A UMR Research paper showed that 70% of New Zealanders believe that

Hollywood companies should pay back the $67 million subsidy to make The Hobbit.

The report also showed that 56% of National voters were in favour of Hollywood repaying the subsidy.

The Hobbit movie has made more than US$1 billion at the global box office, so there is no reason why Warner Brothers needed the subsidy in the first place other than wanting to maximize profits.

Despite Treasury advice the Government has been providing subsidies of about $100 million a year to overseas film makers.  The excuse given was that the films created jobs and might somehow promote New Zealand.  At the same time the dairy industry which could have provided thousands of well paid jobs for new Zealanders was allowed by the Government to bring in thousands of low paid workers from overseas. The Government was asked to increase film subsidies but they refused saying that they did not subsidise many other industries. However, after some secret discussions, they ended up increasing the subsidies.

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