Govt Revamps Screen Production Rebate to Boost New Zealand’s Global Film Edge

Minister Willis said the updates form part of a broader government strategy to support creative industries as key pillars of economic growth.

In a strategic move to maintain New Zealand’s position as a world-class hub for film, television, and streaming productions, Economic Growth Minister Nicola Willis has announced a series of targeted updates to the International Screen Production Rebate (ISPR). The reforms, effective from 1 January 2026, are designed to ensure New Zealand remains competitive in an increasingly aggressive global film industry where nations are rapidly expanding incentives to attract international productions.

Minister Willis said the updates respond directly to extensive industry consultation, with changes aimed at diversifying the types of productions that qualify for support while delivering consistent employment and investment across the country’s creative economy.

“Global competition for large-scale screen productions has intensified, and the settings we inherited were putting New Zealand at risk of missing out,” Ms Willis stated. “These updates modernise the rebate to attract a broader range of productions, create more consistent work for local crews and businesses, and encourage greater foreign investment in our creative industries.”

Key Changes to the Rebate

The revised rebate structure introduces several significant adjustments to make the system more inclusive and flexible:

• Lower qualifying spend for feature films: The minimum expenditure threshold for feature films will drop from $15 million to $4 million, opening the door to more medium-sized projects for cinema, television, and streaming platforms.

• Reduced threshold for the ‘5% uplift’: Productions will now qualify for the additional 5% rebate uplift with a spend of $20 million, down from $30 million, helping more mid-tier productions access greater incentives.

• Expansion to post-production and visual effects (PDV) projects: The 5% uplift will now include PDV-only projects, acknowledging New Zealand’s global leadership in digital and visual effects — a sector led by companies such as Wētā FX, Park Road Post Production, and others.

• Removal of caps on above-the-line costs: Restrictions on remuneration for key creative roles such as directors, producers, principal cast, and screenwriters will be removed, bringing New Zealand’s rebate scheme into line with international best practices.

The changes will be funded from Budget 2025, which allocated an additional $577 million to the ISPR, bringing the total investment to $1.09 billion.

Strengthening Global Competitiveness

Minister Willis said the refreshed rebate framework will help future-proof New Zealand’s screen economy, allowing it to respond swiftly to shifts in global production trends.

“These changes ensure New Zealand remains a serious contender in an increasingly competitive global screen industry,” she explained. “They will help diversify our screen economy, build stronger partnerships in growing markets across Asia and the Middle East, and keep Kiwi talent in steady work while attracting new investment, skills, and technology.”

The film and television sector already makes a powerful contribution to the national economy. The screen industry supports approximately 24,000 jobs and contributes around $3.5 billion annually to GDP. According to the Ministry of Business, Innovation and Employment (MBIE), every dollar invested through the rebate returns $2.40 to the wider economy through wages, local services, and international promotion of New Zealand as a creative and tourism destination.

Sustaining the “Middle Market” and Local Talent

Industry experts have long called for adjustments to the rebate to support smaller, independent, and streaming-based productions. By lowering entry thresholds, the new settings are expected to help regional film hubs in Auckland, Wellington, Canterbury, and Otago attract consistent work and retain skilled professionals.

The inclusion of PDV-only projects in the uplift is particularly significant, reflecting New Zealand’s growing reputation as a global post-production powerhouse. Companies like Wētā FX, Images & Sound, and Department of Post have contributed to some of the world’s most acclaimed productions, from Avatar: The Way of Water to major Netflix and Disney+ series.

A Vision for Long-Term Growth

Minister Willis said the updates form part of a broader government strategy to support creative industries as key pillars of economic growth. “Modern screen production is borderless and dynamic,” she said. “By staying agile and globally connected, we can turn Kiwi creativity into competitive advantage — keeping New Zealand on the world stage and growing one of our most distinctive export industries.”

She added that the changes would not only retain international productions but also empower domestic creators to tell New Zealand stories for global audiences. “Our landscapes, talent, and creative vision are second to none. With these updates, we’re giving producers and crews the confidence that New Zealand remains open, competitive, and world-leading.”

The revamped rebate scheme signals a renewed commitment to supporting innovation, sustaining local employment, and positioning New Zealand at the forefront of global screen production for decades to come.