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2026-10-11 11:42 UTC → 2026-10-15 07:56 UTC ·
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Thirteen film The debate over the 2027 French budget has intensified as industry organizations leaders warn of a systemic crisis in France have petitioned President Emmanuel Macron both the film and rugby sectors due to oppose a proposed VAT increase in the 2027 budget. increases. The measure would seeks to raise the VAT rate for linear television pay-TV from 10% to 20% to harmonize taxation align with streaming platforms. Industry professionals warn that this change could have “dramatic consequences” for services. In the French film sector, potentially undermining the investment capacity of Canal+, which serves as industry, a primary private financier for domestic cinema. collective of over 170 directors, including Jacques Audiard, Julia Ducournau, and Justine Triet, has urged the government to maintain the lower rate. Canal+ CEO Maxime Saada has characterized escalated his warnings, threatening to terminate a 980 million euro film financing agreement if the proposed tax hike as proceeds. Such a “political” and “absurd” decision, warning it move could cost the group approximately 200 million euros annually. To mitigate this, Saada indicated the company might implement job cuts, potentially reduce internal costs, or increase subscription prices. Canal+ has officially notified subscribers that it may be forced to pass the tax increase on to customers. While number of funded films by half or more. Beyond the VAT jump is ten percentage points, the company notes the actual impact on final prices would be approximately 9.1% if pre-tax prices remain unchanged. The financial implications dispute, filmmakers are facing additional budgetary pressures. Projections indicate a 47 million euro decrease in funding for France Télévisions and a proposed withdrawal of 35 million euros from the proposed 2027 finance bill are now extending to Centre national du cinéma et de l'image animée (CNC). Industry experts warn these combined factors could result in 400 fewer films being produced over the sports sector, specifically next five years, an average loss of 80 productions annually. Parallel concerns persist in professional rugby. The Ligue Nationale de Rugby (LNR) has expressed deep concern, noting maintains that television rights rights, which account for approximately two-thirds of its total revenue. revenue, are vital to the economic model of Top 14 and Pro D2 clubs. LNR President Yann Roubert stated noted that the funds distributed from these rights represent 20% to 30% of the total income for Top 14 and Pro D2 clubs, club income, making the tax hike a significant risk threat to the economic model of French rugby. sport's financial stability.