Manitoba’s 2024 health care spending increase in line with national average: CIHI

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Health spending in Manitoba is set to increase in line with national trends, according to a new report from the Canadian Institute for Health Information (CIHI).

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The 2024 National Health Expenditure Trends report reveals significant growth in health-care costs across the country, with Manitoba facing its own rising expenses as demand for health-care services continues to grow.

The report, made public on Wednesday, details projections for national and provincial health expenditures through 2024, noting that total health spending in Canada is expected to exceed $300 billion this year. While the national average growth rate for health-care spending is approximately 4.5%, Manitoba’s health expenditures are following a similar upward trajectory with a 5.9% increase this year.

CIHI stats show national health spending per person is forecast to reach $9,054 in 2024, up from $8,119 in 2022 and Manitoba comes in at $9,273. In the U.S. the average annual health care spend per person is $15,113 and in the U.K. it’s $6,300.

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With a rising population and an aging demographic, the Manitoba government is allocating more resources to health-care in an effort to meet the demands of Manitobans.

Manitoba’s share of total national health spending is expected to grow by a similar percentage as the rest of Canada. Health-care costs in the province are expected to surpass $6 billion in 2024, with the highest increases in spending occurring in areas such as hospital services, long-term care, and pharmaceutical costs.

“Health spending is growing across the country due to an aging population, the increasing complexity of care, and the ongoing impact of the COVID-19 pandemic,” said CIHI’s director of health expenditure trends, Jennifer Molnar. “In Manitoba, as with other provinces, this means higher demand for health-care services and increased financial pressure on the provincial health-care system.”

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A significant portion of Manitoba’s health budget is directed toward hospital services, which absorb the largest share of spending. CIHI’s data suggests that hospital expenditures in Manitoba have been climbing steadily, partly driven by increasing patient numbers and the need for more complex care. Manitoba’s aging population, combined with rising rates of chronic illnesses and mental health conditions, contributes to this growing demand for hospital services.

The cost of prescription drugs also continues to rise, making up an increasing portion of the overall health-care spending in Manitoba. Prescription drug expenditures are projected to grow at a rate of 5.3% in 2024, slightly above the national average of 5.1%. This reflects both the rising costs of medications and the expansion of drug coverage programs in the province, which are helping to offset some of the financial burden for residents.

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Manitoba’s health-care system is also grappling with challenges related to long-term care. The province, like many others, faces significant pressures on its long-term care facilities, which are experiencing high occupancy rates and staffing shortages. The demand for long-term care services is expected to grow rapidly in the coming years as the baby boomer generation ages and the need for specialized care increases.

“Long-term care is one of the most pressing issues in Manitoba, as it is in other provinces,” said Molnar. “More resources will be needed to ensure that aging Manitobans have access to high-quality care when they need it.”

There are signs that provincial health-care budgets are being stretched thin. While the provincial government has committed to increasing health-care funding, it faces ongoing challenges due to limited revenue and a competitive national health-care funding environment.

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In response, Manitoba’s health-care system is working to increase efficiency through initiatives such as expanding virtual care options and improving wait times for elective surgeries. Efforts to invest in preventative care and chronic disease management are also a focus in hopes of reducing the future burden on the system.

The CIHI report also highlights the role of the federal government in supporting provincial health expenditures. Federal transfers to provinces for health-care are expected to increase by 4.8% in 2024, helping to offset some of the rising costs, but experts note that these increases still fall short of the overall growth in healthcare needs.

“The federal government’s health transfers are important, but it’s clear that provinces like Manitoba will need to continue to find ways to manage rising costs and ensure that essential healthcare services are available to all,” said Molnar.

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In Manitoba, there is growing concern about the long-term sustainability of the health-care system as spending continues to rise. As healthcare needs grow, the provincial government will have to balance investments in health services with other pressing needs, such as education and infrastructure.

As Manitoba faces the ongoing challenge of managing rising health costs, the report serves as a reminder that health-care will remain a key issue for both the provincial government and residents in the years to come.

For more information on national and provincial health spending, visit CIHI’s website at [www.cihi.ca](https://www.cihi.ca).

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