On 14 November 2013, the EC issued new rules on state support in the EU to films and other audio-visual works. The rules establish the criteria which EU member states will have to satisfy in order to have their support for such activities approved by the EC.

The new rules cover not only production activities, but also post-production, distribution and promotion of movies and other audio-visual works, as well as other related activities such as script writing. Recognizing that this sector is different from others, under the rules states are still allowed to impose territorial spending conditions on beneficiaries of audio-visual aid measures. This “is justified by the promotion of cultural diversity which requires the preservation of the resources and know-how of the industry at national or local level.”

The new rules will be of interest to all operators in the sector, whether these be potential recipients of aid or those who are concerned about aid granted to a competitor.