Prescribed Drug Spending in Canada, 2018

Canada’s love affair with prescription meds…

Drug spending is increasing more than the other major areas of health spending — with a large proportion of drug spending going toward high-cost drugs for a small number of individuals.

Key findings

  • In 2018, $14.4 billion (42.7%) of prescribed drug spending will be financed by the public sector.
  • About 1 in 4 Canadians received a benefit from a public drug program in 2017. Individuals living in low-income and rural/remote neighbourhoods were more likely to receive a benefit.
  • Canadians with drug costs of $10,000 or more represented 2% of beneficiaries but accounted for more than one-third of public drug spending in 2017.

More Information

In 2017 : $40 Billion

Take an in-depth look at prescribed drug spending in Canada and learn more about how different drug classes contribute to current trends in total public drug spending.

In 2013 : $29.3 Billion

Prescribed Drug Spending in Canada 2012 cover image
Canada’s love affair with prescription meds…

Millions of Canadians buy prescription drugs; we spent a record $30 billion in 2013. But the annual rate of growth that year —2.3%— was one of the lowest in more than two decades. This is due in part to an increase in the use of less-expensive generic drugs as well as government policies that help keep prices low. ”

Key findings
  • More than 40% of prescribed drug spending was paid for by the public sector, totalling more than $12 billion. In the public sector, payers include provincial and federal drug programs and social security funds (such as workers’ compensation boards).
  • Generic drugs account for almost three-quarters of use but less than half of spending in public drug programs.
  • The number of Canadians who are taking more than $10,000 worth of prescription drugs every year is on the rise, because public drug programs are spending more on high-cost drugs.
  • In 2012, high-cost beneficiaries accounted for about 25% of public drug spending, compared with only 15% in 2007.
  • Almost half of these people were taking a high-cost drug used to treat conditions such as rheumatoid arthritis, Crohn’s disease and macular degeneration.
Sources

Have your say! Share your views