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
Kanya Iwana’s Debut Feature ‘Ibu’ Explores Generational Trauma at JAFF Future Project
Kanya Iwana, an Indonesian multidisciplinary artist making her feature directorial debut, has “Ibu” selected for the JAFF Future Project, about three generations of women wrestling with inherited identity in 2011 Yogyakarta.
The Indonesia-U.S. co-production, directed by Iwana and produced by Zack Rice through production company Feed You Films, is among 10 titles selected for the JAFF Future Project at this year’s JAFF Market in Yogyakarta, Indonesia.
“Ibu” follows Maya, a formidable Javanese woman who once dreamed of becoming a writer but subsumed her ambitions under obligation and tradition. Now a widow, she parents through manipulation disguised as protection, resenting her daughters for chasing freedoms she was taught she could never claim.
Her eldest daughter Tash fled to Los Angeles years ago, juggling single motherhood with an uncertain creative career. When Maya’s husband Arief dies, Tash returns home to face not only her domineering mother but her commanding grandmother Dewi and half-sister Inez, a 16-year-old navigating the same emotional minefield Tash fled. Everything ruptures during Arief’s Seventh-Day Prayer Ceremony when Maya publicly unravels, confessing fears she has never voiced.
“I’ve always been so interested in exploring the atlas of family dynamics, whether it is a traditional Indonesian family (often inspired by my own upbringing) or a tenuously liberal American family,” Iwana says. “As I become a parent myself and have to do a lot of inward thinking, I’ve become more inspired to explore narratives that surround the complications of parenting — to break generational curses while maintaining valuable customs.”
The director is inspired not just as a mother, but also as a daughter. “At 16, I moved away from home and has been away ever since,” she says. “This story mirrors so much of my feelings towards that part of my life and my experiences of homecoming: from grief to pride. Writing such strong and complex female characters as the core of ‘Ibu’ has become somewhat of a beautiful, nostalgic, and healing process.”
“‘Ibu’ illustrates the nuances of how loss, traditions, and stigma can lead to generational trauma,” Iwana says. “It explores the consequences violent secrets can have as they are kept from each other in a family unit. ‘Ibu’ zeroes in on our protagonist, Tash, as she works towards escaping that trauma — although it catches up to her.”
Breaking the cycle isn’t always smooth and perfect. “Her desperation to break that cycle actually puts her in the position she wants to avoid, which is a flawed but relatable human experience,” she says. “Breaking the cycle isn’t always smooth and perfect, but the journey to giving yourself grace is a beautiful one. At the end of the day, ‘Ibu’ showcases an array of different textures that spotlight the same thing: the desire to be loved.”
Producer Rice adds, “I launched Feed You Films with my producing partner, Christine Woods, to champion debut features from experienced directors who have the craft and vision — but haven’t yet been given the support or resources to make their first feature. Kanya Iwana is exactly the filmmaker we built this company for.”
Rice was first introduced to Iwana through her work as a photographer and commercial director. “She demonstrated a singular aesthetic and a cinematic eye that touches your soul,” he says. “But it wasn’t until I read her screenplay for ‘Ibu’ that I truly understood the scope of her talent. The honesty and emotional precision in her writing floored me.”
To validate the vision, Feed You Films produced a proof-of-concept short titled “Home.” “Kanya once again exceeded every expectation,” Rice says. “She arrived prepared, intentional, and completely in command of her set — capturing every shot she needed without wasting time or resources on unneeded coverage. She led a mostly female crew with sensitivity, kindness, and total clarity, and everyone on set rallied behind her vision.”
At JAFF Market, the team’s top priority is securing remaining production equity to greenlight the film. “The JAFF Future Project program is uniquely positioned to connect filmmakers with investors who understand Southeast Asian stories and want to champion bold new voices,” the filmmakers say.
They’re also seeking distribution and sales partners who understand both the Indonesian market and international art-house space. “As the only U.S.-based filmmakers selected for the Future Project program this year, joining the Indonesian film community is essential to us,” they say. “This film can only succeed as a true cross-cultural collaboration.”
JAFF Future Project functions as both a development platform and co-production hub, designed to advance independent works toward completion and distribution. The initiative runs Nov. 29-Dec. 1 at the Jogja Expo Center in Yogyakarta as part of the broader 20th-anniversary celebration of the Jogja-Netpac Asian Film Festival.
World
Antifa agitation turns violent in Germany, bolstering Trump administration’s foreign terror label
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A mass protest on Saturday filled with activists from the radical organization Antifa, which President Donald Trump designated as a domestic terrorist organization, delayed the start of a conference for the right-wing populist German party Alternative for Germany (AfD) youth wing called Generation Deutschland.
Between 25,000 and 30,000 protesters turned out against the AfD youth convention in the central German city of Giessen, prompting the largest police contingent (6,000 officers) in the history of the state of Hesse.
AfD co-leader Alice Weidel blasted the demonstrators at the city’s convention center.
“What is being done out there — dear left-wingers, dear extremists, you need to look at yourselves — is something that is deeply undemocratic,” Weidel said.
STATE DEPARTMENT MAKES FIRST-EVER ANTIFA FOREIGN TERRORIST DESIGNATIONS ACROSS EUROPE
Two demonstrators jump over a crash barrier while a water cannon is deployed. Several thousand demonstrators protested against the founding of a new AfD youth organization on Saturday. Its predecessor, Junge Alternative, which had been classified a right-wing extremist, had dissolved itself. (Hannes P Albert/picture-alliance/dpa/AP Images)
According to The Associated Press, officers used pepper spray after stones were thrown at them at one location, police said. They also used water cannons to clear a blockade by about 2,000 protesters after they ignored calls to leave. They did so again Saturday afternoon as a group tried to break through barriers toward the city’s convention center. Police said up to 6,000 officers were deployed, and 10 to 15 were slightly injured.
The former U.S. ambassador to Germany during the first administration, Richard Grenell, warned on X about the dangers of the anti-democratic left in the Federal Republic of Germany.
He wrote, “The intolerant and violent Left is gaining ground in Germany. If they follow the U.S. left then they will promote deadly violence while also losing public support — and elections. But they won’t see the errors of their ways because the German left gets lots of support from the media in Germany. It’s publicly funded, too. The conservative media is small and timid — but growing fast.”
ABBOTT ORDERS TEXAS NATIONAL GUARD TO AUSTIN IN ADVANCE OF ‘ANTIFA-LINKED PROTEST’
Boris Rhein, the Christian Democratic Union governor of the state of Hesse, criticized the attacks on police and the attempt to torpedo the AfD youth event.
“The use of violence and attempts to prevent assemblies through marches can never be democratic means,” said Rhein.
The AfD scored an impressive second place election result in February, securing 20.8% of the vote. However, the mainstream German parties refused to form a coalition with the AfD because of what they said were its extremist views.
Police and demonstrators, including Antifa members, clash on a road near the Lahnbrücke bridge. Several thousand demonstrators protested against the founding of a new AfD youth organization Saturday. Nov. 29, 2025. (Lando Hass/picture-alliance/dpa/AP Images)
The youth division of the AfD elected 28-year-old Jean-Pascal Hohm as its chairman. According to an article in the German paper Die Welt, a local intelligence report quoted him as expressing anti-immigrant and nationalist views.
“We will fight resolutely for a genuine shift in migration policy that ensures Germany remains the homeland of Germans,” Hohm said at the start of the conference.
The creation of Generation Deutschland unfolded after Germany’s federal intelligence agency classified the previous AfD youth chapter, Young Alternative, as an “extremist organization” in 2023, resulting in its dissolution.
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AfD portrays itself as an anti-establishment force at a time of low trust in politicians. It first entered the national parliament in 2017 following the arrival of large numbers of migrants in the mid-2010s. Curbing migration remains its signature theme, but it has shown a talent for capitalizing on discontent about other issues too. That was reflected in leaders’ confident tone Saturday.
The Associated Press contributed to this report.
World
EU weighs Plan B for Ukraine as Belgium raises bar on reparations loan
European Union leaders are coming to terms with the idea that an emergency funding solution to keep the Ukrainian economy afloat will have to be deployed after Belgium raised the bar higher to unlock a reparations loan that would bolster Kyiv’s finances.
The solution could see the EU raise money on the markets to deliver a non-repayable grant to Kyiv that would cover its most immediate financial and military needs in 2026.
This, in turn, would give leaders more time to break the deadlock over the proposed loan, a bold attempt to channel the immobilised assets of the Russian Central Bank to Ukraine.
The bulk of the assets, around €185 billion, is kept at Euroclear, a central securities depository in Brussels. This makes Belgium the cardinal vote in the debate.
Initially, EU leaders were expected to be able to assuage the Belgian reservations and sign up to the unprecedented project during their next meeting on 18 December.
In a new twist in the long-running saga, Belgian Prime Minister Bart De Wever penned a scathing letter to Ursula von der Leyen, blasting the reparations loan as “fundamentally wrong” and ridden with legal and financial pitfalls.
“Why would we thus venture into uncharted legal and financial waters with all possible consequences, if this can be avoided?” De Wever tells the president of the European Commission in the letter. “I will never commit Belgium to sustain on its own the risks and exposures that would arise from the option of a reparations loan.”
Upping the ante, De Wever demands “legally binding, unconditional, irrevocable, on-demand, joint and several guarantees” to cover the €185 billion of the assets and all the potential fallout, such as arbitration costs, interests, investment opportunity loss and even the “quantification of financial impact to the Central Bank of Russia’s credit”.
He also asks for total coverage for Euroclear’s holdings in “Russia-friendly jurisdictions”, which he said could be subject to retaliatory measures from the Kremlin.
“Some may hold the belief that this is only a theoretical exposure. l am making the point that this danger is, to the contrary, real and likely to happen,” De Wever writes.
By raising the bar so high for the guarantees, which are a crucial element to unlock the reparations loans, De Wever makes its approval exponentially more difficult.
It is unlikely that the other leaders will be able to show up at the summit in December with multi-billion guarantees that rely for the most part on a hypothetical calculus. For some countries, such a complex structure would require the blessing of their parliament.
The hurdles are weighing heavily in the minds of EU officials and diplomats as they rush to break the deadlock before Ukraine runs out of foreign aid. The country expects a fresh injection of assistance in the second quarter of 2026 at the latest.
Adding to the pressure is an $8.1 billion programme that the International Monetary Fund (IMF) is meant to grant Ukraine. For the IMF to make a final decision, it will need firm commitments by European allies to ensure Kyiv’s macro-economic stability.
The mounting urgency has drastically raised the odds for a bridge solution to plug the gap. The interim financing could be backed by either national guarantees or the EU budget, which currently forbids borrowing for a country outside the bloc.
Tweaking the budget’s rules would need unanimity, a tall order given Hungary’s adamant opposition to aiding Kyiv in any capacity. The same obstacle would remain if leaders chose joint debt as the long-term arrangement to support Ukraine.
The Trump factor
In his letter, De Wever goes beyond law and economics and dives headfirst into politics.
The Belgian leader warns that pushing the reparations loan at this particular stage could imperil the White House’s efforts to secure a peace deal to end Russia’s war.
“Hastily moving forward on the proposed reparations loan scheme would have, as collateral damage, that we, as the EU, are effectively preventing reaching an eventual peace deal,” De Wever tells von der Leyen.
“We can hardly engage the Russian sovereign assets for multiple purposes at the same time. Either they are immobilised for the purpose of financing reconstruction of Ukraine, or they are spent now on financing war efforts or Ukraine’s core budget.”
De Wever argues that it is “very probable” that Russia will not be declared the “losing party” in the conflict and therefore be entitled to recover its sovereign property currently under sanctions. If this happens, he adds, the reparations loan will fall apart and European taxpayers will have to foot the bill themselves.
This section in the letter stands in stark contrast with the position advocated by other leaders, who see the Russian assets as the bloc’s most powerful leverage.
“We must quickly reach an appropriate agreement by the EU leaders’ summit in December at the latest to strengthen our negotiating position and send another signal of solidarity and support to Ukraine,” German Chancellor Friedrich Merz said on Thursday.
Von der Leyen has also framed her proposal under a moral lens to “make Russia pay”.
“To be very clear – I cannot see any scenario in which the European taxpayers alone will pay the bill. This is also not acceptable,” she said this week.
The internal disagreements come at a precarious time for Europeans, who were caught off guard by a 28-point peace plan secretly drafted by US and Russian officials and are now scrambling to close ranks and project political unity.
The original draft pitched a highly controversial model that would use the Russian assets for Washington’s and Moscow’s commercial benefit. The provision is believed to have been removed after high-level talks in Geneva between the US and Ukraine.
Still, the text highlighted the value of the Russian assets. For some, it confirmed the need to approve the reparations loans. For others, it prompted second thoughts.
Hours before De Wever sent his letter to von der Leyen, Russian President Vladimir Putin warned that touching the funds would amount to the “theft of someone else’s property”.
(Under the proposal, Moscow would be allowed to recover the immobilised assets if it agreed to compensate Ukraine for the damages caused by the war.)
“The government of the Russian Federation, by my assignment, develops a package of reciprocal measures in case this happens,” Putin said during a briefing.
In awkward timing for Kyiv, the debate on the reparations loan coincides with a spiralling corruption scandal that precipitated the resignation of Andriy Yermak, President Volodymyr Zelensky’s powerful chief of staff and main negotiator in the peace process.
A diplomat told Euronews that President Zelensky will “have to straighten out the situation as it looks really bad”, and the optics make it significantly more challenging for Europe to sign off on another round of funding.
Still, diplomats insist that aid for Ukraine, a country on the front line of Russian aggression, should not be linked to the scandal.
For its part, the European Commission, which has been criticised for not taking De Wever’s initial concerns seriously, is putting on a brave face.
“These are uncharted waters, so it’s legitimate to ask questions, to share concerns,” said Paula Pinho, the Commission’s chief spokesperson. “We are really doing our utmost to address those concerns in a satisfactory manner so that everybody can feel confident and comfortable with any solution that is put forward eventually.”
Asked if the Commission was ready to override Belgium and push the reparations loan with a qualified majority, Pinho said: “We’re not there yet.”
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