The British Columbia Film Industry Economic Impact – Quick Facts Executive Summary

Compiled by: Kathleen Higgins February 08, 2013

The BC film industry directly employs 25,000 – well paying, mostly unionized, knowledge based jobs and 67,000 indirect associated jobs in services, goods and materials suppliers. The British Columbia Film industry has one of the highest densities (60%) of unionized labour in any private sector industry in Canada. o The unions responsible for collectively bargaining the working conditions of the approximately 15,000 BC Film industry workers are:  I.A.T.S.E. local 891 – 5300 members  I.A.T.S.E. local 669 – 700 members  UBCP/ACTRA – 5500 members  DGC BC – 1200 members  Teamsters 155 – 1200 members  ACFC/CEP West – 1500 members  WGC BC – 300 members Most direct film industry jobs are based in a system of collective agreements which encourages employment equity and diversity. The film industry is an important source of jobs for people with a variety of skill-sets from highly qualified workers to those with equally crucial vocational skills The BC Film Industry is a world leader in benchmarking sustainable positive environmental practices, through the BC Film Commission Reel Green Initiative http://www.bcfilmcommission.com/community/reel_green_bc.php and the IATSE local 891 Reel Environment Action Committee (REAC). There are currently 24 post-secondary institutions offering internationally recognized academic education and skills training to the next generation of screen based production professionals. The rationale for the continuation the film tax incentive, are primarily both cultural and economic. o The domestic film cultural benefit is highlighted in that British Columbia made domestic films provides a universal and readily accessible medium for the expression and representation of Canadian and British Columbian culture and
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there is potential for a market failure which would result in too few BC films being produced if the government did not provide support to the core BC film industry with tax relief and through the continued economic benefits of the US service productions. reduce income inequality and reduce debt of the province and municipalities involved in the industry. o This direct influx of capital helps moderate inflation rates.264. the Film Tax Incentives are important in leveling the terms on which BC can compete with other global locations in attracting both inward investment productions and subsequent postproduction and domestic work. explore and challenge our diverse history. o Since 1998 the BC film incentive program has contributed $14. cultural beliefs and shared values. reduce poverty. o During the 14 year period from 1998-2011 the industry spent $14. the foreign and domestic film and TV industries spent $3. o This money acts effectively like FDI (foreign direct investment) which is considered one of the most powerful economic tools in developing and growing a strong economy.333 in the province of BC and the provincial income tax branch paid out $1. o The economic benefits of the screen-based media industries include both the direct impacts of the industry but also the multiplier effects through the supply chain and the role of film in attracting tourists and helping to promote BC trade.434.1998. 2013 identity.000 or 7.The British Columbia Film Industry Economic Impact – Quick Facts Executive Summary Compiled by: Kathleen Higgins February 08. when there was no tax credit in place.2 billion dollars annually of “new money” into the Province of BC GDP.000 in the province of BC when no tax incentive program was in effect. o During the 12 year period from 1986 .400. Films can help reflect.9% of the total foreign money invested in BC.339. On average the film industry brings in approximately $1. The benefits of this money entering the BC Economy are: o This money enters the Province as an important source of direct private capital investment and fuels economic growth in BC.  Page 2 of 3 . Since these cultural benefits are unlikely to be fully reflected in the price that cinemagoers are likely to be willing to pay to see a film.  Given that the film industry is highly internationally mobile and dominated by the US major studios.433.000.3 billion dollars to the BC economy.

K. http://www. It provides a tax credit or rebate on labour based production costs only o All productions spend new money in the province and subsequently (12-30 months later) claim a rebate on the labour costs. o A total of 83% of the survey participants support the provision of government incentives in order to keep and encourage film production in BC.  In a MPPIA survey completed in January 2013 a total of 85% of BC residents support encouraging growth of the film industry.com/doc/125058410/MPPIA-Myths-About-the-Tax-Incentives Page 3 of 3 . (2013).com/doc/124420958/BC-Film-Industry-Public-Perceptions-andSupport-MPPIA MPPIA.com/doc/125057778/British-FilmInstitute-Economic-Impact-of-the-Uk-Film-Industry-2012-09-17 Bruun. C. http://www. (2013).com/59054068 MPPIA . http://vimeo. We Create BC. http://www. (2013). 2013 o This money is also used to purchase goods. British Film Commission. The Economic Impact of the UK film Industry.scribd. We Create: BC’s Motion Picture Production Industry – Dispelling the Myths. Only 11% are opposed.scribd. Comparison of Domestic and Foreign Film and TV Money Spent in the Province of BC.com/doc/121494475/Kurt-Bruun-BCFilm-Incentive-Analysis Horsdal. no production dollars spent. Producer. Mustel Group Market Research. London: Oxford Economics. We Create: BC’s Motion Picture Production Industry – Fact Facts. (2013).. BC Film Industry Pubic Perceptions and Support. no credit received. http://www. Additional Information and Reference Documents: British Film Institute. We Create BC. http://www. Vancouver.scribd.scribd.scribd.The British Columbia Film Industry Economic Impact – Quick Facts Executive Summary Compiled by: Kathleen Higgins February 08. o British Columbia’s tax incentive program for motion picture production is not a subsidy.com/doc/125058075/MPPIA-Fast-Facts-About-the-Film-Industry MPPIA. materials and services from thousands of British Columbia businesses. (2013) Tax Incentives & Cookies. Vancouver BC Ed Araquel. (2012). and help it be competitive with Ontario and Quebec.. which is stronger than support for most other industries measured. BC: self published.

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