Money for CanCon in budget stopgap measure: CMPA

The 2018 federal budget, released Tuesday, confirmed the Canadian Media Fund (CMF) will receive top ups to offset declining private industry contributions, and included new funding efforts to support local journalism. Over the next five years, the government will contribute up to $172 million to the CMF, but only to compensate for the loss of funding from TV service providers should revenues continue to fall across the industry. This was slightly higher than the $125 million included as part of the Creative Canada policy, announced by Heritage Minister Mélanie Joly in September. The CMF, the Writers Guild of Canada (WCG) and the Canadian Media Producers Association (CMPA) praised the decision in press releases this week. While the CMF said it welcomed the government’s announcement, the CMPA indicated there was more work to be done. “The funding measures announced today will act as a stopgap measure” to maintain current production of content “while regulatory reviews look at how best to update Canada’s broadcasting system,” said the CMPA in its Tuesday release. The government plans to review both the Broadcasting Act and the Telecommunications Act. The budget also included a boost to the journalism industry with a $50 million commitment over five years to independent non-profits that support local outlets. Both media union, Communication Workers of America Canada, and the Public Policy Forum (PPF), authors of a report outlining the issues facing journalism, were happy with the decision, according to Wednesday press releases. However, not everyone was as enthused with the decisions found in the latest government accounting. Pierre Karl Péladeau, president and CEO of Quebecor Inc., having called for more taxation of foreign online entertainment companies in November, said in a Wednesday release that while many countries work to protect their “fiscal sovereignty over digital platforms” the federal government “prefers to sign secret deals." A deal for Netflix Inc. to spend $500 million on Canadian productions was the centrepiece of Creative Canada. CWA Canada also indicated it will not stop seeking further action to curb the news industry's loss of revenue. “Over 80% of Canadian digital advertising dollars go to foreign-owned companies like Google and ” which benefit from tax deductions on foreign advertising not available to Canadian outlets, and the situation “simply must change,” said CWA Canada president Martin O’Hanlon. “Otherwise Canadian media companies will continue to struggle and fight amongst themselves over the digital ad crumbs.”

Money for CanCon in budget stopgap measure: CMPA

Brief | March 1, 2018

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Money for CanCon in budget stopgap measure: CMPA

Brief | March 1, 2018

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