Entertainment

German Film & TV Industries At Crossroads Amid Political Upheaval

While Germany is heading to major general elections on February 23, there is a cloud of uncertainty hanging on filmmaking in the country. The largest economy in Europe faces a third year in a row of recession, which has a flagrant impact on the scene of the German media, as inflation and the cost of energy prices reached the production sector.

Over the past three years, the industry is seeking to solve its problems by working closely with the country’s government to install what was scheduled to be the largest reform in the country to finance films so far. For many years, Germany was traditionally powerful in the international film sector, especially in markets such as EFM where the German acquisition was a title, which often helped him through strong TV obligations, a major coup for producers and sellers. But things are developing because traditional TV obligations are less powerful. The box office in Germany decreased by 6.5 % on an annual basis in 2024, which is the most among all the main European regions.

It was built across three columns, which included repairing the proposed film financing an improved version of German films law ((FFGThe tax incentive model and the law of investment obligations with signs with IP protection for Indie producers. Opinioners say that progress was made until the Germany of the German Democratic Democratic Alliance (SDP), the Free Democratic Party (FDP) and the Green Party in November collapsed, stopping sudden talks.

“We have found a solution to every one topic,” says Oliver Berben, CEO of Constantin. “We were talking about a three -legged system trying to build here to develop the industry.”

Before it was dissolved in December, Parliament entered into an improved version, but it is nevertheless from the new film financing law, which aims to create a more central financing system for production, distribution and exhibition, and some people have with a pathological circuit of response and left the proposed long load 30 % of the tax incentives The striking investment commitment laws are not corrected.

There is also an inconvenience from excluding other expected reforms on diversity and green production, especially with anti -migrant policies and anti -green in the AFD party in the far -right party, which is expected to take 22 % of the vote in the elections.

FFG’s early draft premature informants and anti -discrimination standards that could have been blocked under law and brought Germany according to standards in other regions such as the United Kingdom. Reforms were formulated in a close consultation with industry unions such as the SCWARZE FilmschaFFFENE.

Benita Sarah Billy. Credit: Vanie étier

“We were talking to them for two years,” says Benita Sarah Billy, a member of the association’s board of directors. “We went to Bundestag and talked to the deputies and the Ministry of Cultural. We submitted proposals and formed the law. It was great. It is better than we expected. But then the coalition collapsed, and it was paradoxes on the day of Trump’s election, until it was confirmed at least some law was approved, there was a solution In the middle of those who demanded the diversity committee.

Billy describes the exclusion as a “great blow” of the film director in Germany who believed that the standards on diversity and integration could protect them from the volatility of political winds in Germany.

“We were hoping to get this honesty before the upcoming elections because the law lasts for five years,” said Billy. “It cannot be changed at that time, regardless of who took power. That’s why it was very important to us.”

CEO of Constantin Oliver Berbn

Constantine movie

The issue of time and upcoming elections is a source of concern for many members of the German industry. Fear that if these laws are not approved somewhat quickly-a possibility with a new government-this will lead to a significant decrease in local products where independent producers who suffer from financial distress are looking to shoot in neighboring countries with more appropriate tax exemptions such as As Austria and the Czech Republic.

“Nobody sees that Germany is a relevant production center because we do not have any kind of tax incentives or investment commitment such as other large production countries in Europe,” says Professor Dr. Lisa Jill, EVP of public benefits and policy in the major production countries in Europe. Leonen.

“The German financing system is very complicated, and we need a simpler system. We have a very few international production that shoots here because of our funding mode and we need to be attractive and search for greater productions than the United Kingdom and the United States and other places to come and release Fire here.

FFG

The new German FFG Law, which regulates government funding for the German film industry, was approved in December, some of which are encouraged by the new structure, which sees the country’s main support programs – German Federal Film Fund (DFFF) and the German animation box (GMPF) – – Raise the current cash production grant from 25 % to 30 %. In addition, the total financing container in Germany is still the same at $ 375 million.

Philip Crazer, Chairman of the Supervision Council German films The founder of Penzing Studios in Munich, which recently included An exciting end Restart with Lily James, is encouraged by the new measures placed in FFG. “Support is more automatic, and the grant has been increased and improved,” he says.

“The old model still exists, and it works,” he says. “The fact that there is no tax credit does not mean that there are no incentives. The government was able to increase the current model until we obtain tax credit.”

However, this discount remains 27.6 million dollars per feature film and advanced TV series that were presented between 20 % and 25 %, with a maximum of $ 11 million.

The administrative director of German films, Simon Bowman, agrees. “It’s a much more automatic system now, and it is good news and there is more money for development.”

But the producer Henning Kamm of Real Film Berlin, which is behind TV projects such as TV projects unconventional And the next Berlin ADoubtful. “They are prolonging the system that we had before – DFFF and GMPF”. “They have made it more beautiful, but not so much that it was intended, which had a real tax deduction system that has no ceiling. We are still dealing with a limited amount annually, and now you can claim a higher percentage, this means that with more products from Earth, the pool will be faster.

Investment commitment

Giehl says that the most important step is to investment commitment to broadcasts, which will be “a real change for games” for Germany.

Similar deals with signs were concluded in neighboring countries such as France, where Disney+ signed the timeline agreement for historical media that agree to invest 25 % of its annual net rotation in France in French and European production. Mickey Mouse Streamer also committed to getting at least 70 feature films over the period of three years. The Apple TV+ signed its first agreement with the professional bodies in the visual audio sector in January for the platform’s commitment to invest 20 % of its sales in local and European products.

Germany creates a $ 80 million fund to attract Hollywood

Studio Babelsberg

Studio Babelsberg

Although it is important to note that although the German -based productions continue to travel to a large extent, titles like Netflix are nicknames Lipz type ((Dear childRomantic drama in the romantic video Maxton Hall – the world between us Broadcast plans are at the forefront ofand The country was not fortified against difficult and arbitrary effects to correct the global broadcasting market. Paramount Global has Withdraw from the region Along with HBO Max and Starz Play, while Apple, Disney+and Prime Video have been affected by spending.

Discussing the commitment of the investment, one of the prominent local producers told us that it is a “perspective issue”.

“From the affected people, especially banners and media library providers, they work, of course against them,” the producer says. “However, the comprehensive package will be important not only to attract foreign projects, but also to enhance German production.”

Fabian Jasimia is seven of the elephants, who recently produced Lina Dunham and Stephen Fry. treasure “General financing should be granted only for production, as rights with a German or European company remain at least. This is the only way to build an independent and independent German industry, rather than supporting international companies without long -term interest of the local ecosystems,” he says.

In order to obtain tax incentives across the line in Germany, Giehl notes that it is necessary to make the various federal states in Germany to agree to measures but with the current forgetfulness of the political situation in the country, everything is in a state of stopping.

“It is very complicated to bring them into the boat because they feel the loss of taxes for their condition,” she says. “As we all know, the tax incentive model has a very high return on investment, but it is still complicated and the majority of the federal states will have to agree to this. We feel that there is a strong will to implement the tax incentive, but we have to wait even after the elections.”

For Berben and many of its counterparts, there is a question mark about the speed that the new government may go through these laws. “When the new government enters its place, we do not know the time it will take to implement these measures, at all. If they start this process from zero, it may take another year, and we will have two or three years so that the entire industry can progress and compete with the neighboring countries In Europe. “This, he says, may result in” local productions that come out of Germany. ”

“It will be a big problem for people working in the industry because there will be less work,” he says. “The other thing that may happen is that production will not happen at all, especially for companies that are smaller. If they do not have the financial ability, how will a movie be funded? It will not work.”

The following steps

On the national level, if the new government does not go through the remaining pillars of the laws of the film, it will be very harmful to work, Cam says. “We will completely lose the attractiveness of the upcoming external production to Germany if we do not have an incentive in its place.”

Cam emphasized concerns about the health of famous production entities in Germany such as Studio Babelsberg, which depends largely on the great Hollywood productions to use their studios. Cam recently photographed the Disney+ show in Babberg and admitted that he was surprised that he was able to enter production in the studio. “I never expected to be able to shoot in this prestigious studio,” he says. In the past, it was always full of American production. Let’s hope they will return soon and we can work side by side. ”

Rental services, VFX houses, and after production, depend on the upcoming international works. “This would really restore the industry because there will be a lower international financing.”

Cam indicates his latest production Berlin AWhich was originally created in Sky, but when they withdrew from the original German copies in the last hour, ZDF and Appletv+ interfered with signs obtaining global rights except for the United Kingdom and Ireland, which was kept by Cam. This experience explained to him that “rights are very important and I would like to pay this as much as possible.”

He says: “I expect it to be easier to keep rights instead of requesting a share of profits.” For me, this means a cultural shift. Historically, it was always sufficient to produce German content for the German market – unlike the smaller regions, there was no existential need to compete for the international market. Another perspective will be given. “

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