Question Period Note: PHARMACARE
About
- Reference number:
- HC-2020-QP-00027
- Date received:
- Oct 28, 2020
- Organization:
- Health Canada
- Name of Minister:
- Hajdu, Patty (Hon.)
- Title of Minister:
- Minister of Health
Issue/Question:
• When does the Government intend to implement a national pharmacare program?
Suggested Response:
• No Canadian should have to choose between paying for prescription drugs and putting food on the table.
• The Government of Canada is committed to working with provinces, territories and stakeholders to implement national universal pharmacare so that Canadians have the drug coverage they need.
• As committed in Budget 2019, this important work will include establishing a Canadian Drug Agency, a national formulary and a national strategy for high-cost drugs for rare diseases.
• We have already taken action to improve access and affordability of medicines. Last year, we modernized the way patented drug prices will be regulated in Canada, which will save Canadians billions over the next decade.
Background:
Private Member’s Bill on Pharmacare
• On February 24, 2020, NDP MP Peter Julian tabled Private Member’s Bill C-213, An Act to Enact the Canada Pharmacare Act, in the House of Commons. This bill would provide for a legislative framework for a public single-payer drug coverage system in Canada.
Opposition Motion on Pharmacare
• On March 13, 2020, the House of Commons unanimously adopted a motion from NDP MP Don Davies (Vancouver Kingsway, BC) that called on the government to negotiate with the PTs to establish a dedicated fiscal transfer for universal, single-payer, public pharmacare. The motion was passed with the Government’s support.
Text of the motion:
(a) acknowledge the government’s intention to introduce and implement national pharmacare;
(b) call on the government to implement the full recommendations of the final report of the Hoskins Advisory Council on the Implementation of National Pharmacare, commencing with the immediate initiation of multilateral negotiations with the provinces and territories to establish a new, dedicated fiscal transfer to support universal, single-payer, public pharmacare that will be long term, predictable, fair and acceptable to provinces and territories;
(c) urge the government to reject the U.S.-style private patchwork approach to drug coverage, which protects the profits of big pharmaceutical and insurance companies, but costs more to Canadians; and
(d) recognize that investing in national pharmacare would help stimulate the economy while making life more affordable for everyone and strengthening our health care system.
Advisory Council on the Implementation of National Pharmacare
• In Budget 2018, the Government announced the creation of the Advisory Council on the Implementation of National Pharmacare, chaired by Dr. Eric Hoskins. The Council engaged with Canadians, patients, provincial, territorial and Indigenous leaders, health care experts, and stakeholders through regional roundtables, town halls, an online questionnaire, and written submissions. On June 12, 2019, the Council’s final report was tabled in Parliament, recommending the implementation of national universal pharmacare over several years.
Budget 2019 Commitments
• Guided by the recommendations of the Advisory Council, Budget 2019 announced federal investments to move forward on three foundational elements of national pharmacare:
o Creation of a Canadian Drug Agency to take a coordinated approach towards assessing effectiveness and negotiating drug prices;
o As part of the work of the Agency, development of a national formulary to promote more consistent coverage across the country; and,
o Creation of a national strategy for high-cost drugs for rare diseases to help Canadians get better access to the effective treatments they need.
• Budget 2019 announced $35 million over four years, starting in 2019-20, to establish a Transition Office to support the creation of a Canada Drug Agency and national formulary. It also announced an investment of up to $1 billion over two years, starting in 2022-23, with up to $500 million per year ongoing, to help Canadians with rare diseases access the drugs they need.
Modernization of the Patented Medicines Regulations
• In August 2019, the Government modernized the Patented Medicines Regulations to ensure the Patented Medicine Prices Review Board (PMPRB) has the tools and information to fulfill its mandate to protect consumers from excessive patented medicine prices. It is estimated that the amendments will result in savings for governments and private payers of approximately $13.2 billion over 10 years. However, the brand-name pharmaceutical industry and some patient groups have expressed concerns that the amendments could result in reduced pharmaceutical investments and access to medicines.
• On June 29, 2020, the Federal Court issued a ruling in IMC v Canada that maintained most of the regulatory amendments, but struck down the collection of confidential rebate information.
Additional Information:
SYNOPSIS
• Last session, the NDP introduced Private Member’s Bill C-231 to implement single-payer universal pharmacare, as well as a motion that passed with Government support in March.
• In Budget 2019, the Government announced steps toward the implementation of national pharmacare, including the creation of a Canadian Drug Agency, a national formulary and a national strategy for high-cost drugs for rare diseases.