German parliament agrees to new support for film industry

New German films and screenplays can continue to receive financial support in 2025, following the passage on Thursday of a law needed to prevent a halt to government funding for the industry.

The Film Promotion Act passed with votes from the Social Democrats (SPD), the Greens and pro-business Free Democrats - the parties of the former coalition before the FDP pulled out of it. Culture Minister Claudia Roth, a Green party member, called it an important success.

This is the first pillar of a concept aimed at attracting German and international productions to German shooting locations and at facilitating better utilization of long-established institutions like Studio Babelsberg. The industry reportedly generates an estimated 120,000 jobs.

Roth said she would continue to advocate for the next steps to be taken with a tax incentive model and an investment obligation. Starting on February 1, support will be raised to an internationally competitive level of 30%.

The new law provides the legal basis for collecting the so-called film levy from users of the productions, such as cinemas, the video industry, online providers or television broadcasters. Last year this amounted to about €50 million ($52 million) which went toward funding new productions.

Under the legislation some processes will be simplified. For example many decisions will now be based on past successes instead of being decided by juries.

SPD and Greens welcomed the continuation of film funding in 2025, but criticized conditions imposed by the FDP for their approval, such as the removal of a planned diversity advisory board and requirements for sustainable film funding.