Canal+ Threatens Job Cuts and Reduced Film and Sports Funding Over Proposed VAT Increase

The French government is proposing to raise the value-added tax (VAT) on pay-television subscriptions from 10% to 20%. Canal+, the private audiovisual group, has warned that this measure would significantly damage its revenue and operating margin. As a result, the company says it would be forced to cut jobs and reduce its financial contributions to the French film and sports industries. The group has not specified how many positions might be eliminated or the exact amount by which its support would decrease. The proposed tax change is part of broader fiscal plans under discussion in France. Canal+ has historically been a major funder of French cinema through its subscription-based financing obligations, and it also holds significant broadcasting rights for sports. The company argues that the higher VAT rate would make its offers less competitive and undermine its ability to invest in content. The government has not yet responded publicly to Canal+'s threat. The outcome will depend on upcoming legislative decisions. The story was reported by Le Monde on October 2, 2026.