Following her report on the true cost of the Willow series on DIsney+, Caroline Reid of Forbes shared on October 30th that the second season of Lokihad a budget of over $170 million, citing filings from the Walt Disney company. The analyst says this total had inflated by $9.7 million last year, but it never surpassed the “agreed budget.”
This number is far lower than The Acolyte’s $230 million budget, but still insanely expensive.
Even Loki can’t Conceal a $170 Million Invoice
According to the article, it can be difficult to find concrete information pertaining to the budgets of streaming shows. Studios tend to obfuscate these details by combining them all into their overall expenses.
Thankfully for those who like to pay attention, the U.K. forces companies to spill the beans through a tax credit system. This system can give companies back up to 25.5% of the money they spend within the country; a clever way of bringing a healthy cash flow into the nation. It’s clear why Disney would have a hard time refusing such an offer while working on a $170 million project like Loki.
Loki at the end of Loki Season 2 – Disney+
In order to receive reimbursement though, studios are required to turn in comprehensive spending reports detailing everything from individual salaries to overall business expenses. As an additional prerequisite, at least 10% of project costs must relate to business conducted within the United Kingdom.
This policy leads studios to create new U.K.-based production companies for every show they wish to produce in the country. Typically, these production companies will go by false monikers in order to not draw prying eyes. In the case of Loki Season 2, Disney decided to use Limbo Productions I UK for the new subsidiary.
In order to give businesses time to round up all their money and statements, spending reports aren’t all immediately required. For example, the most recent financial statement related to the show covered an entire year post-launch.
Loki in Season 1 of Marvel’s Loki – Disney+
This is why financial reports related to Loki are even relevant now, almost exactly 2 years out from the second season premiere. Additionally, these delays lead to a slight inflation in costs. This is where that previously mentioned $9.7 million came from.
Bringing Home the Bacon
According to Forbes, the over $170 million budget for the second season of Loki equates to around $35.4 million per hour.
Thanks to this extraordinarily high spending total, Disney was able to reclaim $35.5 million. This reimbursement brings the show’s overall cost down to $141.3 million.
Loki in Season 2 of Loki
The report claims that staff costs represented one of the largest expenditures at over $15 million. This was due to the show having a rather large monthly average of employees, which reached 183 members at one point. Keep in mind, this allegedly doesn’t even account for temporary workers, contractors, or freelancers, who ordinarily outnumber regular employees.
The U.K. has been extremely effective in attracting large-scale employers like Disney with its aggressive tax reimbursement policies. Potentially motivated by this, President Donald Trump announced in May that he was considering placing a 100% tariff on films produced abroad.
Loki and the TVA team in season 2 – Disney+
If implemented, this could very well force companies like Disney to bring their projects back to American shores.
What are your thoughts on Disney allocating Loki a $170 million budget? Was this a wise decision from a company hemorrhaging money? Let us know in the comments section below!
Funded by globalists, to do men down.