What are hospitals spending on? (2024)

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  • The largest single expense in Canadian hospitals is employee compensation, accounting for nearly two-thirds of all expenses (63.3% in 2020–2021).
  • Among direct patient care services, the nursing ward accounts for the largest share of hospital spending at 18.9%, followed by Support Services at 18.4% and Other Diagnostic and Therapeutic Services at 12.7%.
  • Since 2005, total hospital spending has grown at an average annual rate of 4%.
By type of expense2020–2021
Compensation63.3%
Supplies11.4%
Sundry6.3%
Equipment5.4%
Drugs in Hospital4.9%
Buildings and Grounds4.8%
Contracted-Out Services4.0%
By service area2020–2021
Nursing Inpatient Services18.9%
Support Services18.4%
Other Diagnostic and Therapeutic12.7%
Research, Education and Other10.1%
Other Ambulatory Care Services8.5%
Operating Room6.3%
Administrative Services5.1%
Intensive Care Nursing Unit4.6%
Emergency4.5%
Medical Imaging4.4%
Community Health Services4.3%
Long-Term Care Nursing Unit2.1%

Note

National totals exclude Quebec and Nunavut.

Source

Canadian MIS Database (current as of March 24, 2022), Canadian Institute for Health Information.

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What are hospitals spending on? (2024)
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