New York Governor plans to expand tax breaks for film and tv production

New York Governor Kathy Hochul wants to increase incentives to film and television to $700 million a year

New York state governor Kathy Hochul is pushing to expand the state's tax incentive program by nearly 70 percent. Her proposed state budget will give as much as $7.7 billion in tax credits on the film and tv production industry over the next 11 years (expanding from $420m to $700 m per year).

The plan has drawn criticisms from many who argue the decades-old program has consistently been a bad deal for taxpayers. However, the expansion's likely success hits at the heart of one problem particular to the USA: that states are pitted against each other for prestige jobs.

In the case of New York, Ms Hochul’s team is most concerned about neighbouring New Jersey whose incentives have poached projects that are set in New York. In addition, the state of Georgia and Canada offer robust tax breaks and incentives that also lure film projects away from New York.

Supporters of Hochul's plan also include union leaders, who are clear about the benefits that these jobs would bring to their members.