Cost Efficiency:: Rob Lowe stated it's "cheaper to bring one hundred American people to Ireland" to film his game show, *The Floor*, than to shoot on the Fox lot in Los Angeles.
Tax Incentives:: The primary driver is the disparity in tax credits. Lowe mentioned locations like Ireland offer incentives up to 40%, significantly higher than California's 20-25%.
Industry Impact:: Lowe criticized California officials, stating "it's criminal what California and LA have let happen," suggesting the lack of competitive incentives is harming the local industry.
Corroborating Views:: Fellow actor Adam Scott agreed, noting that "nothing shoots in Los Angeles" anymore and is himself filming a movie in Cork, Ireland.
Why this matters:: This trend directly affects jobs for film crews, supporting businesses in production hubs, and the overall economy of regions vying for film projects. It signals a potential shift away from traditional Hollywood dominance.
The decision for major productions to film outside California underscores a critical economic reality driven by financial incentives. While California offers tax credits through its Film & TV Tax Credit Program (currently 20% for features/new series and 25% for relocating series/indies), other regions provide substantially more attractive packages, reportedly up to 40% according to Lowe.
States like Georgia, Louisiana, New York, and international locations like Ireland and Budapest (jokingly suggested by Lowe and Scott for *Parks and Recreation*) have become competitive hubs, drawing productions away from Los Angeles. Data indicates this shift is having a tangible effect; according to a ProdPro report cited by No Film School, US film/TV production spending, while still leading globally at $14.5 billion, was down 26% from 2022.
Despite this, California officials maintain the state's prominence. Governor Gavin Newsom recently highlighted the approval of 51 new film projects under the state's program, emphasizing job creation. However, the reality remains that soundstages in LA are reportedly underutilized, as mentioned by Lowe and Scott, pointing to the direct impact of these financial decisions on the ground.
The current California tax credit program (3.0) is set to expire on June 30, 2025, with a new iteration (Program 4.0) scheduled from July 1, 2025, to June 30, 2030. Whether this new program will be sufficient to stem the outflow of productions remains a key question for the industry.
Why did Rob Lowe say it's cheaper to film in Ireland?
Lowe attributes the cost savings primarily to Ireland's generous tax incentives (reportedly up to 40%), which outweigh the expenses of transporting and housing a large crew compared to filming in California with its lower tax credits (20-25%).
Are other productions also moving away from California?
Yes, the trend highlighted by Lowe and Scott reflects a broader industry movement. Many film and television productions are choosing locations with better financial incentives, including other US states (like Georgia, Louisiana) and international destinations, leading to concerns about the decline of filming activity in Los Angeles.
Industry Shift:: Understand that where your favorite shows and movies are filmed is increasingly influenced by tax policies and production costs, not just creative choices.
Economic Impact:: Recognize that this trend has real-world consequences for employment and local economies in both California and the regions attracting productions.
Who This Affects Most:: Film crews, actors, studio executives, local businesses reliant on production activity, and ultimately, state/national economies competing for industry investment.
How to Prepare (Industry Professionals):: Stay informed about global production incentive programs and be adaptable to working in diverse locations. For viewers, understand the economic factors behind location choices.
The economics of filmmaking are clearly changing. Do you think California can regain its dominance, or will productions continue to seek savings elsewhere? Let us know!
Share this article with others who need to stay ahead of this trend!
Source 1: US actor Rob Lowe: It's 'cheaper' to film in Ireland (RTÉ)
Source 2: Rob Lowe Breaks Down How Filming Internationally Is Cheaper Than Filming in LA (No Film School)
Source 3: Actor Rob Lowe Blasts California Movie Taxes: 'Everybody Should Be Fired' (Newsweek)
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