Quebec grants culture, heritage and the French language a sum of 187 million over five years. A budget which worries the performing arts community, which will have to share a shrinking pie, while the audiovisual sector emerges as a winner, encouraged by tax measures requested for several months.
The performing arts, music and visual arts communities appear more fragile than ever in this deficit budget presented Tuesday by the Coalition Avenir Québec (CAQ), which nevertheless puts in place advantageous tax measures for the entertainment sector. audiovisual and written media.
The government is planning $28 million over four years to enhance the existing programs of the Conseil des arts et des lettres du Québec (CALQ) – for all performing arts, visual arts and literature organizations – which translates into a funding of 4.8 million for the year 2024-2025. In total, the CALQ’s annual budget is around 160 million.
In comparison, the implementation of the digital cultural passport for young people – to give them access to cultural goods and services at reduced costs – will alone receive funding of 3 million for the year 2024-2025.
Cultural organizations, led among others by the Independent Network of United Artistic Events Presenters (RIDEAU), which brings together 350 performance halls and festivals in Quebec, had however made much greater demands of the Ministry. Credits granted to the CALQ have increased from 180 to 160 million since last year, a drop believed to be due to the end of COVID aid measures.
“RIDEAU is very worried about the future,” its general director, Julie-Anne Richard, tells us. We note that the CALQ will have a reduction of around 20 million in its credits, while we wanted all of the expenses projected by the Treasury Board to be maintained, or even slightly increased. »
Julie-Anne Richard, who is due to meet the office of the Minister of Culture and Communications, Mathieu Lacombe (with other cultural organizations), in the wake of the publication of the budget, of course intends to express her concerns.
The money we needed to deal with the challenges of labor shortages, remuneration and exploding costs is not there. We are of course afraid that certain organizations will not make it through and we can predict that the CALQ will have extremely difficult choices to make in the coming months.
Julie-Anne Richard, general director of the Independent Network of United Artistic Events Presenters (RIDEAU)
The 187 million invested in culture are distributed as follows: 92 million to highlight Quebec culture and heritage; 54 million to support the media and the dissemination of culture; and 41 million to promote and enhance the French language.
This sum is significantly lower than that announced in the previous budget, which was 649 million (including language promotion). This budget, however, included two extraordinary measures, including an investment of 101 million in Télé-Québec over five years and a sum of 200 million made available to the Cultural Enterprise Development Corporation (SODEC) for the year 2023-2024 alone.
Generally speaking, the real expenditure budget of the Ministry of Culture and Communications for 2024-2025 stands at 939 million, according to the Ministry’s office. This amount would be up 2.8% compared to last year.
SODEC and infrastructure
For its part, SODEC will receive an envelope of 21 million over four years. Its financing offer will be “enriched by new financial instruments” (we do not specify which ones). A support mandate aimed at stimulating cultural entrepreneurship is also planned.
The Quebec Infrastructure Plan, which has enabled several organizations to renovate their buildings, will receive an additional envelope of 40 million over three years, in particular to cope with the increase in construction costs. This investment allows us to extend the activities of the Quebec Cultural Heritage Fund.
Finally, ticketing assistance – gradually decreasing – is 12 million this year. Cultural organizations will soon no longer have access to this assistance which proved so crucial during the pandemic and in the months that followed.
The audiovisual industry gets the lion’s share
To remain competitive and limit the movement of American filming elsewhere in Canada, stakeholders in the industry demanded an improvement in tax credits and they were heard.
The budget increases the tax credit for Quebec film or television production (CPCQ) from 50% to 65% of production costs. At the same time, it increases the base rate of the tax credit for film production services (CSPC) from 20% to 25%, a measure which aims precisely to “promote the attraction of foreign filming to Quebec”.
Finally, because “the arrival of digital technology has changed the audiovisual landscape”, the government is also planning nearly $4 million over two years to set up a project to review the financing model for Quebec audiovisual productions.
The industry “coordinated” and received “great attention” from the government, believes Christine Maestracci, president and CEO of the Quebec Cinema and Television Bureau. “The majority of the recommendations that we tabled are found in the budget,” she rejoices.
The announced measures will allow Quebec to “regain its competitiveness” and “capitalize on business opportunities in terms of foreign filming,” believes Ms.me Maestracci. “The government recognizes today that the industry has a cultural contribution, but also an economic contribution, and that will allow us to continue to shine here and internationally,” she says.
She nevertheless points out that a government decision is causing “a lot of concern” in the visual effects and animation sector: that of adding a ceiling to tax credits for labor expenses. “It is an ecosystem that has already been greatly impacted by the double strike in the United States in 2023,” underlines Mme Maestracci, who anticipates layoffs.
Finally, Télé-Québec will receive 20 million over the next two years to improve its programming.
Nothing for music
The network of alternative music scenes in Quebec (SMAQ) expressed its “deep disappointment” in a press release published in the evening. “Our concern is particularly marked by the flagrant neglect of the needs of independent broadcasting venues in the measures announced. »
While the performing arts receive additional funding to fund their operations, independent venues are unfairly left out.
The network of alternative music scenes in Quebec, in a press release
For its part, the Association of Music Publishing Professionals (APEM), which represents 830 publishing houses, “welcomes the investment of 49.2 million additional to CALQ and SODEC in a context described as demanding “. However, the organization regrets to see that the music sector “is not mentioned in the budget”.
Credits for written media
Written media will continue to benefit from the tax measures put in place by the Quebec government. We are essentially talking about assistance corresponding to 35% of labor expenses – with a ceiling of $75,000 per employee. But also a labor tax credit (from the federal government) of 35% of salaries up to $85,000 for the years 2023 to 2026.
Tax credits to support the digital transformation of press companies, which provide 35% assistance on digital conversion costs, will end on December 31, 2024.