v Investing in Health for a Competitive, Secure, and Resilient Europe: A Strategic Call to Action The Partnership for Health System Sustainability and Resilience� Innovation and digital transformation. Health is a driver of advancements in artificial intelligence (AI), data science, and digital services. Initiatives like the European Health Data Space and InvestAI must be underpinned by modern, resilient healthcare infrastructure. � Climate and crisis preparedness. Resilient health systems are essential for managing the increasing frequency of climate-driven health shocks and future pandemics. Geopolitical tensions may also translate into crisis situations in healthcare. Investing in resilience is more effective and economically sound than reacting to disasters. To deliver on the EU’s political commitment to ensure equitable, timely access to high-quality and affordable preventive and therapeutic healthcare across Member States, fiscally sustainable strategies are needed to support the development of more resilient health systems. Closing the competitiveness gap: Health as a cornerstone of industrial policy Europe is losing momentum in global health innovation. For instance, the European Economic Area’s share of clinical trials on innovative medicines has halved over the past decade, despite overall trial volume increasing by 38% in the same time period.v While China and the US scale up pharmaceutical R&D, EU investment remains fragmented and risk averse. Health is not just a public service—it is a powerhouse of economic value. Robust investments in digital health, AI applications, and personalised medicine will fuel industrial competitiveness and scientific leadership. Health is Europe’s insurance policy for sustainable innovation, job creation, and economic sovereignty. Geopolitics has made health a strategic domain Health is now a frontline geopolitical issue. Europe’s health systems must be resilient to: � Pandemics and biothreats , requiring coordinated infrastructure like the Health Emergency Preparedness and Response Authority (HERA) and the European Centre for Disease Prevention and Control; � Climate-related shocks , from heatwaves to disease outbreaks; � Supply chain disruptions that jeopardise access to medicines and technologies; and � Population displacement driven by conflict, poverty, and climate migration. Investing in health is investing in Europe’s autonomy, cohesion, and strength on the global stage. Strategic spending for health: Investing wisely for maximum impact Given multiple budgetary pressures, more strategic and efficient EU investments in health are essential to optimise resource allocation and support systemic transformation. The EU currently earmarks billions of euros for health, but fragmented governance, limited outcome tracking, and poor fund alignment reduce impact. Smarter, more strategic, and more efficient spending is urgently needed. The PHSSR EU Expert Advisory Group proposes that the EU should prioritise health funding under the new Multiannual Financial Framework (MFF) and calls for the development of effective European health system infrastructure. To guide these efforts, the PHSSR proposes a two-pillar approach (see Table 1):

PHSSR European Union Investing in Health 2025