Mr. Speaker, my question to the Minister of Health on February 4 addressed the potential rise in pharmaceutical costs in Canada as a result of the signing of the trans-Pacific partnership, and in fact other trade deals. As I stated in my question, a recent study has put that figure at around $600 million annually. This is particularly concerning, because over the last 20 years pharmaceuticals have been the fastest-growing cost to Canada's health care system. Only in recent years has the pace of growth in drug costs in Canada subsided somewhat. However, Canadians still pay the second-highest prescription drug prices in the world, second only to the United States.
The growing costs for prescription medications in our public health care system and for individual Canadians is unsustainable. With the coming tidal wave of baby boomers reaching their elder years, sky-high medication prices are even more concerning for the fiscal sustainability of our health care system.
Most observers and stakeholders of Canada's medicare system agree that federal, provincial, and territorial governments must begin ambitious work to overhaul health care delivery in Canada. We need new ideas, new plans, and innovative approaches to find savings, provide better care, and improve access to health care.
Providing universal coverage to all Canadians for prescription medications is one of the most practical and achievable short-term reforms that could be undertaken by the government.
It is practical because the cost of maintaining the status quo is too high for public health and for the public purse. Recent research indicates that a shocking one in four Canadian households reports that family members neglect to fill prescriptions because of cost. This is unacceptable in a country that purports to have universal health care. This epidemic of cost-related non-adherence to prescriptions means more Canadians become sicker and more Canadians end up in hospital. This costs our health care system avoidable billions every year.
Pharmacare is also achievable because the payoff from national universal coverage for medications outweighs the investment. Canada's leading health economists have conducted groundbreaking research demonstrating that upfront government investments of between $3 billion and $5 billion would result in savings of between $4 billion and $11 billion per year. Better yet, most of these savings would go straight to the pocketbooks of Canadians and the budget lines of businesses.
Pharmacare is a silver bullet for many of the troubles facing Canada's public health care system. New Democrats strongly urge the health minister to make national pharmacare a priority issue over the coming years.
Addressing costs, improving care, and strengthening and growing public coverage of health services will be the number one challenge for the new health minister. This goes beyond just the issue of prescription drug costs. New Democrats are calling on the health minister to conclude negotiations for a new health accord with stable funding between the federal government and the provinces and territories. Our party echoes the calls by many in the health care community for an increase in Ottawa's contribution to at least 25% by 2025 at the latest.
A new health accord must also include strong strings attached. Provinces must be compelled to roll back harmful privatization in the delivery of health care services and crack down on user fees and unfair barriers. Adherence to the principles of the Canada Health Act must be non-negotiable. Canada's public medicare system must be strengthened, not weakened.
Finally, it is also long past time for federal government leadership in community and home care. All major health care stakeholders agree that health care must move into communities and closer to Canadians through multidisciplinary health care clinics and quality home care services. It is time we improved care for Canadians while reducing costs.