16.24°C Vancouver

Oct 12, 2023 5:49 PM - The Canadian Press

Single-payer pharmacare would cost billions more a year, but save economy money: PBO

Share On
single-payer-pharmacare-would-cost-billions-more-a-year-but-save-economy-money-pbo
The Liberals have promised to table pharmacare legislation this fall as part of the supply-and-confidence deal the government struck with the NDP. (Photo: The Canadian Press)

The parliamentary budget officer says a single-payer universal drug plan would cost the federal and provincial governments $11.2 billion in the first year, and $13.4 billion in five years.

The PBO's report released today provides an estimate for the cost of a pharmacare program between 2024-25 and 2027-28.

It calculates the incremental cost of the program, taking into account current spending by governments on public drug plans as well as revenue that would be generated from co-pays under a pharmacare plan.

The Liberals have promised to table pharmacare legislation this fall as part of the supply-and-confidence deal the government struck with the NDP.

The PBO's report finds that while the public sector would spend more on drugs, the implementation of a pharmacare plan would lead to economy-wide savings.

The PBO estimates cost savings on drug expenditures of $1.4 billion in 2024-25, with that figure increasing to $2.2 billion by 2027-28.

Latest news

AlbertaAug 20, 2025

Costs of Manitoba’s extreme wildfire season start to take shape, evacuations ongoing

The Manitoba government has signed a 30-million-dollar contract with the Canadian Red Cross for evacuee support and other services related to this year's wildfires. The recently disclosed contract is the first glimpse into the cost of this year's wildfire season, which provincial officials say is the most severe in at least 30 years. Finance Minister Adrien Sala (SAH'-lah) says it's still too early to estimate a final cost, and the government is committed to supporting people who need help. The Red Cross contract alone is worth more than half of the 50-million dollars the N-D-P gover
canada-post-heads-back-into-bargaining-with-union-after-delay
CanadaAug 20, 2025

Canada Post heads back into bargaining with union after delay

Canada Post and the union representing postal workers are set to return to the bargaining table today. Plans to rekindle talks late last week were delayed due to a lack of federal government mediators. The Canadian Union of Postal Workers claimed labour unrest at Air Canada was pulling attention from the postal service's dispute, which has stretched on for more than a year and a half. A few weeks ago, unionized postal workers rejected the Crown corporation's latest offer that would have included wage hikes of around 13 per cent over four years and added part-timers to the workforce. Canada Pos
alberta-to-pay-for-covid-shots-for-health-workers-in-policy-reversal
AlbertaAug 20, 2025

Alberta to pay for COVID shots for health workers in policy reversal

Alberta's government says it will cover the costof COVID-19 vaccinations for health-care workers in a partial policy reversal. It comes two months after the government said most Albertans, including health workers, would have to pay for COVID-19 shots this fall. Public health experts and health-care unions called it irresponsible to force front-line workers to pay for protection in the workplace. Premier Danielle Smith has said the aim of the new policy is to prevent wastage, after some $135 million was spent on unused doses. The government hasn't finalized how much other Alb
israel-to-mobilize-tens-of-thousands-of-reservists-for-expanded-gaza-operation
WorldAug 20, 2025

Israel to mobilize tens of thousands of reservists for expanded Gaza operation

The Israeli military has announced plans to call up tens of thousands of reservists for an expanded operation in Gaza City. Defense Minister Israel Katz approved the plan, which involves deploying 60,000 reservists and extending service for 20,000 more. This move comes amid international concerns about the humanitarian crisis in Gaza, where many residents are displaced and facing famine. The operation aims to target Hamas' underground tunnel network, according to Israeli official who spoke on the condition of anonymity. Meanwhile, negotiations for a ceasefire continue, with Hamas agreeing
bus-crash-in-afghanistan-kills-more-than-70-afghans-returning-from-iran
WorldAug 20, 2025

Bus crash in Afghanistan kills more than 70 Afghans returning from Iran

A bus crash in northwestern Afghanistan killed at least 79 people returning from Iran, including 19 children, an official said. Two people were also injured in the crash, Ministry of Interior spokesperson Abdul Mateen Qani told The Associated Press. Tolo News, citing the official, said the accident happened Tuesday around 8:30 p.m. local time in Herat province. The bus collided with a truck and a motorbike, causing a massive fire that killed many on the spot, the outlet reported. Traffic accidents are common in Afghanistan, mainly due to poor road conditions and driver carelessness. Nearly 1.8

Related News