The economic and social costs of mental ill health in England reached £300 billion in 2022, according to new research from Centre for Mental Health and commissioned by the NHS Confederation’s Mental Health Network
This figure of £300 billion captures the economic costs (including those related to sickness absence, presenteeism, staff turnover and unemployment) of £110bn, ‘human costs’ (in terms of reduced quality of life and wellbeing) of £130bn, and health and care costs (including informal care) of £60bn, of mental ill health.
The overall costs of mental ill health equate to double the NHS’s entire budget in England in 2022 (£153bn). They are similar to the estimated impact of Covid-19 on the UK economy in 2020 (£260bn in 2020 prices) – a comparable impact, economically, to having a pandemic every year.
The economic and social costs of mental ill health, by Frederico Cardoso and Zoë McHayle, says that the majority of the costs stemming from mental ill health fall on people living with mental health difficulties and their families (£175bn), with £25bn falling to the state and £101bn to businesses. The costs include lost or lower earnings for people living with mental health difficulties, business losses due to poor mental health at work, and the costs of informal care. Importantly, the study also captures the human cost of mental ill health, in terms of reduced quality of life and premature mortality.
For the first time in a study of this kind, the report’s calculations incorporate some of the wider costs, including the impact of presenteeism and staff turnover due to mental ill health. The calculations also include the impact that having a mental health problem can have on someone’s ability to carry out unpaid work (such as housework) which sits at £3.4bn, and the costs of having to pay for private therapy.
The new figures demonstrate the urgent need for action to turn the tide on rising poor mental health, according to the report’s authors. They warn that failure to act may lead to even higher costs that no government can afford to ignore.
Centre for Mental Health and the NHS Confederation’s Mental Health Network are calling for a comprehensive ten-year mental health strategy, as set out by the Race Equality Foundation and more than 60 organisations in A Mentally Healthier Nation. We need action to protect and promote the public’s mental health, alongside sustained investment in mental health services.
