Hollywood Only Returns for Award Season

One year after the devastating Los Angeles wildfires, Hollywood has briefly regained its vitality for award season. As actors and industry professionals converge on LA for the Academy Awards in mid-March, their absence during the rest of the year becomes even more pronounced.

Many stars who once called LA home now follow productions to Atlanta, Vancouver, Australia, or have relocated entirely to other cities. This shift is not merely a lifestyle choice but a result of economic reality.

The Ripple Effect of Budget Cuts

As studio budgets shrink, film production has migrated to other states and countries offering tax incentives. According to FilmLA, a nonprofit organization, LA's film production volume hit an all-time low last year.

Kent Belden, CEO of The Only Agency, which represents celebrity stylists, notes that "everyone is feeling the impact of these budget changes."

This shift has directly impacted the fashion industry. Traditionally, studios allocated separate styling budgets for promotional tours, but these budgets have significantly decreased in recent years. One stylist revealed that despite working on blockbuster films, their fee per look remains around $500-700.

Karla Welch, stylist for actors Renate Reinsve and Tessa Thompson, points out: "These media companies and studios are massive publicly traded corporations. They're always looking to cut costs."

Stylists' Struggles

Britt Theodora, who works with actor Pete Davidson and director Celine Song, states that "studio budgets are not sustainable." She explains: "We have studio space, full-time employees, and work with multiple freelance assistants and tailors. Creating all these looks requires enormous effort."

Sometimes stylists prepare for large-scale promotional tours expecting 20 looks, only to have the requirement reduced to a few pieces—yet the preparatory work remains necessary.

Signs of Recovery

Fortunately, there are signs of change. In June 2025, California Governor Gavin Newsom dramatically expanded tax credits for film and TV production from $330 million to $750 million annually.

One stylist working in both fashion and film expects this measure to bring film and advertising work back to LA. In December, Governor Newsom announced that 28 film projects received financial support through the expanded tax credit program, offering a positive outlook for 2026.

David Siwicki, a fashion publicist who attended LA press days in December, remains optimistic: "LA has been through tough times after the writers' strike and wildfires," he said, adding, "though it's still challenging."

The Meaning of Award Season

Award season remains a crucial opportunity for fashion brands. Like Ariana Grande's look at the 2024 Oscar red carpet, this period offers fashion brands their greatest exposure.

The challenges facing LA's fashion and entertainment industries extend beyond a single city. Hollywood has been the epicenter of global fashion trends for decades, and changes here ripple throughout the worldwide fashion industry.

Whether policy efforts like expanded tax credits can actually improve the production environment, and whether this translates to fashion industry recovery, remains a critical question to observe throughout 2026.