Madam Chair, Vice-Chair, PS Myles and members of the committee, thank you for the invitation to appear today.
I'm here in my former capacity as president and CEO of the Canadian Live Music Association. My brand new role is executive vice-president at the Ottawa Board of Trade, where I continue to work on issues connected to economic growth, community vibrancy and the conditions that help local economies thrive.
Canada's live music sector is a significant economic and cultural force. According to the Canadian Live Music Association's “Hear and Now” study, released last year, live music activity generated nearly $11 billion in economic impact and supported more than 100,000 jobs nationwide. The sector includes major venues, festivals, promoters, touring companies and independent operators, all operating in a deeply interconnected and complex ecosystem.
Large-scale operators generate substantial economic activity. They attract tourism and support hospitality and downtown economies. They create jobs and help position Canadian cities competitively on the global stage.
Independent venues and operators play a fundamentally different role within that ecosystem. They are where artists first develop, where creative risks are taken, where local communities form and where the talent pipeline that ultimately feeds the broader commercial industry begins. The success we see later in theatres, arenas, major festivals and international touring circuits very often starts in these smaller rooms.
At the same time, independent operators are increasingly operating under extraordinary pressure. Rising rents and insurance costs, labour shortages, inflation, post-pandemic debt burdens and growing market consolidation are all placing a strain on businesses that already tend to operate within very limited margins. Unlike larger operators, many independent venues don't have diversified revenue streams, large sponsorship structures, significant access to capital or real estate leverage to help absorb market volatility.
Despite these pressures, they continue to invest in emerging Canadian talent. They support local economies. They animate our neighbourhoods and main streets, creating cultural vibrancy that communities increasingly recognize as part of economic competitiveness and quality of life. This is why this conversation is not just about culture. It is about economic infrastructure and market diversity, talent development and tourism, and community vitality and the long-term sustainability of a sector that contributes significantly to Canada's economy and international cultural presence.
I also think it's important to acknowledge that the federal government recognized the strategic importance of this ecosystem during the pandemic. Thank you. The targeted investment in budget 2022 helped stabilize and save critical parts of the live music sector during an unprecedented period of disruption. More recently, the reinstatement of the promoter and festival support components of the Canada music fund represents a really important recognition that independent operators require unique policy tools that reflect the realities of how the sector functions today. That matters because healthy ecosystems depend on balance.
Canada's live music sector works precisely because different parts of the industry perform different functions, but independent venues and operators aren't simply one segment of the sector. They're foundational to its long-term sustainability and renewal. If these spaces continue to weaken, the impacts will extend far beyond individual businesses. Over time, fewer artists will be able to build sustainable careers. Fewer communities will have access to live performances. The industry will become more concentrated, less locally rooted and ultimately less resilient and competitive.
Canada already has an extraordinary live music ecosystem with enormous growth potential. The opportunity now is to ensure that public policy continues evolving in ways that recognize the essential role that independent venues and operators play within that ecosystem, and the broader economic and cultural value they create across the country.
Thank you very much. I very much look forward to your questions.