Health Care In Canada To Consume 50% Spending

Many Canadians express their disappointment that the government is not doing enough to look after the healthcare sector of the country. On the other hand, the Fraser Institute has come out with a warning that the spending on healthcare will take up nearly half of the provincial budget by the end of the year 2030.

It has been projected by the conservative think tank that the spending on health care in Canada by the provincial government will increase considerably in the next two decades. It has been claimed that these measures will result in larger deficit and increase the taxes. It is also claimed that the spending on various other projects will reduce considerably.

All these claims have been made after a study was conducted by a research institute, The Sustainability of Health Care in Canada. The study clearly indicates that because of spending on health care in Canada a large portion of spending under the provincial government program will be consumed by it.

From just over 40% in 2015, the spending is projected to go up to 47% by 2030. Bacchus Barua, a senior economist at the Fraser Institute and study coordinator stated that, “When we take a look at the historical trends, a population that is aging and the expectations that we have on inflation in the coming years, the spending the health care in Canada will not sustain for long”.

In the year 2015, the province that had the highest ratio of health care spending was Nova Scotia which was marked at 44.6%, next in line was Ontario with 42.9% spending on healthcare and the third spot was taken by British Columbia with 42.7% spending.

The study has made the prediction that the health care spending of five provinces in Canada will go above 50% of their annual budget. The rate at which spending in healthcare is expected to increase is clearly not sustainable.

In case the government continues with its proposed plan than necessary changes will have to be made in other policies. Spending in other sectors will be reduced to accommodate for the increased spending in health care inCanada.