Press statement

Press statement

In response to the announcement made on Wednesday (21 October 2026) by the Minister of Culture, Ota Klempíř, to the iDNES.cz website, stating that he intends, for example, to table a parliamentary amendment to the Audiovisual Act before the Chamber of Deputies by the end of November, which would introduce new elections for all 20 members of the expert councils and completely overhaul the 15-member board of the State Audiovisual Fund, or that he intends to reduce the budget framework for the audiovisual sector by one billion crowns, professional and industry organisations, led by the Audiovisual Producers‘ Association (APA), agree on the key facts. Namely, that a drastic reduction in the budget of the State Audiovisual Fund (SFA) and an amendment to the Audiovisual Act would lead to the destabilisation of a perfectly functioning system and, consequently, to the total destruction of the Czech audiovisual sector. The end of film incentives would mean the loss of several thousand jobs across all sectors – not just in the audiovisual industry – the bankruptcy of film and post-production studios, and a huge international embarrassment.

The current Audiovisual Act was drafted on the basis of a broad political and expert debate involving all stakeholders in the audiovisual sector (including television broadcasters, streaming platforms, the gaming industry, distributors and others) and was passed two years ago by the Chamber of Deputies across the political spectrum, including with the support and expert input of the ANO movement, now the leading party in the governing coalition. Abroad, we are often cited as an example of good practice and the ability to reach agreement across the market on balanced funding that benefits all stakeholders in the audiovisual sector, including the state. The Czech audiovisual industry has achieved an annual turnover of over 50 billion crowns and is highly export-oriented.

The Czech audiovisual system works and does not need to be changed. Thanks to the successful collection of audiovisual levies (2 per cent of revenue from cinemas, television and streaming platforms) and the return on investment from incentives, the audiovisual sector is largely self-financing. Every Czech crown invested in film incentives is eventually recouped by the state. The 1.6 billion allocated to incentives each year attracts foreign film and television projects worth tens of billions of Czech crowns. The majority of the funds for selective support, in turn, comes from audiovisual levies, i.e. from funds generated by the audiovisual sector itself from its own revenues, rather than from the state budget. Foreign platforms operating on the Czech market also contribute to the system. The state provides a subsidy for selective support equal to the amount collected in audiovisual levies. In 2027, this will amount to approximately 230 million crowns, which is not a staggering sum when compared with other subsidy programmes. Seeking savings in this area is therefore misguided and arbitrary. The majority of the fund’s resources – whether in the form of incentives or investments in the production of original Czech content via grants – are returned to society and the state budget. Any savings in next year’s state budget are impossible, as state subsidies earmarked for supporting the audiovisual sector constitute a mandatory state expenditure. The radical intervention mentioned by the Minister of Culture Klempíř in an interview with iDNES.cz would contravene the law.

The proposed measures would also lead to the collapse of the incentive scheme. The law currently determines the level of investment in incentives via a coefficient, thereby enabling the fund to operate in a stable and sustainable manner over a period of several years. This corresponds to the production cycle of films and series, which take two to three years to complete. Incentives are therefore not merely a matter of the state budget for a single year, but also of medium-term outlooks. The current Act regulates this well, as confirmed by the debate between the State Audiovisual Fund and the Ministry of Finance earlier this year. Amending the Act and reducing funding for the incentive scheme would not only lead to a reduction in the volume of investment in the production of audiovisual works but would fundamentally destroy the entire system by undermining the Czech Republic’s credibility, which has been built up over the long term.

It is surprising that the announced cuts and planned amendments are to take place just a few weeks after the government officially approved the Czech Republic’s State Cultural Policy for the period 2026 to 2029 in October 2026. This government strategic document clearly defines culture and the creative industries, including the audiovisual sector, as a key investment in the economy and commits the state to strengthening competitiveness and ensuring a stable and predictable environment. The plans announced by the Minister of Culture are in direct contradiction to the government’s own strategy; they run counter to the declared objectives of economic growth and, instead of supporting exports and a successful system, they would bring chaos. Such measures would undoubtedly lead to a massive exodus of projects to other countries, the loss of thousands of jobs and the destruction of the entire sector and all related fields.

Equally unsystematic would be interference in the fund’s board, the SFA’s strategic body, which is composed of respected professionals from across the domestic and global audiovisual sectors and representatives of the Ministry of Finance and the Ministry of Culture. This board also includes representatives of foreign studios, which contribute 2 per cent of the revenue from platforms such as Netflix, Disney+, HBO and others to the fund. Any questioning of the role of these experts, including foreign leaders in the international audiovisual sector, would send a clear signal to the world that the Czech audiovisual sector and the SFA are unstable, and would lead to a global loss of trust and prestige for the Czech Republic, which has been built up over many years.

APA, Audiovisual Producers’ Association, Chairman of the Board Vratislav Šlajer

UFP, Film Industry Union, Chairman of the Board Petr Tichý

AČK, Czech Society of Cinematographers, President Pavel Berkovič

ARAS, Association of Directors, Screenwriters and Dramaturgists, Chairwoman Marta Nováková

A. F. S., Czech Association of Film Editors, Chairwoman Mariana Kozáková

APK, Association of Cinema Operators, Board

UFD, Union of Film Distributors, Secretary Jaroslav Pecka

RAF, Council for Animated Film, President Bára Anna Stejskalová

ČFTA, Czech Film and Television Academy, President Ivo Mathé

FAMU, Film and Television Faculty of the Academy of Performing Arts, Dean David Čeněk

FAVU, Faculty of Fine Arts, Brno University of Technology, Dean Filip Cenek

HA, Actors’ Association, President Ondřej Kepka

AHA, Association of Actors’ Agents, Chairwoman Lenka Daňková

GDA, Czech Game Developers Association, Chairman Pavel Barák

SCFK, Association of Czech Film Critics, Chairwoman Jindřiška Bláhová

AČFF, Association of Czech Film Festivals, representative Ondřej Kamenický

FITES, Czech Film and Television Union FITES, Chairman Elmar Kloss

FMK UTB, Faculty of Multimedia Communications, Tomas Bata University in Zlin, Dean Josef Kocourek

APA – Audiovisual Producers’ Association
Martina Reková, martina.rekova@4press.cz, +420 731 573 993, Národní 28, Prague 1
www.czechproducers.cz