KEA report recommends increasing public policies in Europe to support the cultural sectors post-Covid

By Emmanuel Legrand

A new report for the Council of Europe recommends that European Union member states and the Commission set up robust mechanisms to support the arts and cultural sectors in a post-pandemic world. The report, titled 'The impact of the Covid-19 pandemic on the Cultural and Creative Sector' is an update from an original June 2020 document penned by Brussels-based consultancy firm KEA.

  "Some countries are progressively adapting support measures to enable the recovery of the CCS," reads the report. "It will be important to sustain investment in culture to avoid the collapse of the creative ecosystem. Countries with strong public funding for the arts are better placed to envisage the future of their local CCS ecosystem. They also run the risk of freezing or delaying required evolution. In any event, it is appropriate to coordinate a cross-border response, decongesting the entire value chain."

  It adds: "The cultural and creative sectors (CCS) will be facing challenges in terms of their competitive ability after the Covid-19 crisis. Most of these challenges are well-known and not new: underfunding, lack of scale in the face of international competition, too limited a capacity to produce for a global market as well as distribute and market internationally. The crisis has accelerated the impact of increased international market concentration, new consumption trends and business paradigms."

Covid-19 affected the whole value chain

  The report notes that cultural and creative sector (CCS) is "crucial for the European economy and the well-being of its citizens," but has been "profoundly wounded by the measures taken to fight the spread of Covid-19 pandemic," which affected the whole value chain: bookshops, cinemas, concert halls, clubs, museum, theatres, heritage sites or art galleries have been closed down.

  While as from June 2020, CCS re-started production (in audio-visual), and places dispensing cultural goods and services were back in business with life venues (to the exception of clubs and concert venues), the pandemic second wave in October led to the adoption of public health measures throughout the continent "with dire consequences for the cultural sector."

  Reads the report: "The sector lobbied without success to be exempted from curfew or lockdown measures on the evidence of the ability to implement efficient social distancing rules. However together with bars, restaurants and discothèques, the CCS became the primary victim of new health measures aimed at restricting mobility and social contacts." The crisis has also been "a formidable accelerator of existing trends notably the growth of digital networks, the market dominance of large media players, the emergence of new collective and individual behaviours."

A damaging impact

  As a result, relief policies put in place at national and pan-European level have been crucial, notes the report, but more needs to be done. The report lists a series of fields that would require coordinated policies. The report states: "The public health crisis is having a very damaging impact on the CCS. A majority of governments in Europe have taken measures to support CCS with a view to preserve jobs. However, some States have been obliged to reduce State budgets. As a result, several Ministries of Culture have been affected with reductions ranging from 5 to 20%; as a minimum CCS is benefiting from general measures taken to support the economy. CCS measures have often been amplified at regional and city levels with significant contributions from the private sector."

  KEA outlines the following proposals that would be transform the CCS landscape:

  > Mobilise cultural workers as agents of transformation and global co-operation

  The coronavirus crisis will usher in "an age of global co-operation," reads the report, but "conditions for global co-operation and the implementation of sustainable development goals require the implementation of a convivial, generous and civilized future, respectful of diverse cultures with a view to build a renewed planetary identity that is generous and tolerant."

  "It is important for policy makers to mobilise the skills of artists, creative and cultural workers to 'imagine' a world that makes sense and to fuel social changes required to address global challenges," says the report.

  > Social inclusion through Culture to address inequality

  Cultural activities "contribute to social inclusion, engagement and address inequality" so "it is important to include culture in social and education policies for cultural workers and institutions to be able to deliver on community engagement and inter-cultural dialogue. The fight against inequality is intrinsic part of solving sanitary and climate crisis if we which to create conditions for behavioural changes."

  > Acknowledge the acceleration of behavioural changes

  The future generation "lives in the virtual world, a world that makes everything accessible and which does not require the traditional interactions" and the Covid-19 is "accelerating a mutation that is familiar to the younger generation."

  Adds the report: "This is a threat to established cultural institutions or business structures unable to adapt to new sociological patterns. The pandemic will affect collective behaviours and cultures to the same extent as scripture or printing at the time. It is important to reflect on these fundamental changes and adapt cultural policies for cultural institutions to remain relevant and contribute to social empowerment."

  > Big will get bigger

  Big companies in the entertainment, culture and art sector "will get bigger" and more activity "will flow into e-commerce and digital content platforms with large catalogue and marketing muscles (Disney, Amazon, Alphabet, Netflix, Tencent, and Apple)." As a result, cultural content "will increasingly be bundled in special deals relying on users’ data connecting retail, exhibition and digital distribution in well managed release patterns to maximize revenue streams."

  For KEA, the risk is that "cultural content, artists will primarily used as ‘a promotional product' to sell other services and goods." It recommends to "consider these market developments in the context of policy regulations (copyright, competition and AV/ media law) to safeguard the economic rights of authors, artists and industries investing in cultural productions."

  > Build local capacities and taste for home grown productions

  For KEA, Covid 19 led to "the absence of new Hollywood movies on European screens" and calls it an "opportunity for local and European productions to find a new audience and increase their market share in distribution." 

 Support culture-led project

  In terms of future policies for CCS, the reports is recommending the following policies to help European CCS:

  > Integrating artistic intervention in policy making, with future support measures giving "pre-eminence to qualitative production, mindful of the environment and people";

  > Incorporating the cultural dimension in social policy, to "facilitate future support of culture-led projects with a social inclusion dimension (ESF+, Horizon Europe, Invest EU programmes)";

  > Adapting policies to take the digital shift better into account and create scale outside traditional linguistic or territorial lines;

  > Reflect on the social status of artists and cultural workers and incorporate the cultural dimension in social policy, to better understand the social status of artists and cultural workers in Europe as well as their entitlement to social protection.

  > Adapt cultural and industrial policies, to "accelerate its transformation notably in areas of digital programming if it wishes to respond to new cultural and consumption behaviours." The CCS will require assistance to adapt to this shift, said KEA.