General national economic measures

 

*small business relief or other financial support

*income support for employees

*income support for freelance workers

*unemployment relief

*unemployment relief for freelance workers

*business rates payment holiday

*employer social security payment holiday

*loan repayment holiday
 

More info: 

-Ministry of economy website: support measures for businesses

https://www.economie.gouv.fr/coronavirus-soutien-entreprises

-Solidarity fund of €7bn for micro and small enterprises, as well as freelance workers. Those who have lost over 50% of their turnover year on year between March 2019 and March 2020 will receive a €1,500 flat fee while those facing bankruptcy can receive between €2,000 and €5,000. (More information about the fund here).

-€8.5 billion for keeping people employed for 2 months: Companies pay their workers 70% of their gross salary, or 100% for minimum wages or less, in which case the State reimburses them entirely for all salaries paid, up to €6927 monthly, gross.

-€32 billion  for deferral and cancellation of taxes and social security contributions for companies and independent workers facing difficulties.

-€180 billion, debt repayment moratorium: corporate loans repayments are deferred by six months.

-€3 billion, deferral of utility fees (gas, electricity and water) and rent, for small companies with a revenue of less than €1 million, who have lost 70% or more of their revenue in March 2020, compared to March 2019.

-Public guarantee of loans made between 16 and 30 March, up to €300 billion total.
 

National measures specific to the music sector or to culture in general

 

The music sector can benefit from the above-mentioned general measures.

 

On top of this, specific measures are being introduced for the music and culture sector:

-CNM (Centre National de la Musique) emergency plan : €11,5m emergency fund for micro and small live music companies (up to €11.500 with incentive to compensate artists for cancelled show and to show solidarity with composers/songwriters), no collection of taxes on ticketing for the month of March, « droit de tirage » paid to companies without usual preliminary check. It was announced in May that the CNM would receive an additional €50m for this year's budget.

-Action plan for authors and performers:  €1,500 to €5,000 flat fee under the solidarity fund for micro and small enterprises (see above); reporting of rent, water & electricity/gas bills; no penalties for unpaid rent or bills; staggered tax and social security obligations; can benefit from health insurance intended for people having to stay at home and/or to look after a child who has to stay at home; companies having to take out a loan to pay collecting societies for authors/performers rights will be able to benefit from a state guarantee; all actors are invited to honour their contracts with authors/artists; sector operators (in the case of music the CNM) are asked to ensure that the budgetary measures put in place can benefit to authors/performers and some of the grants will be conditioned upon the payment of rights to authors/artists; the scope of use of private copying monies by collecting societies will be widened to ensure they can be used for direct support to authors/artists. In May it was announced that a solidarity fund for authors and performers would open mid-may.

-Reimbursement of outstanding monies owed as part of the tax credit for phonogram production can be speeded up by request to the finance directorate.

-Collecting societies have the right to use the 25% of the private copy money usually reserved for general cultural purposes, as well as the unallocable income, to support their members (authors, performers, producers, etc.). 

-IFCIC (French credit institution for cultural and creative industries) and newly created CNM (National Music Center) are asked to help where general measures are not enough. IFCIC has pledged to guarantee banks up to 70% for all types of credit issued in the context of the coronavirus crisis.

-For temporary workers (« intermittents »), it was announced 19 march that the coronavirus period is frozen, which means it won't be taken into account for calculating the period of reference which opens their rights and won't impact those who were arriving at the end of the unemployment benefits. Early May the President announced that this frozen period was extended to a year, which means that temporary workers will receive their unemployment benefits until August 2021.

-It was announced in May that a fund would be set up with regions to help support cultural festivals.

- « Strongest » structures and operators, as well as those receiving subsidies, are asked to show solidarity by paying companies/artists, etc.

-Ministry coordinating with local/regional level to coordinate action in favour of cultural sector.
 

-In reaction to the new measures in support of the culture sector by the President on 6 May, French  independent music companies association UPFI published a statement welcoming the new measures in support of the music sector and calling for a massive recovery plan. They highlighted 3 key demands for labels: 

-€50m extra funding for the National Center for Music (CNM)

-Increasing tax credits for music production

-Boosting loans via IFCIC, a financial institution specialised in lending to cultural and creative sector.

-On 18 June, the umbrella organisation Tous Pour La Musique, which represents the whole music sector, published a 10-point list of priorities to address the crisis and help rebuild the sector (see here).

More info: 

-Email address for music professionals wanting more information: info.covid19@cnv.fr 

-Ministry of culture statement regarding the first measures put in place to support the cultural sector

-Ministry of culture statement regarding support measures for temporary workers and employees in the cultural sector

-Ministry of culture action plan in favour of artists and authors. 

-Measures for the cultural sector announced on 6 May by the French President and his Minister of Culture.

 

-On 1st July, the Ministry of Culture published an overview of how the €5bn mobilised for culture since the beginning of the crisis were allocated between sectors.

-A new €100bn recovery plan was announced by the government on 3rd September with €2bn specifically dedicated to the cultural sector (see here):

-Cultural heritage: €614m

-Creation & distribution: €426m

-Artistic employment & education: €113m

-Strengthening strategic cultural sectors: €428m

-Long-term strategy for CCIs: €419m

Of these €2bn, €210m will also go to the music sector via the Centre National de la Musique. The tax credit for music production was also extended until 31st December 2024 (see here, here and here, as well as IMPALA member UPFI's statement welcoming the news here).  

Regional level

-The Ile-de-France region set up a €10m fund for live performance (see here).

De-confinement process

France's lockdown exit strategy has started on 11th May. Since 2nd June, the country entered phase II of the strategy, with most shops being able to reopen as well as some cultural venues like theatres or conservatories. Gatherings of more than 5000 people will remain banned until end of October. Phase III of the strategy started in June.

More info: https://www.gouvernement.fr/info-coronavirus/les-actions-du-gouvernement

Infographic: https://www.gouvernement.fr/sites/default/files/cimages/infog_deconfinement.jpg

Measures taken by local collecting society organisations


-SPPF, the French independent music companies’ collecting society are paying a €4m advance to its members which won’t be recouped before end of 2021. (statement

 

-SACEM, the French authors society, has set up a €43m rescue fund (see here): 

  •  €6m emergency plan: grants of €1,500 to €5,000; advances; and additional support for publishers from cultural action fund. 

  • Up to €36 million in exceptional royalty advances.

  • €1 million reinforcement of its support program for publishers.

 

-SACEM also announced that they will remunerate artists for their livestream performances. (see here)

-ADAMI, the French artists society, has put in place a number of measures. (see here)

 

-Authors and performers societies have also contributed to the CNM emergency fund. 
 

Other music funds available

 

None at the moment

 

Support from online services

 

No specific support for France so far, apart from advertising for good behaviour against the virus etc. For other initiatives from digital services, click here.
 

Support from national radio and other media

 

French network of public radios "Radio France" announced on 15 April an initiative to support the French music scene by playing more French music, promoting cancelled festivals via different radio programmes and launching the #RadioFranceAvecLaScèneFrançaise campaign (see here).

Social media and other campaigns to promote music during the crisis

 

-#CultureChezNous campaign by the ministry of culture : listing all cultural initiatives that citizens can access from home.

-Campaign to support Independent records Stores: www.loverecordstores.com

Local programmes supported by EU funds covering music

 

None so far.

Business and other expected losses

-An EY study commissioned by the French music sector organisation "Tous pour la musique" estimates losses for the music sector at €4,5bn for 2020, which represents 43% of the sector's turnover. (see here)

-An EY study commissioned by French record labels' associations UPFI and SNEP foresees a 21% decrease in turnover for recorded music, representing €235m. (see here)

- The Ministry of Culture published a study estimating the sector's year on year turnover losses at €22,3bn (or 25%). (see here)

For more info:

UPFI - Union Des Producteurs Phonographiques Français Indépendants - https://www.upfi.fr

France

IMPALA represents independent music companies and national associations in Europe. Our main site is www.impalamusic.org where you can find out more about what IMPALA does. 

Address: 70 Coudenberg - 1000 Bruxelles

Tel: +32 2 503 31 38

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