Local film producers who urgently needed overdue government funding to pay their crew began to receive payments on Friday, just days after Times of Malta sent questions about the delays to the Malta Film Commission.

At least six productions were waiting for funding they were pledged in August as part of the Film Commission’s scheme to help local productions.

Over the past weeks, industry insiders complained about “unusually long delays” in payments, with some having to delay paying their crew.

Though the payments started being issued, the delay has led film insiders to question the veracity of claims that the film commission was in a good financial position.

Until Friday, industry insiders told Times of Malta producers were owed thousands in film funds and were being told to wait because there appeared to be a problem with funding.

“Where it comes to paying rebates on time, Malta enjoys a positive reputation. However, we have recently noticed that rebates are getting paid months later,” one source in the industry said.

“It is encouraging, however, to see the ball rolling again on funding. It gives us the much-needed peace of mind to pay our crews,” another industry insider added.

Questions sent to the Tourism Ministry to explain the late payments remained unanswered.

A film commission spokesperson said: "Our commitment to the film industry remains clear and we have always, and will continue, to honour our pledges."

The government has instructed the commission to stop committing to new, prospective productions for the foreseeable future amid fears the country is forking out more money in rebates than it can afford- sources

Film Commissioner Johann Grech and Tourism Minister Clayton Bartolo have repeatedly claimed the film industry is generating millions of euros in economic activity but it has always been unclear how the economy benefits and to what extent.

In a press conference last month, Grech said films and TV series were leaving so much money in Malta that they were not only sustaining the film industry, but have become an economic pillar, sustaining pensions, education and healthcare.

But film insiders and senior government sources, who spoke to Times of Malta on condition of anonymity, fear the funding problems are long-anticipated effects of excessive overspending by the commission.

The film commission has made Malta very attractive to foreign productions over the past four years, drawing the likes of the new Napoleon biopic and the Gladiator sequel.

The magic wand is the cash rebate scheme that promises production houses up to 40% cash back if they shoot in Malta – a scheme described by the executive producer of Napoleon and Gladiator as “the most generous cash rebate in the world”.

Taxpayers paying €47m to Gladiator sequel alone

Over the summer, Times of Malta revealed that taxpayers were paying a whopping €47 million to the Gladiator sequel alone, in addition to almost €13 million to the Napoleon biopic. All the films and television series shot in Malta over the past five years will have received at least €143 million in total.

This frustrated top industry insiders, who have long been warning that the money spent was excessive, with most of it routed towards foreign filmmakers to bring big-name films to the island for little more than “personal vanity”.

Over summer they repeatedly told Times of Malta the scheme is unsustainable and the commission risks running out of money, tarnishing Malta’s reputation and causing the industry to crumble.

“I hope it’s not happening now. I really hope we’re wrong,” an insider said.

Meanwhile, sources also confirmed the government has instructed the commission to stop committing to new, prospective productions for the foreseeable future amid fears the country is forking out more money in rebates than it can afford.

The scheme is unsustainable and the commission risks running out of money, tarnishing Malta’s reputation and causing the industry to crumble- top industry insiders

“The government has taken note of the amount of money already committed and instructed the commission to draw a line for now,” one source said.

“There will be a stop in negotiations with prospective productions. The country cannot spend more than it can afford.”

In a reply to questions, the Film Commission denied the rebate was stopped, saying it “signed off three more productions” last week and there were no plans to stop investment in films.

“The commission has always remained open to accepting production investment in Malta as long as they fall within the guidelines and will remain so in order to create more sustainable growth and offer new job opportunities,” a commission spokesperson said.