By Ahmad Hathout
A group of creatives sent a letter last week to Prime Minister Justin Trudeau and the relevant cabinet ministers requesting that the government include in its fall economic statement a doubling of Canada Media Fund’s stabilization subsidy to $85 million and make permanent a $30-million annual commitment to its equity, diversity, inclusion and accessibility (EDIA) initiatives.
The letter, addressed to Finance Minister Chrystia Freeland and Canadian Heritage Minister Pascale St-Onge and seen by Cartt, states that the CMF’s EDIA initiatives – backed by a $20 million per year injection over three years from the 2020 federal budget – has created, among other achievements, programs that have supported 293 projects by Black and racialized individuals “that would not have otherwise been made.”
“The CMF and the industry have collectively achieved extraordinary results over the past four years, but this progress is jeopardized by the current financial situation on the horizon for the CMF,” the letter states. “This year $30M from budget 2024 – 2025, was allocated to the CMF for EDIA. This funding will be reduced to $20M in 2025/26, after which it will sunset.”
The letter notes that the funding is being squeezed by shrinking government appropriations and declining broadcasting contributions from the cord-cutting phenomenon, which drove the federal government to stabilize the CMF but capped that subsidy to $42.5 million per year.
“Year over year, BDU revenues are declining at an accelerated pace which will result in a reduction of Canadian content production,” the letter said. “The CMF estimates that its program budget will decrease from $377M in 2024/25 to $346M in 2025/26 and then $294M in 2026/27. This rapid decline of $83M over two years will severely affect the ability for Canada’s storytellers to maintain our identity and support social inclusion especially for Indigenous and equity-deserving groups.”
The $85 million the letter is requesting for the CMF would assist the fund as the CRTC continues to implement the Online Streaming Act, which forces foreign streamers to pay into the Canadian broadcasting system and is expected to benefit the CMF to the tune of approximately $14 million in 2026 and 2027.
The group is made up of represenatives from the Reelworld Screen Institute, the Reelworld Film Festival, the Toronto International Film Festival, BackHome Co., Canadian Film Centre, Attraction, Redcloud Studios, and The Shine Network Institute.
The finance minister said Monday that the release of the fall economic statement has been delayed by a filibuster.
Photo of Deputy Prime Minister and Finance Minister Chrystia Freeland, via Wikimedia
