From 1 April 2025, Orchestra Tax Relief (OTR) will be set at a permanent level of 45% for all orchestral productions. Prior to the announcement, the current temporary rate of OTR (50%) was planned to be reduced to 35% from 1 April 2025 and 25% from 1 April 2026. Theatre Tax Relief will remain at a rate of 40 per cent (and 45 per cent for touring productions).
MU General Secretary, Naomi Pohl, responded:
“A permanent increase in the rate of tax relief for orchestras and theatres is extremely welcome. We are grateful that the Treasury has responded to requests for this from the MU, Equity, BECTU, ABO, SOLT/UK Theatre and trade bodies in both sectors. The increase will give greater certainty for organisations at a time when funding is precarious and the costs of touring have sky-rocketed.
“For the Musicians' Union, we hope this will lead to greater opportunities, more secure work and ultimately better pay for our members. Musicians in theatre and the orchestral world are struggling and they need some relief from the constant threat posed by diminishing resources.”