Federal Budget Includes Supports for Media
MAP applauds the 2026 Canadian federal budget for having a strong commitment to the media sector. Budget 2026 includes a $600M audio/audiovisual investment, $300M in funding for CBC/Radio-Canada, and an extension of the Journalism Labour Tax Credit to broadcasters. Canadian media can finally be sustainably healthy if these recent supports are now coupled with durable policy measures.
Welcoming broadcasters to the Journalism Labour Tax Credit is a gamechanger for local news in Canada. Broadcast media has seen several hundred layoffs already this year. This tax credit will provide substantial relief to employers. The Liberal budget also confirmed the 35% credit rate on qualifying payroll, which was set to be reduced to 25% in January, will indeed remain at 35% for two more years. Those two directives will increase the cost of the Journalism Labour Tax Credit by an estimated $501M.
Almost 80% of Canadians consume CBC/Radio-Canada every month in some manner. The Carney government has taken notice of that, with a $300M budget commitment to our public broadcaster over the next two years. Raj Shoan from Friends of Canadian Media, said Canadians called on the government to “invest substantially in CBC/Radio-Canada, a fundamental cornerstone of Canada’s democratic and cultural infrastructure.”
The $600M investment in audio and video broadcasters was previously announced as a replacement for the Online Streaming Act. Broadcast Dialogue is reporting that July was the final month the OSA collected money, after the Carney government asked the CRTC to reverse a decision which was set to raise OSA baseline contributions for foreign streamers with at least $25M in Canadian revenue, from 5% to 15%. That 5% contribution was then also eliminated, slashing revenue for the Canada Media Fund, which is used to finance Canadian content. Budget 2026 has pledged one-third of that $600M to replenish the CMF. Another $80M is going to the Independent Local News fund.
Outside of the $600M, there is $134M earmarked over four years for the Local Journalism Initiative. This fund supports local news in underserved areas – a direct pushback against growing news deserts in Canada.
Kevin Desjardins, CEO of Canadian Association of Broadcasters, expressed optimism that these supports will be in place beyond 2027, saying “the government has always been clear to us that they view this as multi-year and ongoing support.” While the supports in this budget are laudable, the permanent financial infrastructure that came from the Online Streaming Act is a more suitable mechanism to fund the industry. We urge the federal government to revive the 5% baseline contribution from the OSA. Requiring companies like Netflix, Disney, and Amazon to make minor commitments towards the system they benefit from, is more than fair.
MAP gives kudos to the 2026 federal budget for focusing on media supports. We will continue to vie for durable solutions to industry shortcomings, as local news is an essential pillar of democracy!
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