I think we have to create the incentives and the freedom to operate for companies to want to invest in that R and D. There are many recommendations I can offer, but one very concrete one is around reforming the SR and ED tax credit. There was a promise in budget 2022 to update this nearly 80-year-old program, which is a $4-billion program. It's integral for our members and for the innovation economy. It is a huge source of capital, of R and D, and it can be a source of intellectual property if it's updated correctly. Where's the consultation? Where is that review and that reform to that critical program? We have not seen it.
In the fall of 2022 we developed a comprehensive report with companies across Canada to provide six concrete recommendations to the government, and we've continued to push the Department of Finance to make good on that promise. What we've heard behind closed doors that is quite concerning is that nearly half of that program, around $2 billion, goes to about 15 corporate giants. Unfortunately, I can't offer the committee evidence, because it's shrouded behind corporate privacy prohibitions, but the point I'm making is there needs to be transparency for that program. There needs to be an update so it can help small and medium-sized enterprises.