Question Period Note: Situation facing independent, private media companies in Canada

Canada’s media sector is undergoing profound and accelerating transformation. The global digital transition continues to erode the economic foundations that traditionally supported news production, weakening revenues and contributing to layoffs and restructuring across the industry, including at TVA, Corus, and other private media companies. As Canadians shift away from traditional advertising-supported models and become increasingly reluctant to pay for news, local outlets are closing faster than new ones can emerge. The Government of Canada maintains a strong commitment to supporting civic journalism and local news through targeted and structural measures designed to preserve press independence while helping communities stay informed and engaged.

• The media landscape continues to undergo profound changes that are challenging the business models of news businesses. Our government is committed to supporting Canadian media through targeted measures that bolster civic journalism and local news while protecting the independence of the press.
• These measures include a combination of direct program support, tax credits for both news businesses and consumers, and the important new market framework created by the Online News Act.
• We are following developments closely and will continue to take action as needed to ensure that Canadians have access to reliable local news and information.

Broader Media Ecosystem Considerations
• The decline in traditional media revenue, increased layoffs, and consolidation contribute to lower trust in institutions and greater vulnerability to misinformation.
• Many traditional broadcasters have been under pressure from streaming services and declining interest in conventional TV advertising. Geopolitical and economic uncertainty, along with the continued shift in advertising demand to digital platforms is anticipated to contribute to continued lower demand for linear advertising.
• The closure of 603 local media outlets in 388 Canadian communities since 2008 (Local News Research Project, October 2025) has created more news deserts and areas of news poverty. These factors are contributing to a decline in Canadians’ trust in media and institutions, amplifying conditions conducive to the spread of misinformation, polarization, and the decline in democratic practices.

Latest TVA Cuts
• On November 12, 2025, TVA Group announced that it has eliminated a total of 87 positions in its broadcasting segment. Permanent positions (primarily unionized), temporary positions and shifts related to the operations of the broadcasting segment are being cut in the Montreal head-of-network and at local stations in Trois-Rivières, Sherbrooke, Saguenay, and Rimouski.
• This decision comes as TVA Group's financial situation continues to deteriorate. TVA Group has posted cumulative net losses of more than $93 million since January 2022 including a $17 million loss for the first nine months of 2025, due primarily to the decline in advertising revenues.
• Its restructuring and workforce rationalization plans have partially offset the decline in advertising revenues, but the decline is a long-term, industry-wide trend that continues to accelerate.
• TVA Group's channels are very popular in Quebec, with a 42.4 percent market share in the first nine months of 2025, a 1.7-point increase compared with the same period in 2024.
• Since 2023, nearly 800 jobs have been eliminated in its broadcasting segment and related teams under a series of restructuring plans.
• Pierre Karl Péladeau had contacted the former minister of Canadian Identity and Culture and Minister responsible for Official Languages at least twice in 2025, denouncing the difficult situation facing the media sector. He proposed measures such as a 25 percent tax credit on advertising spending with Canadian media, the cancellation of tax deductibility for advertising spending with foreign digital media and the extension of the Canadian journalism tax credit to employees involved in the television journalism process. He also mentioned the need to overhaul the mandate of CBC/Radio-Canada (removing advertising and abandoning certain types of programming, accountability and transparency obligations, consideration of the impact of CBC/Radio-Canada's decisions on other industry players, and the abolition of several other anti-competitive practices). He also denounced that administrative burden associated with certain CRTC’s regulatory obligations that he considered outdated and unnecessarily burdensome. He demanded greater flexibility from the CRTC on certain points.
• TVA Group now claims that all their requests have been ignored, most recently in the federal budget. He mentions the increased contributions to CBC/Radio-Canada without a corresponding amendment to their mandate or removal of advertising as a particularly aggravating factor.
Federal Support Measures for Media and Journalism: Structural & Targeted Support Measures
• The Canada Periodical Fund supports Canadian print and digital magazines and community newspapers, including through temporary Special Measures for Journalism ($12.8 million for 2025-26; $38.4 million over three years starting in 2026-27).
• As part of Budget 2025’s Comprehensive Expenditure Review, the Fund will be refocused to support editorial content creation only, removing funding for subscriptions and single-copy sales.
• Under the Online News Act, Google will provide $100 million annually to Canadian news publishers, with more than 450 news organizations receiving funding to date.
• Fiscal supports include an enhanced refundable tax credit for journalistic labour from 25 to 35 percent per eligible employee, to a maximum of $29,750. The tax credit will go back to 25 percent per eligible employee starting in 2027.
• Targeted measures include the Local Journalism Initiative, the Collective Initiatives of the Canada Periodical Fund, and Budget 2024’s Changing Narratives Fund, which together fund journalism jobs and industry-strengthening projects. These measures also support underserved and diverse communities across print, broadcast, and online media.

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