National Action

To address the crisis and the develop a proper strategy for recovery, IMPALA published a set of recommendations in its Crisis Plan and Recovery Roadmap, respectively adopted in March and May. Below are our recommendations for national action, and the responses per country. An overview of best practices across Europe is also available. 

IMPALA's recommendations

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Clear rules - all countries should take clear decisions on event cancellations and lockdowns. This will help the sector claim on their insurance where applicable and access compensation schemes. Record stores should be in the first wave of shops allowed to reopen as lockdown restrictions start to lift (subject to necessary restrictions as regards customer numbers).

National economic measures - comprehensive plans need to be adopted by all countries with key measures such as: self employed and freelance workers income protection, unemployment relief for self employed and freelance workers, support for staff costs small business relief funds, access to interest free loans, payment holidays for rents and business rates, company tax relief, suspension/delays in tax/VAT declarations and social security payments, mortgage payment holidays, loan repayment holidays, lower VAT rates, lower national bank interest rates and fiscal incentives to boost investment and recovery post crisis.

Sector specific compensation plans - national financial support packages must be launched immediately for hard hit sectors like music, plus VAT should be lifted on all cultural goods and services.

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Alongside this crisis plan, IMPALA released on 29th April 2020 a proposed ten-step roadmap with a timeline seeking decisions in May through to September and beyond. The roadmap sets out financial and non-financial tools to increase liquidity in the music and broader cultural industries:

• Step 1 – Recognising music and culture as priority sectors (May 2020)

• Step 2 – Co-ordinating de-confinement and mobility strategies across Europe (now onwards)

• Step 3 – Allocating sector specific EU and national crisis funds (May 2020)

• Step 4 – Adopting 5-year state aid framework (May 2020)

• Step 5 – Increasing allocation for culture in future EU budget (May 2020)

• Step 6 – Boosting loans for small and medium businesses (May 2020)

• Step 7 – Granting VAT holidays and longer-term measures (when retail stores re-open):

• Step 8 – Adopting national tax credit schemes (by September 2020)

• Step 9 – Implementing EU copyright directive by the summer (July 2020, September latest)

• Step 10 – Reviewing tools to value music and culture properly (September 2020 to January 2021)

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Below are the national responses. An overview of best practices across Europe is also available.