Canada sees lowest growth rate in health spending since 2015

The total amount of money spent on health in the country this year is projected to be 331-billion-dollars, an amount showing 0.8 per cent growth, the lowest since 2015.

The Canadian Institute for Health Information (CIHI) released their annual report on Thursday, saying the growth has significantly slowed down following two years of unprecedented increase in health expenditures due to COVID-19.

In 2020, the country saw a significant 13.2 per cent increase in growth and in 2021, a 7.6 per cent increase.

The Manager of Health Expenditures at CIHI, Chris Kuchciak says the “structural issues” such as population growth, health care use, and population aging are “now taking over as the drivers of spending growth.”

Kuchciak noted that the health expenditure reflects the overall economic situation in the country, and that when the economy shrinks, it affects the government’s health budget.

A health budget that makes up a large percentage of health spending.

The lower growth rate comes at a time when the healthcare system is facing unprecedented challenges as emergency department closures and staff shortages are reported from coast to coast across the country.