Creative media receives Budget backing

There were plenty of pre-election treats in the chancellor of the exchequer's final budget of this parliament. Help to Buy ISAs, further amendments to existing ISA rules, cuts in beer and cider duty, and aid for North Sea oil producers grabbed the headlines. But George Osborne also recognised the massive contribution made to the British economy made by the country's creative industries.

He'd already talked about backing the oil and gas sector, heavy industry like steel and paper mills, and the engineers, before adding: "since we aim to be the most prosperous major economy in the coming generation, then we must support the latest insurgent industries too."

"So we take steps to put Britain at the forefront of the on-line sharing economy."

According to the chancellor, that means making our TV and film tax credits more generous, expanding support for the video games industry and launching new tax credit for orchestras.

Budget documents revealed plans to increase the rate of film tax relief to 25% for all qualifying expenditure, and extend the high-end television tax relief by reducing the minimum UK expenditure requirement from 25% to 10% and modernising the cultural test.

A new children's TV tax relief will also be introduced from April, which will include children’s programmes that are game shows or competitions.

An extra £4 million will also be added to the Skills Investment Fund so that it can continue to match fund support for training and development in film, television, visual effects, video games and animation for a further two years. And there's another £4 million for a new Video Games Prototype Fund over the next four years, which will help games developers access finance and business support.

Local newspaper proprietors had cause to raise half a cheer as the government promised to consult on whether to introduce a business rates relief for local newspapers in England. "Local newspapers are a vital part of community life - but they’ve had a tough time in recent years - so today we announce a consultation on how we can provide them with tax support too," said the chancellor.

He acknowledged, too, that they are "a vital part of a healthy democracy". However, editors would argue that this help comes too late for the more than 150 local newspaper titles have disappeared since the financial crisis, as the industry transitions from print to online readership.

And Wagner fan Osborne had a sweetener for lovers of classical music. The government will provide tax relief to orchestras at a rate of 25% on qualifying expenditure from 1 April 2016, he said.

"Britain is a cultural centre of the world - and with these tax changes I’m determined we will stay in front."