Ben Affleck Says Hollywood’s Move Out of L.A. Comes Down to Tax Breaks

Ben Affleck is shedding light on why so much of the film and television industry has moved away from Los Angeles and California in recent years — and it largely comes down to money.

Speaking with the Associated Press on the red carpet at the premiere of The Accountant 2, Affleck said California has lost productions because other states and countries offer far better tax incentives for filming.

“I think part of the problem with California is they came to take this industry for granted a little bit,” Affleck said. He noted that Governor Gavin Newsom has raised the cap on film and TV tax incentives to keep productions in the state, but Affleck believes the changes may have come too late for many projects that have already left.

According to Affleck, California’s incentives simply can’t compete with places like the United Kingdom. “The percentage you get back in terms of actual budget doesn’t compete with places like England,” he explained, adding that this is why many large-scale films now shoot in the U.K.

Affleck also pointed to U.S. states such as Georgia, New Mexico, Louisiana, Texas, Massachusetts, and New Jersey as major competitors. Georgia and New Mexico, in particular, are attractive because they do not place an annual cap on their tax incentive programs, allowing productions to save millions.

But the impact goes beyond budgets. Affleck warned that as productions leave California, film crews often follow — and that hurts the industry at its core.

“It’s really the technicians and the crew that make or break your movie,” he said. “You need the best people. If people move away, that really hurts the industry.”

Affleck isn’t the only star raising concerns. Rob Lowe recently compared filming costs in Los Angeles with those overseas, saying it was cheaper to fly an entire American crew to Ireland than to produce his game show The Floor on a studio lot in L.A.

Despite the trend, Hollywood isn’t completely gone. Affleck filmed portions of his recent films The Accountant and Animal in and around Los Angeles. Still, the ongoing shift has sparked a movement called “Stay in L.A.,” aimed at keeping production in its historic home.

Based on Affleck’s comments, however, reversing the industry’s migration may prove difficult — and for some productions, it may already be too late.