BUDAPEST: The new Hungarian government is reaffirming its strong commitment to the film industry by removing the cap on new registrations for the country’s film incentive scheme.
In recent years, Hungary’s 30% film incentive and the expertise of Hungarian film professionals have helped bring major international productions to life, contributing to the success of acclaimed projects such as F1: The Movie, the Dune films and television series, The Day of the Jackal, The Brutalist, and Poor Things.
Under a recent government decision, the suspension on new registrations for the Hungarian Film Incentive scheme has been lifted. The cap introduced in 2025 by the previous administration will no longer apply, allowing new productions to register for the incentive without restriction.
Hungary was the first country in Central Europe to introduce a film incentive scheme, launching its internationally competitive tax rebate system in 2004. Transparent, straightforward, and backed by a state guarantee, the scheme is administered through the collection account operated by the National Film Institute – Hungary (NFI), with financial support provided as a post-financing cash rebate. Currently the 30% incentive can be extended to 37.5% of eligible production expenditure by including 7.5% of non-Hungarian costs.
“We have opened a new chapter in our cooperation with the film industry by lifting the blockage on the tax incentive system that ensures the smooth and predictable operation of the Hungarian film industry. This decision was made in consultation with industry stakeholders and with the support and trust of the Ministry of Finance.
The amount allocated to the tax incentive yearly pays for itself over through its multiplier effect, as numerous studies have already shown. Hungary’s highly skilled craftspeople and outstanding creative talents are increasingly taking on key creative and technical roles in international productions.
We are proud that Hungary’s diverse landscapes and rich cultural heritage inspire global filmmakers, serving as the perfect backdrop for their stories. Beyond that, we are a nation of filmmakers ourselves. This craft is deeply rooted in our cultural tradition, and the powerful symbiosis between our incredible local creators and a robust industry truly sets us apart in the global marketplace. Let the adventures continue,” said Ervin Nagy, State Secretary for Culture.
Over the past two decades, the Hungarian film incentive has been continuously refined to remain among Europe’s most attractive production support schemes. Key developments have included increasing the rebate rate to 30% and introducing the NFI-operated collection account, further enhancing the system’s efficiency, reliability, and international appeal.
