A recent report on pharmacare has ignited a heated debate between the New Democratic Party (NDP) and the federal government, with NDP Interim Leader Don Davies criticizing the Liberal government’s approach to essential medications. The report supports national pharmacare as the most important investment that is true to Canadian principles. There is good reason to be alarmed by the paltry progress on a law that was passed a little over a year ago.
That situation changed when the NDP and the Liberals reached a supply-and-confidence agreement for the duration of Justin Trudeau’s minority government. That’s why they tabled the pharmacare legislation. So far, only four of these agreements have been signed—with British Columbia, Manitoba, Prince Edward Island and Yukon. Together, these deals account for more than 60 percent of the $1.5 billion currently allocated to the first phase of pharmacare in 2024. They’re a deeply underappreciated investment in our healthcare system.
The report estimates that creating a comprehensive list of essential medications could cost between $6 billion and $10 billion annually. With the report, we want to bring focus on these competitive potential savings that already exist in our coverage. Therefore, it notes that the net new cost would be about $3 billion annually.
The report unequivocally calls on Ottawa to fund a full list of medically necessary drugs. This amount of funding would cover more than 90 percent of all prescriptions in Canada. In addition, it proposes the creation of an independent entity to manage this do-not-pay list. Davies thinks it’s an exciting time for pharmacare right now. Yet the economic fallout from the federal government’s ongoing trade war with the United States still presents a major threat to job security and insurance benefits for thousands of Canadians.
“It’s almost like they’ve rejected the report before they’ve even studied it.” – Don Davies
As we mentioned earlier, Davies has been critical of the federal government’s response, calling it “shockingly dismissive.” He accuses the government of lying to Canadians. They would like you to believe that they are standing up for access to critical medications in the public healthcare system.
The committee’s report further emphasizes the importance of legislating a clear pharmacare policy, advocating for legal recognition of Canadians’ right to essential medicines. Minister Marjorie Michel’s office has indicated that no formal request for a meeting with the committee has been received, raising questions about the government’s commitment to addressing these urgent issues.
“As you know, we have a lot of independent expert panels and they have their views, but it is non-binding for the government.” – Marjorie Michel
Amy Lamb, one of the report’s contributors, characterized pharmacare as “a nation-building investment purposely constructed from Canadian-made principles.” This last sentiment is at the heart of the report’s recommendation for a strong national framework that puts quality, accessible healthcare at the centre for all Canadians.
Increasingly harmful is the ongoing trade war with the United States. Davies cautions that further escalation of this dispute will lead to lay-offs and less insurance coverage for thousands of Canadians. These rising tensions likely will increase the cost of pharmaceuticals because of looming tariffs. He argues that more than ever, we need a bold pharmacare policy to get us through a crisis.
