A member of the board of the Motion Picture Production Industry Association of B.C. is suggesting a 50 percent increase in the tax credit being offered by the province to Canadian and international production companies.

Pete Mitchell, who is also the executive vice president and chief operating officer of Vancouver Film Studios, noted that while this will not match the incentives available in Quebec and Ontario, it will help protect B.C. film’s industry.

If approved, Mitchell’s recommendation will raise the current tax credit on labour costs from 25 percent to 37.5 percent. In June, Quebec and Ontario jacked up their incentives to 25 percent on total budgets. Last Friday (September 4), Minister of Tourism, Culture and the Arts Kevin Krueger said in an interview with News 1130 that B.C. would not be matching the increases by the other two provinces.

Krueger declined the Straight’s request for an interview.

“I actually think it’s a mistake to match [Quebec and Ontario] because it just keeps the arms race going,” Mitchell told the Straight. “And what we need to do is find a reasonable number which is higher than it is now but lower than 25 percent of all expenses, and settle in there so that there’s actually a choice for producers based on the merits rather than on costs.”

Although some projects have moved east, Mitchell noted that bigger productions are taking their time to see what the provincial government will do. However, he stressed that time is of the essence.

“I think they are confident that the B.C. government is going to do something to respond to this attack on our industry,” Mitchell said. “Because they’re sophisticated customers, because they want to come here, they’re willing to wait a little bit, but we’re down to weeks now before they decide they’re going to take their projects which spend a lot of money and employ a lot of Canadians to Ontario or Quebec.”

Shawn Williamson is a partner in Brighlight Pictures, and he noted that there has been a decrease in productions in the province.

Brightlight alone, according to Williamson, has lost three projects worth $29 million to Ontario. These represent approximately 400 jobs that didn’t go to B.C. film workers.

“The credits that are in Ontario are incredibly lucrative, and provide probably the largest threat we’ve ever seen to the industry in British Columbia,” Williamson told the Straight. “But at the same time, with the fiscal challenges that the government in British Columbia has, I understand the hesitation to match.”

Brightlight is moving its operations to Ontario but will maintain its corporate headquarters in Vancouver.