In 2023, the government support through R&D tax incentives in Canada stood at 0.13% of GDP. Forecasts from 2024 to 2028 show a slight decline, with values maintaining at 0.13% for 2024 and 2025, then decreasing to 0.12% from 2026 to 2028. This represents a stable trend with a minor expected contraction in percentage GDP allocation beyond 2025.

Future trends to watch for include:

The impact of economic conditions on government budget allocations for R&D tax incentives.
Potential policy changes aimed at boosting R&D investment to drive innovation.
Comparative analysis with other countries’ R&D tax incentives as Canada seeks to stay competitive globally.