The Spanish movie industry is in trouble. Nobody is loaning producers money to make films, so they are relying mostly on state subsidies and funding that television stations allocate for movies. In sum, 130 million euros per year are spent on films that result in 72 million in ticket sales.
A system that relies on taxpayer support is not sustainable. Similar to other companies in Spain, the movie industry is suffering from tax hikes resulting from the government's reforms. While the government makes sweeping changes, the movie industry is also trying to reinvent itself while struggling to get financing and create good films and strong box office sales without relying on government subsidies.
