Health systems across Europe are in distress, with spending outpacing income and ageing populations demanding evermore efficient services; however, on a positive note, smart innovation and fast-advancing scientific research can deliver cost-effective healthcare benefits, heard participants in this CHES Policy Dialogue with Barbara Kerstiens, Head of the Public Health and Health Services Research sector, DG Research and Innovation, European Commission; Valérie Carrette, Coordinator of the Policy Research Centre for Welfare, Health and the Family for Flanders; Elisabetta Zanon, Director, NHS Confederation European Office; Yves Verboven, Director for Market Access and Economic Policies, MedTech Europe; and Paul De Raeve, Secretary General, European Federation of Nurses Associations.