In 2023, Canada's business enterprise expenditure on R&D in the total services sector stood at 0.71% of GDP. The forecasted data indicates a steady year-on-year increase: 0.72% in 2024, progressing to 0.77% by 2028. This reflects a compound annual growth rate (CAGR) of approximately 1.37% over the five-year period from 2024 to 2028.

Future trends to watch for include:

Increasing digital transformation initiatives, which may drive higher R&D spending in tech-oriented services.
Potential impacts of government policy changes on R&D incentives or subsidies.
New collaborations between academia and industry in driving service-based innovation.