Australia's art sector is sustainable, innovative and strong and enabling growth in creative activities across Australia
2.3.1 Analysis of contribution of the arts and cultural education to employment outcomes
ABS data shows that over 1 million people were employed in Australia's creative sector in 2014–15 and that there were approximately 160,000 creative businesses in operation. There has been substantial growth in employment in the creative sector — nearly twice the rate of the total Australian workforce.
2.3.2 Analysis of contribution of arts and culture to the economy
The creative sector is significant to Australia's economy. Estimates based on ABS data show that cultural and creative activity contributed approximately $106 billion (equivalent to over 6%) to Australia's gross domestic product in 2014–15.
We assist the creative sector in building sustainability and resilience and identifying opportunities for innovation. We support the creative industries to be sustainable, innovative, strong and an important contributor to our nation's cultural life and economy. A creative economy contributes to cultural diversity, social inclusion, knowledge building and technological advancement. Creativity is key to innovation, driving sustainability and prosperity. Our support is through effective and efficient management and oversight of policy and programs, including the film tax offsets, Location Incentive grants, Resale Royalty Right for Visual Artists Act 2009 and associated scheme, and the lending rights programs.
Australia is home to a wide range of creative arts and industries, from world-class screen production, to visual and performing arts, to book publishing and the games sector. Australia has a vibrant arts and entertainment community which is known internationally for its unique style and its reflection of Australia's rich Indigenous cultures. Australia also plays a key role in the education, training and development of future leaders across all arts and creative industries.
The work of the department and our portfolio agencies to support the creative industries also contributes to Australia's efforts to achieve the United Nations' Sustainable Development Goals. This work contributes directly to Goal 9 — Industry, Innovation and Infrastructure: Build resilient infrastructure, promote inclusive and sustainable industrialisation, and foster innovation.
Analysing the contribution of arts and culture to the economy and employment
As digital disruption reshapes the Australian economy and workforce, Australians will need to have the necessary skills to embrace the future world of work. Creative skills are likely to be particularly important with creativity critical to innovation, and therefore to productivity, living standards and wellbeing.
We are developing our evidence base about the importance of creative skills and cultural and creative activity to the economy.
Initiatives to support creative industries' contribution to the economy
Our programs and policies support Australia's creative industries in producing original, compelling and accessible content.
Location Offset, and Post, Digital and Visual Effects (PDV) Offset
The Location Offset provides a 16.5% rebate on productions that spend at least $15 million on qualifying Australian production expenditure. The PDV Offset provides a 30% rebate on the qualifying post, digital and visual effects expenditure of productions that spend at least $500,000 on qualifying Australian expenditure, including productions not necessarily shot in Australia. In 2017–18, the Minister issued 111 final certificates to applicants for the Location Offset and PDV Offset. The Film Certification Advisory Board issued a further 34 provisional certificates for these offsets. The qualifying Australian production expenditure of these productions totalled $573.63 million, with an estimated rebate payable to these productions of $137.64 million.
Foreign Actor Certification Scheme
This scheme assesses applications for foreign performers to enter Australia to work on film and television productions. Applicants are required to demonstrate a genuine requirement for a foreign performer to receive certification. The scheme ensures that Australian industry personnel are given a fair opportunity to secure employment in film and television productions shot in Australia, and that Australian voices are heard in Australian productions in keeping with the Australian Government's cultural objectives. In 2017–18, we certified 76 foreign actors under the scheme.
Resale Royalty Scheme
Under the Resale Royalty Scheme, visual artists are entitled to a royalty payment of 5% of the resale price for eligible works of art resold commercially for $1,000 or more. At 30 June 2018, the scheme had generated more than $6.305 million in royalties for 1,621 artists from 17,042 resales.
Public and Educational Lending Rights schemes
In 2017–18, through the lending rights schemes, we made over 17,200 payments totalling $22.3 million, to Australian creators and publishers. These funds compensate writers, illustrators and publishers for income lost through the free use of their books in public and educational lending libraries and meet the objective of supporting the growth and development of Australian writing.
Artbank's core objectives are to provide direct support to Australian contemporary artists through the acquisition of their work and to promote the value of Australian art to the broader public. Artbank funds its operations through the leasing of artworks from its collection and aims to increase the sustainability and accessibility of Australian art, to support artists, and to encourage engagement with and appreciation of Australian contemporary art by the broader community. In 2017–18, Artbank purchased 181 new works and rented 4,632 works to 553 clients.