French filmmakers warn budget proposals threaten cinema funding
Directors and producers say a proposed VAT increase for pay-TV could leave film production with €750 million less between 2028 and 2032.
French cinema faces losing funding for 400 films over five years if proposed budget measures take effect, directors and producers have warned. Jacques Audiard, Claire Denis and Justine Triet are among those calling on MPs to protect the sector’s public and private financing during scrutiny of the draft 2027 finance bill.
Their warning centres partly on a possible increase in VAT on pay-TV subscriptions, from 10 to 20 per cent by 2027. The government is considering the change, but its inclusion in the final budget is not guaranteed.
Canal+, French cinema’s biggest private contributor, must invest a share of its revenue in national film production. However, the filmmakers say an agreement reached at the end of July would void its cinema investment obligations if its VAT rate rose. They put the potential funding loss at €750 million between 2028 and 2032.
Public financing is also under pressure. The signatories point to a €47 million budget reduction planned for France Télévisions by 2027; the broadcaster supports about 70 films a year. Budget general rapporteur Philippe Juvin, of Les Républicains, has separately proposed a levy on resources held by the National Centre for Cinema and the Moving Image (CNC).
The filmmakers want MPs to support amendments protecting public broadcasting and the CNC, while keeping Canal+’s VAT rate at 10 per cent in exchange for firm production commitments. Their demands also include new cinema legislation and tighter regulation of artificial intelligence.
