The Current State of Health Research and Innovation in Canada
Budget 2018 ushered in an unprecedented investment into Canada’s research ecosystem.[1] This nearly $4 billion commitment recognizes the central role of the Canadian research enterprise in driving economic growth, innovation, and producing a highly skilled workforce. While encouraging, this investment is only the start in correcting years of health research underfunding.
Health research is a key priority for Canadians. A robust ecosystem of research and innovation underpins the Canadian healthcare system, long considered a source of national pride. Canada’s research efficacy, however, has eroded in recent years when compared with international peers.
Canada at the international table

Source: Organization for Economic Co-operation and Development. Gross domestic spending on R&D
Supporting Canada’s health researchers and innovators
Both priority-driven and investigator-led research are critical elements of a dynamic and robust research ecosystem. Since 2000, support for priority-driven and patient-oriented research has steadily increased among the tri-councils, but these investments have not been matched with adequate growth in investigator-led funding for Canada’s frontline scientists,[3] leaving many researchers in Canada struggling to find funding for the health research projects that can lead to innovative health solutions. To illustrate, granting success rates at the Canadian Institutes of Health Research (CIHR) have declined from nearly 42% in 2000 to just 15% in 2018.[4] Bolstering support for investigator-led research is essential to redress the previous funding imbalance and promote an innovative health research ecosystem.
Doctoral students and post-doctoral fellows are integral to the advancement of health research and innovation in Canada. Federally-administered core graduate awards set a bar for Canada’s funding and quality of trainees. The number of federally-administered core graduate awards, however, has not increased since 2007, despite major increases in graduate and fellowship enrollments,[5] and early-career investigators have seen a similar drop in their success of obtaining CIHR project grants.[6] Moreover, while Budget 2019 did include additional funding for fellowships and scholarships, the value was insufficient for the system’s needs and it failed to include post-doctoral fellows as the beneficiaries of this investment. Direct enhancements to these federal awards will realize multiple returns, sending the message that Canada values and supports health research trainees.
Source: Canadian Institutes of Health Research
Funding for Canadian health research and innovation
Canada spends only 1.6% of total public expenditures on health to fund health research.
Source: Canadian Institute for Health Information. National Health Expenditure Trends, 1975-2018
Funding for Canadian health research and innovation – continued
Compared to our research hospitals and health and biosciences companies, Canada spends very little of public expenditures on health to fund health research.

1.6%
of total health expenditures on health research.

7.6%
of total hospital spending on health research.

12.8%
of total revenues on R&D.
Many of Research Canada’s Members, Supporters and Partners are among the top research hospitals and health and biosciences companies supporting health research and the development of innovative health products.
Sources: Research Infosource Inc. Canada’s Top 40 Research Hospitals 2018 and Canada’s Top 100 Corporate R&D Spenders 2018; Canadian Institute for Health Information. National Health Expenditure Trends, 1975 to 2018
Into the Future
Further efforts are sorely needed to ensure Canada reverses its previous course, propelling Canadian health research and innovation into a globally competitive space.
[1] Government of Canada, D. of F. Canada’s Budget 2018. (2018). Available at: https://www.budget.gc.ca/2018/docs/themes/progress-progres-en.html.
[2] Advisory Panel on Federal Support for Fundamental Science. Investing in Canada’s Future: Strengthening the Foundations of Canadian Research. (Government of Canada, 2017).
[3] Advisory Panel on Federal Support for Fundamental Science. Investing in Canada’s Future: Strengthening the Foundations of Canadian Research. (Government of Canada, 2017).
[4] Government of Canada, CIHR Project Grant: Fall 2018 results – CIHR. (2018). Available at: http://www.cihr-irsc.gc.ca/e/51312.html
[5] Advisory Panel on Federal Support for Fundamental Science. Investing in Canada’s Future: Strengthening the Foundations of Canadian Research. (Government of Canada, 2017).
[6] Government of Canada, CIHR Project Grant: Fall 2018 results – CIHR. (2018). Available at: http://www.cihr-irsc.gc.ca/e/51312.html