Hidden Healthcare Costs in Vancouver: What Single Workers Really Pay Compared to the UK and Australia

Frazier Institute

You never see a bill when you leave a doctor’s office in Canada. No invoice. No tap of a credit card. But “free” isn’t really free. The Fraser Institute’s 2025 study shows a single worker earning $57,931 pays $5,703 a year in hidden healthcare taxes. That’s almost 10% of their income gone before rent, groceries, or gas.

Couples and families are paying even more:

• Single worker: $5,703

• Single parent with one child: $10,516

• Couple without children: $17,338

• Family of four: $19,060

For Vancouver workers already stretched by high housing and food costs, these hidden healthcare costs raise an important question: are Canadians getting ripped off compared to other countries? To find out, we’ll compare how much workers pay in the UK and Australia, and look at how wait times stack up across all three systems.

What Is Canada’s Hidden Healthcare Bill?

For a single worker, the annual cost is clear: $5,703 in taxes goes toward healthcare. For a family of four, it’s nearly $19,060. These amounts are built into your taxes, not listed on any receipt.

And the bill keeps climbing. Since 1997, healthcare costs for the average Canadian family have grown:

• 2.2× faster than food

• 1.6× faster than shelter

• 1.6× faster than income

Even when pay cheques rise, healthcare takes a bigger slice every year. Unlike groceries or rent, you don’t see it on the statement — it’s deducted before your money even hits the bank.

Who Feels the Burden Most?

The Fraser Institute’s income breakdown shows how the burden shifts.

• Lowest 10 percent of earners: pay about $726 a year, about 6 percent of income

• Middle 10 percent: pay $7,563 a year, about 9.3 percent of income

• Top 10 percent: pay $43,166 a year, about 9.6 percent of income

While lower earners pay less in dollar terms, middle and higher income households shoulder far bigger totals. Close to 10 percent of their pay goes to healthcare. For a single Vancouver worker, the annual cost matches major expenses like food or transport.

How Much Does the UK Pay for Healthcare?

Average salary in London: about £50,000

• Single worker pays: about £3,300 to £3,500 a year in taxes, or 6 to 7 percent of income

The National Health Service (NHS) covers nearly all essential care. GP visits, hospital stays, and birth control are free at the point of use. Prescriptions cost £9.65 per item in England, but are free in Scotland, Wales, and Northern Ireland. Out of pocket costs are lighter than in Canada, but patients face wait times that vary by region and procedure.

How Much Does Australia Pay for Healthcare?

Average salary in Melbourne: about AUD $78,000

• Single worker pays: about AUD $6,800 to $7,000 a year, or about 9 percent of income

Australia funds its Medicare system with general taxation and a 2 percent Medicare Levy that shows up directly on tax returns. On top of that, many Australians face gap fees of $40 to $60 when visiting a GP, since not all clinics bulk bill. Prescriptions are subsidised through the Pharmaceutical Benefits Scheme, but not free. Higher earners without private hospital insurance also face a surcharge of 1 to 1.5 percent of income.

Australians are guaranteed coverage, but unlike Canadians they have a comparatively small charge compared to the whole cost of healthcare directly at the point of care.

Wait Times: Canada vs the UK and Australia

Paying thousands in hidden taxes would be easier to accept if care was fast. But Canada’s wait times are among the longest in the developed world.

Type of Visit or Procedure	Canada	Australia	UK
Specialist appointment (1 month or more)	About 61% of patients wait a month or longer	Lower share, usually weeks not months	Long waits common, many patients wait months for non urgent care
Elective surgery average wait	About 27 weeks from referral to treatment (2024 Fraser)	About 48 days (national average for elective procedures)	Multiple months depending on region and procedure

For a single worker in Vancouver, that means paying $5,703 in hidden taxes and still waiting more than six months on average for treatment. In Australia, elective procedures move more quickly. In the UK, access varies, but wait times are shorter for many services than in Canada.

Canada’s median health-care wait time hits 30 weeks—longest ever recorded

Are We Getting Value for Money?

Here is how the comparison shakes out for single workers:

• Canada, income $57,931: $5,703 a year, about 10 percent of income

• UK, income £50,000: £3,300 to £3,500 a year, about 6 to 7 percent of income

• Australia, income $78,000: $6,800 to $7,000 a year, about 9 percent of income

Canada is not an outlier in percentage terms. But the difference lies in what you get. Canadians face longer waits than either the UK or Australia. Canadians also pay extra out of pocket for prescriptions, dental, and vision. Middle and higher income households in Canada see large absolute costs, approaching $20,000 for families.

Final Thoughts: Hidden Healthcare Costs Vancouver

The Fraser Institute’s conclusion is hard to ignore. Healthcare in Canada is not free. It is one of the biggest items on every pay cheque. With rising costs, gaps in coverage, and long waits, Canadians are right to ask whether they are really getting value for the money.