The Fraser Institute is warning provincial governments to not spend too much on health care as they forecast a rise in spending to the health sector.
In a study recently published by the public policy think tank, 47-percent of government spending across the country will be towards health care in 2030, up from 40-percent in 2015.
However, in Saskatchewan, the province has already met the Fraser Institute’s forecast.
39-percent of the province’s expenses were targeted towards health in the 2016-17 budget, which was what the study predicted for 2030.
Study co-author Baccus Barua says there is one other area Saskatchewan should be concerned.
Spending as a percentage of GDP is expected to rise from 6 to 9 percent in 2030.
He says that number provides more context as to how much the economy can support increases in health spending.
Barua says the focus of provincial governments in the future will need to be more efficiently putting money towards health initiatives.
He says if we start having the conversation now about better health care for the same or even lower costs, “we can then look at changing the system so that we’re better achieving the system our universal health care promised without going broke in the process”.
Barua says the estimates are based on provincial trends, inflation, population growth and an aging population.
He says failing to address the issue could lead to fewer resources for other programs, increased taxes or a larger debt.