The UK government plans to extend the Theatre Tax Relief (TTR), Orchestra Tax Relief (OTR), and Museums and Galleries Exhibition Tax Relief (MGETR) for an additional two years to continue supporting the cultural sector during the economic recovery from the COVID-19 pandemic.

Companies claiming tax relief for theatrical productions, orchestral concerts, and museum and gallery exhibitions will be affected. The current rate increases for these cultural reliefs were initially expected to taper down April 1, 2023.

However, they will now continue for two more years before moving again on April 1, 2025, and returning to their original levels on April 1, 2026.

The MGETR will expire after March 31, 2026, and no expenditure after this date will be eligible for relief.

By providing a higher rate of relief for an additional two years, approximately 1,200 companies claiming TTR, OTR, or MGETR are expected to benefit positively from this measure.

The Royal Opera House published a statement on Twitter, stating, “We are hugely grateful for the vital support announced by the Government in today’s Budget, maintaining the higher rate of Theatre
Tax Relief until 2025. These measures recognise that investment in culture equals an investment in economic growth and job creation, helping to present a confident UK to the world: a UK to visit, invest in, and which has immense cultural influence around the world.”