The European Parliament adopted a legislative resolution approving the Council position at first reading with a view to the adoption of a regulation of the European Parliament and of the Council establishing the Creative Europe programme (2021-2027) and repealing Regulation (EU) No 1295/2013.

The proposed regulation establishes the Creative Europe programme for the duration of the multiannual financial framework (MFF) 2021-2027.

Objectives of the programme

The general objectives of the programme are to:

- safeguard, develop and promote European cultural and linguistic diversity and heritage and;

- increase the competitiveness and the economic potential of the cultural and creative sectors, in particular the audiovisual sector.

The programme has the following specific objectives:

- to enhance artistic and cultural cooperation at the European level in order to support the creation of European works and strengthen the economic, social and external dimension of and innovation and mobility in Europe’s cultural and creative sectors;

- to promote competitiveness, scalability, cooperation, innovation and sustainability, including through mobility, in the European audiovisual sector, policy cooperation and innovative actions and pluralistic media environment, and media literacy, thereby fostering freedom of artistic expression, intercultural dialogue and social inclusion.

Action strands

The programme consists of three distinct strands:

1) a culture strand , covering the cultural and creative sectors, with the exception of the audiovisual sector;

2) a MEDIA strand , dedicated to the audiovisual sector; and

3) a cross-sectoral strand to support transversal actions across all cultural and creative sectors.

Recognising the intrinsic and economic value of culture, the programme's objective is pursued through actions with European added value.

Budget

The programme will have a financial envelope of EUR 1 842 000 000 in current prices and an additional EUR 600 000 000 in 2018 prices, of which at least 33% will be allocated to culture, 58% to MEDIA and up to 9% to the cross-sectoral strand.

The regulation also sets out the forms of EU funding and the rules for granting such funding.

Commission statements

The European Commission confirms its intention to launch calls for proposals inviting applications for multi-annual operating grants, to which the European Union Youth Orchestra and other entities will be able to respond and which will ensure the stability necessary for the proper functioning of these entities. These calls will be subject to the adoption of work programmes, which will set out exact conditions, such as the timing of the calls or the duration of the grant agreements foreseen. The Commission further confirms its intention to launch the first of such calls in the framework of the 2021 annual work programme.

Furthermore, regretting that the co-legislators have decided to retain the MEDIA logo, the Commission can accept the retention of the MEDIA logo, provided that it is limited to the duration of the programming period concerned. The Commission remains convinced that communication and visibility of EU action towards a broad public is more effective without any programme-specific logos. The Commission remains at the co-legislators’ disposal to demonstrate this well ahead of the negotiations of the subsequent programming period.

The Council adopted its position at first reading with a view to the adoption of a regulation of the European Parliament and of the Council establishing the Creative Europe programme (2021-2027) and repealing regulation (EU) No 1295/2013.

The proposed regulation establishes the Creative Europe programme for the duration of the multiannual financial framework (MFF) 2021-2027.

Programme’s objectives

The general objectives of the programme are to safeguard, develop and promote European cultural and linguistic diversity and heritage and increase the competitiveness and the economic potential of the cultural and creative sectors, in particular the audiovisual sector.

The programme has the following specific objectives:

- to enhance artistic and cultural cooperation at the European level in order to support the creation of European works and strengthen the economic, social and external dimension of and innovation and mobility in Europe’s cultural and creative sectors;

- to promote competitiveness, scalability, cooperation, innovation and sustainability, including through mobility, in the European audiovisual sector, policy cooperation and innovative actions and pluralistic media

environment, and media literacy, thereby fostering freedom of artistic expression, intercultural dialogue and social inclusion.

The programme consists of three distinct strands:

1) a culture strand, covering the cultural and creative sectors, with the exception of the audiovisual sector;

2) a MEDIA strand, dedicated to the audiovisual sector; and

3) a cross-sectoral strand to support transversal actions across all cultural and creative sectors.

Budget

The financial envelope for the implementation of the programme for the period from 1 January 2021 to 31 December 2027 is set at EUR 1 842 000 000 in current prices, increased by an additional allocation of EUR 600 000 000 at 2018 prices (resulting from the specific adjustment per programme provided for in Regulation (EU, Euratom) 2020/2093 establishing the MFF 2021-2027).

The indicative breakdown between the different strands for both the financial envelope and the additional allocation is as follows: i) at least 33% for the objective corresponding to the culture strand, ii) at least 58% for the objective corresponding to the MEDIA strand, and iii) up to 9% for the objective corresponding to the cross-sectoral strand.

Actions supported

The programme should support actions and activities with European added value, which, inter alia:

- the transnational character of the actions and activities;

- the economies of scale and growth and jobs which Union support fosters, creating a leverage effect for additional funds;

- the application of the concept of a ‘level playing field’ exclusively to the MEDIA strand;

- take into account the differences across countries regarding the production and distribution of audiovisual content and access to audiovisual content and trends relating to the consumption of audiovisual content, and, in particular, their linguistic and geographical specificities;

- support those organisations and the best talent, wherever located, to operate across borders and internationally.

The programme should also support specific incentive measures that: (i) ensure that people with disabilities, people belonging to minorities or socially marginalised groups have access to the cultural and creative sectors, (ii) promote gender equality, in particular as a driver of creativity.

The Council position sets out a closed list of actions with a very detailed content, which is set out in Annex I. New actions may only be introduced via a proposal to amend the Regulation to be submitted by the Commission. This guarantees the involvement of both co-legislators in politically relevant decisions during the duration of the programme.

Work programmes

Work programmes should be adopted by means of an implementing act, with the Programme Committee maintained as a mechanism of control by Member States. The use of delegated acts is foreseen for developing the provisions for a monitoring and evaluation framework, including amendments to Annex II in order to review or supplement the indicators.

The European Parliament adopted by 501 votes to 51, with 42 abstentions, a legislative resolution on the proposal for a regulation of the European Parliament and of the Council establishing the Creative Europe Programme (2021 to 2027) and repealing Regulation (EU) No 1295/2013.

The European Parliament's position adopted at first reading under the ordinary legislative procedure amended the Commission's proposal as follows:

Objectives of the programme

Members proposed adding a new general objective to recognise the intrinsic value of culture, preserve and promote the quality of European culture and creativity as a distinctive dimension of personal development, education, social cohesion, freedom of expression and opinion, and the arts, by strengthening democracy, critical thinking, sense of belonging and citizenship to shape a pluralistic cultural and media environment.

The programme shall also:

- to promote European cooperation on cultural, artistic and linguistic diversity, including through enhancing the role of artists and cultural operators, the quality of European cultural and artistic production, and of the common tangible and intangible European cultural heritage;

- to foster the competitiveness of all cultural and creative sectors and to increase their economic weight, in particular the audiovisual sector, by means of job creation in, and of increasing innovation, creativity of, those sectors.

The programme shall also promote cultural participation throughout the Union, in particular with regard to people with disabilities, people from disadvantaged backgrounds and people living in rural and remote areas.

Priorities

Several amendments aim to better define the priorities and actions of the different components (Culture, Media and Cross-Sectoral components):

- as part of the specific actions pursued under the Culture strand, the music sector shall be a particular focus in terms of financial distribution and targeted actions. The European Union Youth Orchestra shall be exceptionally eligible for direct support from the Union on the basis of specific missions and objectives to be defined and regularly evaluated by the Commission;

- under the Media strand, Parliament drew attention to support for the development of European audiovisual works, in particular films and television works such as fiction, short films, documentaries, children's films and animated films, and interactive works such as quality and narrative video games and multimedia, with enhanced cross-border circulation potential by European independent production companies;

- a flagship cross-sectoral action aiming at showcasing European creativity and cultural diversity to the Member States and third countries should be included as part of the special actions under the Programme. That action should emphasise the excellence of European culture-based creativity in triggering cross-innovation in the wider economy by awarding a special prize.

Budget

While the European Commission is planning a financial envelope for the implementation of the programme for the period 2021-2027 of EUR 1 850 000 000 000 for the period 2021-2027, Members have proposed that this envelope be set at EUR 2 806 000 000 at constant prices. They proposed to distribute the budget between the various strands in percentages rather than figures, ensuring a special allocation for cooperation projects in the cultural sector.

Grants would be awarded on the basis of the quality of the project, its impact and the quality and effectiveness of its implementation.

Third countries associated with the programme

In order to ensure the participation of these countries from the beginning of the programme to ensure its international dimension, third countries could participate in the programme's governance structures and stakeholder forums in order to facilitate the exchange of information. Agreements with new countries would be encouraged.

Work programmes

In order to strengthen parliamentary scrutiny, Members proposed that work programmes setting out strategic priorities and corresponding budgetary allocations should be adopted by means of delegated acts and not implementing acts. The adoption of the work programmes would be preceded by consultations with the various stakeholders, in order to ensure that the planned actions best support the different sectors concerned.

Monitoring, evaluation and indicators

The Commission should carry out a mid-term review as soon as possible in order to submit its report to Parliament and the Council in time (31 December 2024) for a thorough preparation of the next programme.

Members stressed that the programme should include both quantitative and qualitative indicators such as the impact on citizens and their active participation, the benefits for the EU economy in terms of growth and employment, the spill-over effects on other sectors of the economy, and the skills of people working in the cultural and creative sectors.

Structured dialogue

Parliament sought to strengthen the dialogue between organisations in the culture and creativity sectors on the one hand, and policy makers on the other, through a permanent structured dialogue with stakeholders and an annual forum for the culture and creativity sectors in order to consolidate the dialogue and guide sectoral policies, which will allow real cross-sectoral exchanges, including with the audiovisual sector.

The Committee on Culture and Education adopted the report by Silvia COSTA (S&D, IT) on the proposal for a regulation of the European Parliament and of the Council establishing the Creative Europe Programme (2021 to 2027) and repealing Regulation (EU) No 1295/2013.

The committee recommended that the European Parliament's position adopted at first reading under the ordinary legislative procedure should amend the Commission's proposal as follows:

Objectives of the programme

Members proposed adding a new general objective to recognise the intrinsic value of culture, preserve and promote the quality of European culture and creativity as a distinctive dimension of personal development, education, social cohesion, freedom of expression and opinion, and the arts, by strengthening democracy, critical thinking, sense of belonging and citizenship to shape a pluralistic cultural and media environment.

The programme should also:

- to promote European cooperation on cultural, artistic and linguistic diversity, including through enhancing the role of artists and cultural operators, the quality of European cultural and artistic production, and of the common tangible and intangible European cultural heritage;

- to foster the competitiveness of all cultural and creative sectors and to increase their economic weight, in particular the audiovisual sector, by means of job creation in, and of increasing innovation, creativity of, those sectors.

The programme would only support actions and activities that have the potential for European added value.

Several amendments aim to better define the priorities and actions of the different components (Culture, Media and Cross-Sectoral).

Budget

While the European Commission is planning a financial envelope for the implementation of the programme for the period 2021-2027 of EUR 1 850 000 000 000 for the period 2021-2027, Members have proposed that this envelope be set at EUR 2 806 000 000 at constant prices . They proposed to distribute the budget between the various strands in percentages rather than figures, ensuring a special allocation for cooperation projects in the cultural sector.

Grants would be awarded on the basis of the quality of the project, its impact and the quality and effectiveness of its implementation.

Third countries associated with the programme

In order to ensure the participation of these countries from the beginning of the programme to ensure its international dimension, third countries could participate in the programme's governance structures and stakeholder forums in order to facilitate the exchange of information. Agreements with new countries would be encouraged.

Work programmes

In order to strengthen parliamentary scrutiny, Members proposed that work programmes setting out strategic priorities and corresponding budgetary allocations should be adopted by means of delegated acts and not implementing acts. The adoption of the work programmes would be preceded by consultations with the various stakeholders, in order to ensure that the planned actions best support the different sectors concerned.

Monitoring, evaluation and indicators

The Commission should carry out a mid-term review as soon as possible in order to submit its report to Parliament and the Council in time (31 December 2024) for a thorough preparation of the next programme.

Members stressed that the programme should include both quantitative and qualitative indicators such as the impact on citizens and their active participation, the benefits for the EU economy in terms of growth and employment, the spill-over effects on other sectors of the economy, and the skills of people working in the cultural and creative sectors.

PURPOSE: to establish the creative Europe programme for the period 2021-2027.

PROPOSED ACT: Regulation of the European Parliament and of the Council.

ROLE OF THE EUROPEAN PARLIAMENT: the European Parliament decides in accordance with the ordinary legislative procedure and on an equal footing with the Council.

BACKGROUND: the Rome Declaration of 25 March 2017 as well as the European Council in December 2017 stated that education and culture are key to building inclusive and cohesive societies for all, and to sustaining European competitiveness. Culture and cultural expressions manifest themselves strongly in the daily life of the Union's citizens and can contribute to wellbeing, active citizenship, common values, social inclusion and the development of intercultural dialogues as well as of a free, pluralistic and diverse media environment.

The digital environment and global competition are creating new challenges for the European cultural and creative sectors. There is a highly fragmented market for cultural and creative works stemming from Europe's cultural and linguistic diversity.

At the same time, the transnational circulation of works remains limited. It is therefore important to stimulate the transnational circulation and co-production of works across borders and to develop more effective solutions to reach audiences across borders. In addition, market concentration is a growing concern.

Lastly, there is a growing phenomenon of disinformation. Content industries, in particular the news media sector, are at the core of the fight to maintain a culture of healthy democratic debate.

Building on the results of the 2014-2020 creative Europe programme , the Commission proposes an increase in the budget allocated to the programme in order to respond to the challenges of digitisation and globalisation by providing greater support to the European cultural and creative sectors.

CONTENT: the proposal for a Regulation - presented for a Union of 27 Member States - seeks to establish the creative Europe programme for the period 2021-2027 , which will succeed the 2014-2020 creative Europe programme.

The objectives of the proposed new programme are:

enhancing the economic, social and external dimension of European level cooperation to develop and promote European cultural diversity and Europe's cultural heritage and strengthening the competitiveness of the European cultural and creative sectors and reinforcing international cultural relations; promoting the competitiveness and scalability of the European audiovisual industry; promoting policy cooperation and innovative actions , including the promotion of a diverse and pluralistic media environment, media literacy and social inclusion.

The programme has three strands:

(1) MEDIA (audiovisual sector) : the programme shall continue to support the production, distribution and promotion of European films, television programmes and video games. This strand shall:

stimulate collaboration and innovation in the creation and production of European audiovisual works by encouraging European talent; improve film and online distribution and allow wider cross-border access for European audiovisual works, including through innovative business models (such as virtual reality); promote European audiovisual works and reach out to new audiences in Europe and beyond.

To address these priorities, support is provided for the creation, promotion and distribution of, and access to, European works with the potential of reaching out to wide audiences in Europe and beyond. The creation of structured partnerships and networks to strengthen the competitiveness of the European audiovisual sector should also be encouraged.

(2) CULTURE (cultural and creative sectors, except audiovisual) : the programme shall support cooperation projects, networks and platforms to interconnect talented artists across Europe and assist cultural and creative operators in their efforts to reach audiences across Europe. This component shall also:

increase cultural participation throughout Europe; promote social inclusion through culture and cultural heritage; strengthen European identity and values through cultural awareness; contribute to the Union's global strategy for international relations through cultural diplomacy.

Some existing special actions, such as the European Capital of Culture and the European Heritage Label shall be reinforced.

(3) CROSS SECTORIAL STRAND : this strand shall support cross sectoral activities extending to the whole audiovisual sector and to other cultural and creative sectors. It shall promote knowledge of the programme and support transferability of results. It would also encourage innovative approaches to the creation, distribution, promotion and access to content in all sectors of culture and creation.

The funds shall also be used to promote European cooperation in the field of cultural policy, with a view to fostering a free, diverse and pluralistic media environment and supporting quality journalism and media literacy.

Proposed budget : EUR 1.85 billion for the period 2021-2027 , according to the following indicative breakdown:

MEDIA strand: up to EUR 1.08 billion; CULTURE strand: up to EUR 609 million; CROSS SECTORIAL strand: up to EUR 160 million.