Evidence of meeting #36 for Canadian Heritage in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was support.

A recording is available from Parliament.

On the agenda

Members speaking

Before the committee

Marc Miller  Minister of Canadian Identity and Culture and Minister responsible for Official Languages
Bilodeau  Deputy Minister, Department of Canadian Heritage
McMurren  Associate Assistant Deputy Minister, Cultural Affairs, Department of Canadian Heritage
Montminy  Senior Assistant Deputy Minister, Cultural Affairs, Department of Canadian Heritage
Brown  Associate Deputy Minister, Department of Canadian Heritage

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

It's an exceedingly important question. A variety of programs are tailored to making sure that younger segments of the population have access to funds that they can use to explore their creativity. You may question what the eventual product is, and sometimes certainly it is questionable, but there are times when you see amazing successes, only because they were given what may seem to be a small amount from the portfolios that I have some authority over, or the portfolios that other ministers have the honour of being the lead on.

I would highlight a couple of things, including among them obviously the sports investment, which is key. That's been a long time coming. It will make sure that funds get into the various organizations that have been doing the job of raising our kids on the sports pitches, and it will do it in a safe way. We can't ignore what the safe sport commission reported and the conclusions that it came to about the toxic environment that some of our kids are exposed to. The last thing a parent wants to see is a kid being put in the hands of someone who they trust and have that trust violated. That is key now more than ever.

I think to my earlier point, to your prior question, it's making sure that we get potential online harms legislation right and that we strike the right balance between protecting our kids, protecting Canadians against the most egregious forms of harms, and the legitimate concerns in and around freedom of expression.

Fares Al Soud Liberal Mississauga Centre, ON

Very few know just how phenomenal we are as a country in terms of our capacity for video games. I was in Vancouver not long ago, and I visited EA. In Montreal, I visited Ubisoft, Gameloft and Behaviour Interactive.

I'd like to hear you on that as a priority. The vast majority of Canadians do not know just how phenomenal we are at exporting what is a very successful entertainment segment.

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

EA, in Richmond, has an amazing facility. I don't understand how employees get work done, given how wonderful it is out there. It is the producer of FIFA, which is the most used and consumed game. I got through COVID in part because my kids forced me to play Plants vs. Zombies. Anything more than 2D is difficult for my age group, as most people will concede. That is produced in Canada and 88% of it is exported.

Our export strategy isn't as developed as it should be. When it is, for example, through trade missions to Mexico, you actually see people who are giving you a return on the dollar that is twice the size of what you would see in other industries. That is incredible to me. In my own hometown of Montreal, the work Ubisoft is doing and has been doing for years is incredible. It generates an industry that supports hundreds of thousands of well-paying jobs well into six figures.

The Chair Liberal Lisa Hepfner

We totally played Plants vs. Zombies at my house. I had no idea it was produced in Canada. I have learned something new today.

Thank you.

I now give the floor to Mr. Champoux for six minutes.

Martin Champoux Bloc Drummond, QC

Thank you, Madam Chair.

Thank you for being with us, Minister, as well as all of you from the Department of Canadian Heritage. It's always a pleasure to have you at the committee.

Minister, you are satisfied with the measures adopted in the economic update. I hear you talking about investments in sport, which I must admit, are very welcome. We have been working on this for a long time and hoping to see money invested in amateur sports. This is a good thing.

That said, for several months now, our committee has been hearing from news producers and media representatives—primarily from news outlets, including many regional ones, such as those in Quebec, but also from across Canada—and they are unanimous: They want the same journalism labour tax credit as the one granted to print media.

So, I was really looking forward to opening the economic update document to see if we would finally find this tax credit. Well, I found it, so I felt a certain satisfaction. However, I'm going to need your help, and I also need you to help the news media, radio and television, because it's not clear. You say, “The Spring Economic Update 2026 announces the government’s intention to seek the views of Canadians and stakeholders on extending the Canadian Journalism Labour Tax Credit…”. You're talking about consultations. Yet dozens of broadcasters, dozens of owners of regional media, newsrooms, and television and radio stations have come here to tell us just how necessary this is, how essential it had become. These included even major companies such as Bell, Cogeco and Videotron. They are unanimous: They need this tax credit; they need it, and it will give them an incredible boost.

However, what we see in the economic update is a bit ambiguous. We don't know if it's a commitment. We don't know if it will be implemented or when it will happen. We don't know what's missing.

Can you tell us whether these companies will get their tax credit or not?

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

In my opinion, the question is not whether they will get it, but how they will get it.

As you know, this tax credit falls under the Department of Finance, particularly with respect to its implementation. It could amount to nearly $6 billion. That's no small amount.

I would humbly say that the people I've spoken to recently are very pleased, but they're showing the same caution. They want to see the implementation of this tax credit, which, as you pointed out, will be granted to more organizations than just those in print media. However, many questions can be asked. In particular, and I'll be frank with you, it is not as easy to define who is a journalist—compared to print media—in what we see online, in media rooms, on television or radio stations, and so on. Should the credit be granted to anyone assigned to the newsroom? Should it be granted to the journalists themselves? Should caps be imposed on the largest broadcasters, even if it means favouring the smaller ones?

Martin Champoux Bloc Drummond, QC

There is already a model in the print media world for defining criteria, so I don't think it would be very complicated.

I just want to tell you that we've been working on this for a few years now. For a few years, the Canadian Heritage ministers who preceded you were telling us that things looked promising and that the discussions were encouraging. In my opinion, we have had plenty of time to define the parameters of this tax credit. Given that an economic update states that we're moving forward, it seems to me we could have been better prepared, closer to a result, and could have announced a measure that would take effect within a reasonable time frame. Don't you agree?

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

The work begins now. I prefer to see the glass as half full. There is definitely work to be done. This is the first time this kind of measure has been included in a budget-type statement. So it's no small matter. The journalism community is pleased, but cautiously so, as I pointed out. We're talking about taxpayers' money. It's a tax credit that could be in the neighbourhood of $6 billion. So that's not insignificant. We must proceed with caution and fairness with regard to media rooms.

Martin Champoux Bloc Drummond, QC

There's another issue that I've talked to you about a few times in recent weeks or months. It concerns the independent local news fund, which is suffering greatly from a shortfall following the acceptance of Global TV stations as recipients of this fund.

In good faith, I think the CRTC thought that the digital giants would make their contribution and that this would replenish the fund so that everyone could continue to receive the same financial support. However, as we know very well, the digital giants are laughing in our faces. Nothing is moving forward with them. I don't see a foreseeable future where the GAFAM companies would contribute without fighting all the way to the highest court to challenge everything we want to put in place.

So there are regional stations in Quebec and Canada that are on the verge of closing—news stations that are often the only truly local voice providing information. They're going to close because this fund is essential. They're not asking for the moon; they're not asking for billions of dollars; they're simply asking for support until the GAFAM companies make their contribution. However, we don't see any of that in the economic update. Yet it would have saved their lives. They're a bit disheartened to see that there's no support or response from your team in this regard.

Can you give them a little hope?

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

The worst thing I could do would be to guarantee a result, as much as I would love to hold out hope. I have plenty of hope, but I'm not going to guarantee anything. What I can guarantee is that I will work on it.

I, too, talk to people involved in newspapers and media rooms, particularly about the replenishment of the Canada periodical fund and the Canada media fund. We've already replenished them a number of times using taxpayers' money because these media companies are seeing their revenues decline precisely because of the GAFAM phenomenon you highlighted. Of course, the digital giants must do their part, and we're asking them to do so.

It's unfortunate that it's dragging on, and I'm working on it, but I can't guarantee anything, once again. We'll have to find interim solutions, especially because the court rulings bode well. We'll need to have a serious conversation with these organizations, which sometimes benefit from tax credits and all kinds of support from the Government of Canada and then drag us into court. It's very unfortunate.

As you know, in your riding, L'Express de Drummondville received $400,000 to do local journalism. Such outlets should not be closing, but they, like other small journalism businesses, are facing new challenges in this media age.

The Chair Liberal Lisa Hepfner

Thank you.

Mr. Généreux, you have the floor for six minutes.

11:30 a.m.

Conservative

Bernard Généreux Conservative Côte-du-Sud—Rivière-du-Loup—Kataskomiq—Témiscouata, QC

Thank you, Madam Chair.

Thank you, everyone, for being here.

Minister, I'll continue in much the same vein as my Bloc Québécois colleague.

A number of media outlets in Canada, including in Quebec, of course, are saying quite clearly that the Government of Canada's advertising investments have plummeted in recent years, particularly because those funds went to GAFAM, and they have been left behind. I'm thinking in particular of regional weeklies and regional radio stations. They say that the Government of Canada is not setting a good example.

Don't you think it's the role of the Government of Canada to use Canadian media as communication tools to promote its services, projects or programs?

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

You're not wrong, Mr. Généreux. The way the government promotes its initiatives has been the subject of debate for the past 20 years. Of course, people might scratch their heads a bit if we invest money in GAFAM. However, our advertising needs to be where the people are.

As for setting an example, I think the recurring replenishment of the Canada media fund and the Canada periodical fund in recent years set the example. This shows that the Government of Canada is committed to ensuring a healthier and more balanced ecosystem. That said, we can certainly always do better.

11:30 a.m.

Conservative

Bernard Généreux Conservative Côte-du-Sud—Rivière-du-Loup—Kataskomiq—Témiscouata, QC

I understand that all those funds exist and that this will likely lead to a much broader, global discussion on national media, particularly on how they are funded and how they cover the news. There are many questions currently being raised, even in Quebec, about how the media are subsidized. As the saying goes, you don't bite the hand that feeds you. So we find ourselves in a situation where, when a media outlet receives subsidies, people feel that it isn't impartial, since the money comes from the Government of Canada, of course, and the government is run by the current administration.

Do you also share the perception held by many people in the industry that news coverage, in general, lacks fairness? We are currently conducting a study on that. We've heard a number of different sources testify about fairness in news coverage itself and about funding, among other things. Do you also share this perception?

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

No.

Fairness means that GAFAM pay their fair share. That's the first thing.

Second, in the case of CBC/Radio-Canada, it's an institution that has greater independence precisely because of its relationship with the government. That doesn't mean it shouldn't be accountable, but it has that independence precisely to ensure and strengthen its credibility.

When we invest in the Journal de Lévis, in the co-operative behind the newspaper L'Oie blanche or in periodicals in your riding, such as Les Éditions Info Dimanche, we don't ask them to say mean things about you.

11:30 a.m.

Conservative

Bernard Généreux Conservative Côte-du-Sud—Rivière-du-Loup—Kataskomiq—Témiscouata, QC

Of course not.

That does make me think, though, because I've seen some comments. You're talking about GAFAM. You said that we have to go where the customers are. At the end of the day, the consumer is always right, insofar as they get their information from wherever they want. Bill C‑11 and Bill C‑18 clearly didn't produce what you expected or what you had promised.

I'm going to make a little joke. I know you're a very humorous person. You promised to give CBC/Radio-Canada $150 million. Those funds have been delivered. The president and CEO of CBC/Radio-Canada was here two weeks ago, and she admitted that she had received the $150 million in question. However, in 2026‑27, or rather in 2027‑28, you plan to cut $200 million from the CBC/Radio-Canada budget. Can the Conservative Party of Canada steal this idea from you of giving funds with one hand during an election year and, with the other hand, taking back the same amount, or even more, a year or two later? I find that to be an interesting approach. Honestly, it gives the impression that you wanted to support CBC/Radio-Canada by giving it $150 million during the election period, but then, a year and a half or two years later, you're taking $200 million away from it. I don't understand the logic there. I'm trying to figure it out.

The Chair Liberal Lisa Hepfner

Mr. Généreux, I will allow the minister to answer your question. That said, if you took less time to ask the question, you would have more time to hear the answer.

Minister, you have the floor.

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

With all due respect, Mr. Généreux, I think it is important to better understand the budgetary process. It gives us a snapshot of CBC/Radio-Canada’s funding profile, but the estimates do not account for the subsequent replenishment. Saying that we give it $150 million only to take back $200 million is therefore a flawed equation. That’s part of the budget cycle.

The Chair Liberal Lisa Hepfner

Thank you.

Ms. Hirtle, you are next. You have the floor for five minutes.

Alana Hirtle Liberal Cumberland—Colchester, NS

Thank you, Madam Chair.

Good morning, Minister. I, like you, am not much of a video gamer, but I have a musical theatre background, so I'm a big fan of live music and theatre.

I'm wondering this morning if you would outline some key priorities that your department is advancing to strengthen Canada's arts and culture sector.

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

Do you mean in the live music...?

Alana Hirtle Liberal Cumberland—Colchester, NS

Sure.

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

It is an area of particular interest, especially because we see an ecosystem that I would say is subject to monopolistic behaviour in what we've seen in the U.S. Canada is not immune to large productions that are heavily influenced by Live Nation, especially with their joint venture with evenko in Quebec.

The thinking that I have to have behind this is whether we support ventures that are profitable or ones that need support from the Government of Canada. I think those are the two extreme views, and I don't espouse either of them, because, for example, when you look at investing in the Ottawa Jazz Festival, they have a component open to the public that we help support. It would be an incomplete argument to say that evenko and Live Nation are controlling it all, because we do want to make sure that people get to see open, accessible jazz, particularly the tourists who come to enjoy it and the folks who can't afford to pay for stuff in a theatre. That's one thing.

That's the reflection we have to put into how we fund theatre productions around the country and how we support small venues, whether they are small venues in big cities or small venues in smaller areas of the country. That is where we have a number of funding mechanisms to support theatres and creative minds so that people can get out and experience things off their screens, some amazing artists who cut their teeth in smaller venues and then go on to the world stage. Stratford is a great example of that, but there are also even smaller venues that sometimes attract only a dozen or two dozen people to see amazing work that is being produced and then ultimately exported onto the world stage.

Alana Hirtle Liberal Cumberland—Colchester, NS

Thank you. That's a great response.

I'm going to give you an opportunity to recap some of the investments that your department is making in helping to grow Canada's creative economy.

Marc Miller Liberal Ville-Marie—Le Sud-Ouest—Île-des-Soeurs, QC

As members may have seen, the main estimates basically are a snapshot of my department at a moment in time. About half a billion dollars is specifically dedicated through a number of envelopes to make sure creative industries are supported. If you look at the impact of that in Canada and look at some of the statistics that the movie producers association is putting out, you see that this supports 118,000 jobs that contribute $12 billion to the economy. That's not nothing, and it isn't money that we're just throwing down the drain without seeing a return on investment.

Obviously, some of the shows that I mentioned earlier are doing amazingly well on the world stage, but there are ones that are consumed here, sometimes over dozens of seasons. I've visited the set of Murdoch Mysteries, for example, and former prime minister Harper had a small role in it. I think he enjoyed it. It was an old-school role, so it was fitting.

These are all produced here in Canada, and they allow people to get modest support from the Government of Canada, including sometimes less than modest tax credits. They employ, in the case of the movie producers association stats, 118,000 people in Canada and, in the aggregate stats across the industry that my portfolio supports, several hundred thousand jobs in an economy that contributes $64 billion to Canada. That's not nothing, and it rivals any of the industries that we speak about in Parliament, sometimes a little more often than this.