Tidö scraps proposal for Netflix tax

The Swedish government has scrapped its proposal for a tax on streaming services like Netflix, a move aimed at avoiding additional financial burdens on consumers. Culture Minister Parisa Liljestrand announced the decision, stating that the government does not believe ordinary citizens should be made to pay more through such a levy.

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We do not think that ordinary people who work hard for their wages should have to be affected by a streaming tax that would ultimately be placed on the consumer.

"We do not think that ordinary people who work hard for their wages should have to be affected by a streaming tax that would ultimately be placed on the consumer," Liljestrand explained. She also noted that streaming companies already produce "fantastic productions" in Sweden and that imposing a tax is unlikely to increase their interest in producing content locally. "We do not believe that it is the right way to go to impose a streaming tax on them, that it would somehow make them more interested in producing here, rather the opposite," she added.

Previously, a government inquiry had suggested introducing a new fee for streaming services, alongside other measures like reduced cinema VAT and increased state funding for Swedish film. However, the government has decided to postpone decisions on these concrete proposals, including the VAT reduction and additional funding. Liljestrand indicated that these matters would need to be handled through the standard budget process, which has not yet begun, especially in a pre-election year.

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We do not believe that it is the right way to go to impose a streaming tax on them, that it would somehow make them more interested in producing here, rather the opposite.

The government is also revising the country's film policy goals. The current seven goals, which include promoting gender equality and opportunities for children's creative expression, will be replaced by three new objectives. These new goals will focus on ensuring a broad, high-quality film offering across Sweden, attracting large national and international audiences, and preserving film heritage. Jonas Andersson of the Sweden Democrats (SD) described this shift as moving "from identity politics to a greater focus on the audience throughout the country and our common film heritage."

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The new goals mean less detailed control and a shift from identity politics ambitions to a greater focus on the audience throughout the country and our common film heritage.