Editorial - 26-14

The latest data for federal spending on scientific activities doesn't paint a pretty picture of the current trajectory for government support of innovation (see page 3). Over the past two years, the Harper government has shaved nearly $1.1 billion off its expenditures for science and technology after an all-time high of $12 billion in FY10-11.

On the surface, there are two primary reasons for the decline. The government is working towards eliminating the deficit after ratcheting up spending in the wake of the 2008 economic meltdown. The rationale is that everyone must contribute to the effort regardless of their contribution to competitiveness, productivity and innovation.

Higher spending throughout 2009 and 2010 was intended to confront the prospect of a severe recession and some of that money made its way into S&T-intensive organizations, notably the Industrial Research Assistance Program and the granting councils. That funding ended and support for Canada's S&T institutions — so the conventional narrative goes — fell back to "pre-stimulus levels".

Aside from a bulging national debt and over reliance of natural resources as a source of growth, Canada's balance sheet is in relatively good shape. So why are the nation's engines of future economic growth being starved for cash? Isn't this the time to be boosting innovation-related support and gaining ground on our competitors? These questions should be top-of-mind as the government prepares for the next Budget early next year. If innovation is a priority, it deserves to be treated as such.