The Government Plans to Disrupt Domestic Film Production

Finnish Film Foundation’s statement regarding The Government’s Budget Proposal for 2026:

The funds invested in domestic film production through the Finnish Film Foundation are not corporate subsidies, despite claims made in the Government’s Budget Proposal. Production Support is project funding for individual films, without which they would not be completed. The approximately €7 million cut directly targets Finnish film production and domestic culture. This decision cannot be justified as supporting economic growth: every euro granted through the Film Foundation returns to the state treasury, at best, doubled.

With these cuts, the government is knowingly shifting market share away from domestic production in favor of foreign content and reducing its own tax revenue. Public investments in the film sector are being cut by nearly 35%. The ripple effects across the entire industry will be even greater.

The number of domestic premieres could collapse to about half of the current level. Very few Finnish production companies will survive such a scale of downsizing. Cinema operators who rely on domestic films and Film Foundation support will be forced to shut down across the country. Skilled professionals will be left unemployed. Domestic content, films and TV series, will simply no longer be available to Finnish audiences to the same extent.

The Finnish Film Foundation will also be unable to fully carry out the duties assigned to it under the Film Act.

The lack of domestic funding makes securing international financing nearly impossible; even a small public investment during the development phase enables significant foreign investments in Finnish audiovisual production.

The long-awaited implementation of the EU’s AVMS directive, which would introduce a payment obligation for streaming services, is a positive development. However, the process will take years, and the funds expected no earlier than 2028 will not be enough to compensate for the damage caused to the domestic film industry by the cuts in public support.

Domestic films and series are among the most popular forms of culture in Finland, an essential part of shaping Finnish identity and national image, and easily accessible to all. Film production is a highly employment-generating sector. The domestic audience share of Finnish films has long been among the highest in Europe. Finnish productions succeed and generate export revenue through long-term efforts. Why is all this being dismantled?

In the past, proposals made during the Government’s Budget negotiations have been amended by Parliament. We place our hope in Parliament correcting this mistake during their Budget Review.

Further information:

Lasse Saarinen
Director
Tel. +358 9 6220 3023
lasse.saarinen@ses.fi