Similarly, Ireland’s ambitious plans to introduce a content production levy on large US-based streaming services such as Netflix and Disney+ have been put on ice. Patrick O’Donovan, the Minister for Arts, Media, Communications, Culture and Sport, has reiterated that he has “no intention” of proceeding with the levy. Of course, he wants to ensure that it wouldn’t impose a disproportionate burden on the industry to start. This decision reflects a cautious approach to balancing the interests of local content creators with those of international streaming companies.
The Irish government recently amended legislation to make the proposed levy, which targets services like Netflix, Amazon Prime, Apple TV, and Disney+, dependent on ministerial approval. The amendment lays the groundwork for the levy. It provides the minister with the discretion to bring it in only when it is most appropriate, allowing for consideration of any negative financial implications to be carefully considered.
Legislative Framework and Independent Production
The draft legislation proposed by Coimisiún na Meán, or the Irish Media Commission, shows the depth of the government’s commitment to fostering Irish productions. Under this framework, RTÉ, Ireland’s national public service broadcaster, will be legally required to allocate at least 25% of its public funding to independent production companies. This legislation aims to create more competition and drive new revenue into the local media ecosystem to fund diverse storytelling.
Secondly, Coimisiún na Meán has the power to increase the proportion of funding that goes towards independent productions with the consent of the minister. That flexibility is important to ensure that the fund can adapt in response to the changing scene of media consumption and production in Ireland. The government is deliberately empowering independent talent to deepen the country’s cultural tapestry. Beyond attracting more out-of-state business, this new initiative fosters a competitive environment for local creators.
Comparison with Other European Nations
The Irish proposal follows similar levies recently passed by multiple European countries. France, Portugal, Croatia, Germany, Romania, Poland, Denmark and the Czech Republic have all lead the way. They’ve enacted some version of a streamer levy. These countries have recognized the need to support their local media industries in light of the growing dominance of international streaming platforms.
Ireland is striking a more deferential pose than these countries. This position reflects a hope to weigh carefully the possible unintended consequences before getting locked into supporting the levy. Specifically, a committee of UK members of parliament has recommended a 5% streamer levy. This decision underscores a growing shift among European countries seeking to hold foreign streaming behemoths accountable for investing in domestic content creation.