Question Period Note: Funding Support for the Music Industry

Budget 2019 provided an additional $20 million over two years to the Canada Music Fund starting in 2019-2020. Canadian music industry stakeholders reacted overwhelmingly positively to this additional support towards Canadian music. A modernization of the Canada Music Fund is also being undertaken.

• The Government of Canada recognizes the importance of supporting Canadian music artists who contribute to the cultural and economic vitality of our country. Canadian music artists are also seen as some of our best ambassadors abroad.
• That’s why we are investing an additional $20 million over two years to support Canadian music artists and entrepreneurs through the Canada Music Fund.
• The modernized Canada Music Fund will be better positioned to help Canadian music artists and entrepreneurs promote Canadian music and reach audiences everywhere.

• The Canada Music Fund (CMF) aims to foster an environment where a diversity of Canadian music artists connect with audiences everywhere, providing the essential up-front support needed to develop Canadian artists and sharing the risk with Canadian-owned music entrepreneurs. With an annual ongoing budget of $24.49 million, the CMF provides support to Canadian music artists and entrepreneurs for the production and marketing of Canadian sound recordings, domestic and international touring and showcasing, digital market development, professional conferences, and awards shows and events that enhance the visibility of Canadian artists. As part of Canada’s Action Plan for Official Languages, an additional annual amount of $1.15 million is delivered through the CMF. Through Canada’s Creative Export Strategy, $2.5 million in trade-specific support is also administered through the CMF in 2018-19 through 2022-23.
• Budget 2019 announced additional resources of $20 million over two years, starting in 2019-20, for the CMF.
• Stakeholders throughout the Canadian music industry welcomed this additional funding. Many of those stakeholders, including the Canadian Independent Music Association (CIMA) and the Association québécoise de l’industrie du disque, du spectacle et de la video (ADISQ), had been asking for an increase to the CMF budget for a number of years in the face of severe disruptions brought forth by digital distribution, including streaming services.
• With the additional resources in 2019-20 and 2020-21, the CMF is increasing funding for the following activities: i) promotion on all traditional and digital platforms; ii) developing modernized marketing skills to better target promotional efforts in the digital era; iii) export initiatives to ensure the success of artists beyond Canada; and, iv) funding for risk-based activities with strong potential for success.
• A proposal to modernize the CMF has been approved and will be fully implemented as of
April 1, 2020. Industry stakeholders are aware of the work undertaken to modernize the CMF, as they have been part of a Department-led engagement strategy on scenarios to update the Fund.

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