Trudeau gov’t looking at extending multi-million dollar mainstream media bailout
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In late 2018, Trudeau promised that his Liberal government would give legacy media an extra $595 million in federal assistance over the next five years.
(LifeSiteNews) –– Despite recent reports indicating Canadians’ trust in legacy media is at an all-time low, the federal government under Prime Minister Justin Trudeau is looking to extend its multi-million-dollar mainstream media bailout beyond its initial 2024 end date.
According to Blacklock’s Reporter, on Tuesday Trudeau’s cabinet signaled it might soon extend its 5-year $595 million bailout of the mainstream media, an initiative which was supposed to expire in March of 2024. The suggestion comes shortly after a September 6 executive order shows that Trudeau’s cabinet appointed press lobbyist Bob Cox – who was involved in calling for the bailouts in the first place – to the Independent Advisory Board on Eligibility for Journalism Tax Measures.
The board is tasked with taking publishers’ subsidy applications for final approval, which must be given by the Minister of Revenue. According to the notice, Cox will be holding on to “office during pleasure for a term of two years.”
Cox, when he was the chair of the Canadian Newspaper Association, was successful in getting the subsidies for media, declaring during 2019 hearings of the House of Commons finance committee, “We will have to save ourselves.”
He claimed at the time that a five-year bailout was an “appropriate period of time for the transition because of course, there will be news outlets, newspapers, that fail the transition, and you can’t give them forever.”
When Cox was the publisher of the Winnipeg Free Press, his share of subsidies was about $1 million per year.
Overall, the federal government subsidizes legacy media in Canada to the tune of over $1 billion per year.
In late 2018, Trudeau promised that his Liberal government would give legacy media, including the Canadian Broadcasting Corporation (CBC), an extra $595 million in federal assistance over the next five years in an attempt to save the failing industry.
Per its 2020-2021 annual report, the CBC receives about $1.24 billion in public funding every year, which is about 70 percent of its revenue.
Trudeau’s subsidy program pays newspapers about 25 percent in payroll rebates, which equals roughly $13,750 per newsroom employee. Publications also get a 15 percent tax credit for all their subscribers.