HomeNewsStreaming levy: Which countries charge Netflix and what South Africa plans

Streaming levy: Which countries charge Netflix and what South Africa plans

Netflix says streaming levies punish consumers. Governments say they protect culture and support local content. South Africa’s decision could affect the SABC’s future and investment in local productions.

JOHANNESBURG — Governments on four continents are introducing streaming levies or local content obligations for Netflix, Amazon, Disney+ and other global platforms.

Some have passed laws. Others have faced legal challenges from streamers. South Africa is still considering its options.

The global streaming platform Netflix has been explicit. Pushing back against a UK recommendation for a 5% levy on foreign streaming companies, it argued: “In an increasingly competitive global market, it’s key to create a business environment that incentivises rather than penalises investment, risk taking and success.”

Levies, it added, “diminish competitiveness and penalise audiences who ultimately bear the increased costs.”

That argument did not stop Belgium.

Netflix remains the largest global streaming platform, with around 325 million subscribers across more than 190 countries.

It operates in most major markets, with exceptions including China, North Korea, Syria and Russia, where service was suspended in 2022.

It leads a concentrated global market. Amazon Prime Video follows with about 200 million subscribers, while Disney+ has roughly 131 million. Despite competition, Netflix maintains a clear lead in most regions, including Europe and Africa.

The scale of these platforms is central to the streaming levy debate, as governments argue that global services generate significant local revenue while contributing unevenly to domestic content industries.

Netflix loses in Belgium — then keeps fighting

In March 2026, a Belgian constitutional court rejected most of Netflix’s challenge against a scheme requiring streaming platforms to invest a portion of their revenue in local content.

In an official statement following the ruling, a Netflix spokesperson said: “We acknowledge the Belgian Constitutional Court’s decision regarding our challenge and the referral to the European Court of Justice. We agree that the ECJ is best suited to look into this matter further.”

The case now goes to the European Court of Justice on technical details, but the principle that EU member states can require Netflix to contribute to local production remains intact.


Which countries charge Netflix and other streamers?

A growing number of countries, including France and Germany, have introduced streaming levies or content investment obligations for global platforms.

Across Europe, 17 EU countries have implemented financial obligations for streaming platforms, according to a report by Film Take.

These measures range from fixed percentage levies to direct spending quotas on local productions.

Global streaming levy tracker: The following countries have introduced or proposed financial obligations for streaming platforms, ranging from investment mandates to content quotas.

📊 GLOBAL STREAMING LEVY TRACKER

CountryObligationTypeStatusTarget
France5% of local revenueInvestment mandateActiveNetflix, Amazon, Disney+ and all SVODs
Spain5% of local revenueInvestment mandateActiveAll streaming platforms
Denmark2–5% of local turnoverCultural levyActive (Jan 2025)All streaming platforms
Norway4% of annual revenueInvestment mandateActive (Feb 2025)All streaming platforms
BelgiumUndisclosed %Investment obligationActive — survived Netflix legal challenge (Mar 2026)All SVODs
Germany8% of local revenueInvestment obligationDraft law approved by cabinet (May 2026); parliamentary approval pending, expected to take effect in early 2027Netflix, Amazon, Disney+ and broadcasters
AustraliaUnspecified % quotaContent spending quotaPassed into law (Nov 2025)All SVODs
Iceland5% of local revenueContribution modelStalled — bill withdrawn for amendments (Feb 2026)All streaming platforms
South AfricaTBDStreaming levy under considerationPre-legislative — SABC Bill expected before Parliament in 2026/27Local and international streaming services

Global streaming levies and content obligations are expanding across Europe, Australia and emerging markets. South Africa is currently assessing a similar model to support public broadcasting and local content production.


Why streaming platforms say levies raise costs

Netflix argues that levies increase costs that are ultimately passed on to subscribers. “Levies diminish competitiveness and penalise audiences who ultimately bear the increased costs.” 

Netflix raised subscription prices in March 2026. Its Europe, Middle East and Africa revenues reached nearly $4 billion for 2026 Q1 alone.

Leslie Adams, sales director at Reach Africa, said: “If this levy goes ahead, chances are high that South Africans will cover the cost through higher subscription fees. And with the economy under pressure, that’s not great news.”

He noted that “Amazon has already reduced its spending in Africa.”

South Africa’s proposed streaming levy and SABC funding plans

South Africa’s TV licence model is under growing pressure. Licence-fee avoidance increased from 69% in 2019 to 85% in 2025. The SABC also owes Sentech about R1.2 billion.

Communications Minister Solly Malatsi confirmed to the SABC that a media subscription levy remains under consideration.

He described it as “a charge on local and international streaming services, exempting TV licence holders. This modernises funding and improves compliance through automatic collection.” 

Malatsi acknowledged that such a model could increase subscription costs. The discussion comes as households continue to weigh the affordability of pay-TV and streaming services following the 2025 DStv price increases.

The department appointed BMI TechKnowledge to develop a funding framework, and a closed parliamentary session followed in February 2026.

The revised SABC Bill is expected to reach Parliament during the 2026/27 financial year.

Malatsi said: “This is a major milestone in our efforts to secure the public broadcaster’s future.” 

The mobile question in South Africa’s streaming levy debate

According to the 2025 ICASA report, 72.6% of South Africans access the internet through mobile devices.

Furthermore, in South Africa mobile data packages are cheaper and more accessible than fixed-line connections.

Any streaming levy will need to account for those usage patterns. A flat fee applied equally to Netflix, Showmax and SABC Plus could place a greater burden on lower-income users.

The issue is particularly relevant as South Africans continue to debate the future of local streaming platforms in the back of Showmax Showmax sudden shutdown in April.

As Adams argues, “different streaming models must also be considered — a flat tax will not work for platforms that operate differently.”

What a workable streaming levy could look like

Industry stakeholders argue that any levy should strengthen, rather than weaken, investment in South African productions.

That debate is especially relevant given Netflix’s growing role in African content, as seen with its first African stand-up comedy original featuring Loyiso Gola.

Adams said: “Funds should be reinvested in local films and TV shows, not absorbed into government budgets. The levy must also be reasonable. If too high, streaming platforms will pass the cost onto consumers or cut local investments.”

He added that private broadcasters like MultiChoice could contribute, rather than placing the entire burden on global streaming platforms.

European Producers Club president Gudny Hummelvoll says “regulation would allow countries to protect their assets in the hands of those who develop and produce those works.”

Alexandra Lebret adds: “The need to regulate the ownership of IP in the audiovisual production sector is not just a European issue. It is a worldwide imperative.”

South Africa’s debate reflects a broader international trend as governments look for ways to ensure global streaming platforms contribute to local broadcasting and content production.


For the latest South African entertainment news that matter most, visit the NOWinSA Newsdesk.

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