the violent crackdown on protesters in January. The bloody crackdown saw regime actors firing on crowds and conducting mass arrests of Iranian protesters. Some had seen the protests as a sign that regime change in Iran was getting nearer, though it did not occur.
Smoke rises from central Tehran following reported U.S. and Israeli strikes on Iran’s capital, on March 3, 2026. (Fatemeh Bahrami/Anadolu via Getty Images)
Israeli and U.S. officials have hinted at the possibility of regime change in Iran as both countries take aim at Tehran’s military and security sites.
Israeli Prime Minister Benjamin Netanyahu said in a video message announcing the launch of Operation Epic Fury, which Israel calls Operation Rising Lion, that it was time for Iranians “to rid themselves of the yoke of tyranny.” Similarly, President Donald Trump said in a message to the Iranian people on Feb. 28 that “the hour of your freedom is at hand.”
“When we are finished, take over your government. It will be yours to take. This will be, probably, your only chance for generations,” Trump said.
Plumes of smoke rise following reported explosions in Tehran on March 3, 2026, after Iranian Supreme Leader Ayatollah Ali Khamenei was killed in joint U.S. and Israeli strikes on Feb. 28, 2026. (Negar/Middle East Images / AFP via Getty Images)
ISRAELI MINISTER OUTLINES IRAN MISSION GOALS, SAYS IRANIAN PEOPLE NOW HAVE CHANCE TO ‘REGAIN THEIR FREEDOM’
“America is backing you with overwhelming strength and devastating force. Now is the time to seize control of your destiny, and to unleash the prosperous and glorious future that is close within your reach. This is the moment for action. Do not let it pass,” the president added.
Ali Vaez, director of the Iran project at the International Crisis Group, told The Wall Street Journal that the path to regime change through foreign airstrikes and popular uprising on the ground has “a bet that rests on no clear historical model.” Vaez also warned that the idea “ignores the resilience of entrenched authoritarian systems like the Islamic Republic.”
The IDF said on Monday that Israel had hit headquarters, bases and regional command centers that belonged to the regime’s internal security apparatus.
“These bodies were responsible for, among other things, suppressing protests against the regime through violent measures and civilian arrests,” the IDF said.
A group of men inspects the ruins of a police station struck amid the U.S.–Israeli military campaign in Tehran, Iran, on Tuesday, March 3, 2026. (Vahid Salemi/AP)
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It is unclear who will lead Iran after Supreme Leader Ayatollah Ali Khamenei was killed on the first day of the operation. Since then, Israel and the U.S. have made it clear that regime leaders chosen to replace him would be targets. Israeli Defense Minister Israel Katz warned on Wednesday that anyone chosen to replace Khamenei would be considered “a target for elimination” if they continued to threaten Israel, the U.S. and regional allies.
The killing of key leaders might not be enough to cause an uprising, as the regime has a monopoly on weapons in most of Iran, the WSJ reported, adding that Basij militants are still patrolling the streets.
Fox News Digital’s Morgan Phillips and Efrat Lachter contributed to this report.
World
Which oil and gas facilities in the Gulf have been attacked?
Global energy markets remain in a state of high alert after several Gulf states suspended oil and gas production following escalating tensions in the region.
Since Saturday’s attacks by the United States and Israel, Tehran has targeted various sites in Israel and across several Gulf countries.
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Initially, these Iranian attacks focused primarily on US military assets, but Gulf states have reported that Iran has since broadened its scope to target civilian infrastructure, including hotels, airports and energy facilities. Iranian officials have publicly denied targeting Gulf energy facilities, however.
The Middle East remains the world’s dominant source of hydrocarbon reserves and a major driver of crude oil and natural gas output.
How much oil and gas does the Middle East have?
Nearly half of the world’s oil reserves and exports come from the Middle East, which contains five of the seven largest oil reserves in the world.
Once refined, crude oil is used to make various products, including petrol, diesel, jet fuel and a wide range of household items such as cleaning products, plastics and even lotions.
After Venezuela, which has 303 billion barrels, Saudi Arabia holds the world’s second-largest proven crude oil reserves, estimated at 267 billion barrels.
The Middle East’s largest oil reserves:
- Saudi Arabia: 267 billion barrels
- Iran: 209 billion barrels
- Iraq: 145 billion barrels
- UAE: 113 billion barrels
- Kuwait: 102 billion barrels
Saudi Arabia is also the world’s top oil exporter with an estimated $187bn of crude in 2024, according to data from the Observatory of Economic Complexity (OEC).
The Middle East’s top oil exporters:
- Saudi Arabia: $187bn
- UAE: $114bn
- Iraq: $98bn
- Iran: $47bn – largely sold at a discount due to US sanctions
- Kuwait: 29bn
Other Middle Eastern countries with sizeable oil exports include: Oman ($28.9bn), Kuwait ($28.8bn) and Qatar ($21bn).
In addition to crude oil, the Middle East is a global powerhouse for natural gas, accounting for nearly 18 percent of global production and approximately 40 percent of the world’s proven reserves.
Natural gas is primarily used for electricity generation, industrial heating, and in chemicals and fertilisers.
The heart of Middle Eastern gas is a single, massive underwater reservoir called the South Pars/North Dome field. It is the largest gasfield in the world, and it is shared directly between Qatar and Iran.
Gas is transported either through pipelines or by tankers. When using pipelines, the gas is pressurised and moved through steel networks. When pipelines are not feasible, such as across oceans, Liquefied Natural Gas (LNG) is used.
To create LNG, the gas is cooled to approximately -162C (-260F), shrinking its volume and allowing it to be safely loaded onto specialised tanker ships for global transport.
To transport oil and gas, tankers from various Gulf states must navigate the narrow waterway known as the Strait of Hormuz. Approximately one-fifth of global oil and gas passes through this strait, primarily heading to major markets in Asia, including China, Japan, South Korea and India, as well as to Europe.
Which energy facilities have been attacked?
Here are the facilities which have recorded damage as of Wednesday:
Saudi Arabia – Ras Tanura oil refinery
On Monday, one of the world’s largest oil refining complexes, the Ras Tanura oil refinery owned by Saudi Aramco, was forced to halt operations after debris from intercepted Iranian drones caused a small fire.
Saudi Aramco is one of the world’s largest companies, with a market capitalisation exceeding $1.7 trillion and revenue of $480bn. Headquartered in Dhahran, in eastern Saudi Arabia, Aramco controls 12 percent of global oil production, with a capacity of more than 12 million barrels per day (bpd).
On Wednesday, Saudi defence officials reported a second drone attempt on the facility but this was successfully intercepted with no damage or disruption to operations reported.
Qatar – Ras Laffan Industrial City LNG facilities
On Monday, Qatar’s Ministry of Defence reported that Iranian drones had targeted an energy facility in Ras Laffan belonging to QatarEnergy, the world’s largest LNG producer.
While no casualties were reported, QatarEnergy suspended the production of LNG and other products at the impacted sites.
QatarEnergy’s 81 million metric tonnes of LNG exports are mostly bound for Asian markets, including China, Japan, India, South Korea, Pakistan and other countries in the region. The halt in production hiked global gas prices to a three-year high this week.
Qatar – Mesaieed Industrial City
Qatar’s Defence Ministry said the country was attacked by a second drone launched from Iran on Monday, targeting a water tank belonging to a power plant in Mesaieed, without reporting any casualties.
On Tuesday, QatarEnergy also stopped production of some downstream products like urea, polymers, methanol, aluminium and others.
UAE – Fujairah and Mussafah oil terminals
On Monday, a fire broke out at Mussafah Fuel Terminal in southwest Abu Dhabi after it was struck by a drone.
On Tuesday, falling debris from a drone interception caused a fire at the Fujairah Oil Terminal along the eastern coast of the United Arab Emirates. No injuries were reported.
Oman – ports of Duqm and Salalah
On Tuesday, multiple Iranian drones struck fuel tanks and a tanker at the port of Duqm, with at least one direct hit on a fuel storage tank, causing an explosion.
On the same day, a drone strike was recorded at the Port of Salalah, which handles fuel and industrial minerals.
Athe Nova – oil tanker
On Monday, the Athe Nova, a Honduran-flagged tanker positioned off the coast of Khor Fakkan, UAE, was struck by Iranian drones as it was transiting the Strait of Hormuz, setting it ablaze. Despite the fire, the vessel managed to exit the chokepoint into the Gulf of Oman, and no casualties were reported.
Iran’s Islamic Revolutionary Guard Corps (IRGC) claimed responsibility for the strike, identifying the Athe Nova as an “ally of the United States”.
On the same day as the attack, Iran declared the Strait of Hormuz closed, warning that any ship attempting to pass would be “set ablaze”.
Since then, several other tankers have been hit.
Other regional energy disruptions
Although not directly targeted, the following energy sites suspended operations in response to Iranian retaliatory attacks:
Israeli offshore gasfields – Major gas production fields such as Leviathan and Tamar were shut down as a precaution following regional drone and missile launches linked to Iran.
Oil fields in semiautonomous Iraqi Kurdistan – Producers including DNO, Gulf Keystone and Dana Gas halted output as a safety measure amid the escalation.
Rumaila oilfield – Operations at Iraq’s largest oilfield – operated by BP – in southern Iraq were halted on Tuesday as a security precaution due to its proximity to the escalation zone.
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