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The report refers to a recent study from Canada’s budget watchdog that calculated a national drug program would save the country $4.2 billion annually compared to what is currently spent on prescription drugs by governments, private plans and individuals, because of Ottawa’s ability to negotiate lower prices.

But it also finds that governments will likely assume roughly $10.7 billion in costs borne by private insurers before those savings are realized. It recommends that costs be shared between federal, provincial and territorial governments, but it doesn’t specify how those costs should be split. The report also recommends that the government consult with employers, unions and private insurers about how to pay for the program. During committee hearings, it was suggested that corporate taxes could be increased to help finance the program, with the costs offset by employers’ savings on private drug plans.

Hassan Yussuff, president of the Canadian Labour Congress, said prescription drugs are the fastest-growing payroll cost employers are facing.

“They have no control over medication costs right now,” he said. “Any employer will tell you that to have a national formulary … will certainly be huge for them.”

Liberal, Conservative and NDP committee members agreed on the need for improvements to drug coverage in Canada. But in a supplementary report, the Conservatives expressed concern about the cost of a universal program and the impact on private insurers.

During a press conference on Wednesday, Conservative MP Marilyn Gladu told reporters that many Canadians who currently have private coverage may not want a public plan. “I’m not convinced yet that the 80 per cent of Canadians that have coverage want to switch,” she said.

But Linda Silas, president of the Canadian Federation of Nurses Unions, said she’s convinced Canada will adopt a universal plan. “We know the system is broken and has a direct impact on patients, but it has also a direct impact on the health-care system,” she said.