(Ottawa) The sharp rise in health spending during the COVID-19 pandemic could pose serious challenges to the provinces, according to the Canadian Institute for Health Information (CIHI).
Health care spending in Canada is expected to reach a record high of $ 308 billion in 2021, according to new projections from CIHI. This works out to about $ 8,000 per Canadian.
“The COVID-19 pandemic is behind the largest increase in health spending on record in the country,” said David O’Toole, president and CEO of the Canadian Institute for Health Information in a statement released Thursday.
CIHI’s projections indicate that total health spending for 2020 is expected to have increased by more than 12% from 2019.
“Although COVID-19 has affected provinces and territories at different times and to varying degrees, health spending growth for all of Canada in 2021 is expected to be three times greater than the average observed for five years ”, indicates the non-profit organization. The observed average annual increase was 4% from 2015 to 2019.
For 45 years, health care spending has increased in Canada. They now represent about 40% of provincial and territorial budgets, says CIHI.
“The aging of the population and the current pandemic will certainly increase the pressure on our health systems and absorb an increased share of government budgets,” said David O’Toole.
Historically, when provinces go through tough times, they invest less in health care.
However, in 2020, the pandemic forced them to increase the capacity of their health systems, in addition to offering screening tests for the disease to their population, while managing the health crisis and the implementation of health measures. . At the same time, the economy was shrinking due to the constraints of the pandemic.
Now that the country is going through its fourth wave of the COVID-19 pandemic, provincial public health systems are trying to regain the upper hand on surgeries and waiting lists that have grown. They must figure out how to deal with the overload of work, while the provinces must also deal with health deficits.
However, the use of virtual consultations could help reduce some costs in the future.
“While there is no doubt that the task ahead is daunting, however, evolving technologies, pharmaceuticals and models of care will offer ways to improve the health outcomes of Canadians,” said Dr. O’Toole.
The premiers of the provinces and territories have repeatedly called for an increase in the federal government’s share of health transfers which reflects the increase in costs absorbed by the provinces.