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A report says Canadian scripted shows, children’s programs and documentaries are projected to see a nearly $200 million drop in financing from the country’s private broadcasters over the next five years.
Conducted by consulting firm Nordicity for the Directors Guild of Canada, the analysis warns that could result in Canadian production budgets getting slashed by more than a billion dollars.
The report examined how private broadcasters allocate funds to “programs of national interest” (PNI), which includes Canadian dramas, comedies and documentaries, under current CRTC policies. Under these rules, broadcasters must dedicate a percentage of their annual revenue to such programming.
However, if broadcast revenues continue to decline as market projections show, the report estimates expenditures will drop to $167 million by 2028, a 23 per cent decline from $216 million spent in 2023. The cumulative difference over those five years amounts to about $200 million.
A Corus Entertainment spokesperson said all genres of Canadian television programming have seen drops in funding due to overall declines in revenue caused by “unregulated foreign competition.”
“The notion that certain categories, like PNI, should be treated as more important than all others, including local news, is self-serving and not reflective of the viewer tastes and Canadian cultural policy,” they said.
But Dave Forget, the guild’s national executive director, says cutting back on PNI can have far-reaching economic consequences. He says that each dollar broadcasters invest in production can generate up to six times its value through global licensing, tax credits and additional financial support. A $200-million reduction in domestic financing, he warns, could ultimately gut Canada’s TV and film industry by more than a billion dollars.
The report notes the CRTC is now weighing proposals to reduce or eliminate funding for PNI altogether. Last year, the federal regulator granted Corus’ request to reduce its required spending on scripted dramas, comedies and children’s programs to five per cent of revenues, trimming its contribution by about $35 million.
A Bell Media spokesperson said Canadian content is “paramount” to the broadcaster’s overall business, and that they propose maintaining current PNI obligations rather than increasing them.
“As audience habits continue to shift and the Canadian media sector navigates a period of transition, broadcasters need to be able to adjust accordingly and should be afforded maximum regulatory flexibility to do so,” they said.
“Our proposal looks to level the playing field so that we can effectively compete with giant foreign platforms that do not have the same requirements.”
In June, the CRTC mandated that foreign streaming platforms allocate 5 per cent of their Canadian revenues to a fund supporting Canadian content. Several streamers — including Netflix, Disney and Paramount — have challenged the order in the Federal Court of Appeal.
More regulatory changes could be on the horizon as the CRTC moves forward with its plan to modernize the framework and implement the Online Streaming Act, designed to “ensure the sustainability and growth of Canada’s broadcasting system.”
But some creators are worried. The guild points to a notice for a key CRTC hearing in March suggesting that the addition of global streamers to the Canadian marketplace means that the “current approach to PNI is no longer needed.”
The guild says that’s not the case. It’s urging the CRTC to set spending requirements on Canadian content at 8.5 per cent of the previous year’s revenue, with the requirement extending to include online streaming platforms.
If such changes are made, the report says total English-language private sector investment in PNI could reach an estimated $500 million by 2028.
“It will always be easier for broadcasters to buy American dramas, instead of taking the risk to tell original Canadian stories, but our stories are the most important projects to make and protect,” Forget said in a statement.
“The current commission has an opportunity to head off a disastrous blow to our industry and culture, and build a modern, robust system that guarantees audiences a vibrant, diverse range of original Canadian programming for decades to come.”
Several Canadian directors and actors have made statements in response to the Nordicity report, released Thursday, including filmmaker Atom Egoyan, who said the CRTC needs to take this opportunity “to safeguard and strengthen (the) legacy of Canadian storytelling, and not let it wither.”
Toronto actress Katie Boland said she’s worried about the future of Canadian film and TV workers.
“My friends and I need and want jobs. We are starting families and contributing to society in an uncertain time for our industry and we all want to believe in our futures,” she said.
“We need Canadian content to be made.”
This report by The Canadian Press was first published June 30, 2025.
Alex Nino Gheciu, The Canadian Press