The Czech Republic is making bold moves to attract more Hollywood projects and international productions by revamping its production incentives, a decision expected to give the country’s film industry a significant boost. With new amendments to its Audiovisual Act set to take effect in January, the Czech Republic aims to position itself as a top destination for global filmmaking in the face of growing competition from other countries’ lucrative incentive programs.

A New Era for Czech Film Production

The Czech senate in Prague recently approved sweeping changes to the country’s Audiovisual Act, marking the first updates in over a decade. These amendments will transform the Czech Film Fund into the newly named Czech Audiovisual Fund and increase the primary production incentive rate from 20% to 25% of eligible costs. Even more compelling, a specialized 35% rate is being introduced for animation and digital productions that do not involve live action.

The total cap for the incentives program has been nearly tripled, raising the maximum amount offered to $19 million per production. Additionally, a new financial structure will tie the program’s annual incentives budget to six times the funds raised by a local levy on streaming services, paired with equivalent government funding. The annual budget is estimated to reach $92 million. For the first time, documentary series will also be eligible for these incentives.

These changes will fully come into force in 2026, although several amendments will be implemented as early as January 2024.

Attracting Global Productions

The Czech Republic has long been a popular location for a wide range of productions, from low-budget indie films to major Hollywood blockbusters and European co-productions. Recently, high-profile projects such as Prime Video’s Blade Runner 2099, Apple TV+’s Foundation, Robert Eggers’ Nosferatu, and Lionsgate’s John Wick spin-off Ballerina have shot in the country. The Academy Award-winning All Quiet on the Western Front was filmed entirely in the Czech Republic.

With these new incentives, the Czech Republic aims to not only maintain but enhance its reputation as a go-to filming hub. “We, like other European filmmaking hubs, also felt the impact of last year’s Hollywood strikes,” said Helena Bezděk Fraňková, Director of the newly renamed Czech Audiovisual Fund. “I firmly believe that the benefits of our program will be advantageous for both our international partners and local filmmakers.”

Strengthening European Partnerships

The updates to the Audiovisual Act are also designed to deepen the Czech Republic’s collaboration with international partners. Pavlína Žipková of the Czech Film Commission described the changes as a “dramatic boost” to the local production industry. “We are thrilled that this step deepens our cooperation with international partners and helps us maintain and highlight our position as a leading filming hub in continental Europe. To be honest, we couldn’t wait any longer.”

As production hubs across Europe and beyond ramp up efforts to attract Hollywood projects, the Czech Republic’s forward-thinking changes signal its commitment to staying ahead in the competitive global film landscape.