Key facts
- Restoring UK population health to 2014 levels could boost GDP by 2% and generate £72 billion for public finances.
- Healthy life expectancy in the UK fell by two years between 2022 and 2024.
- The number of working-age individuals with long-term health conditions rose from 11.7 million to 15.7 million.
- Significant health inequalities exist, with the richest 10% of areas having 20 more years of good health than the poorest 10%.
Restoring the UK's population health to the level seen in 2014 could significantly boost the economy and public finances, according to new research from the Health Foundation. The thinktank argues that good health should be recognized as an economic asset, enabling a stronger workforce and society. The report highlights a concerning trend: healthy life expectancy has fallen by two years in the decade to 2022-24, with the UK being one of only five developed nations to experience such a decline. Concurrently, the number of working-age individuals with long-term health conditions has increased substantially, from 11.7 million to 15.7 million.
The research also underscores significant health inequalities across the country, with people in the wealthiest areas experiencing considerably more years of good health than those in the poorest areas. Beyond the direct costs to the NHS and disability benefits, the report points out the economic losses incurred through reduced tax revenue and lost productivity when sickness prevents people from working. The Health Foundation's modeling suggests that reverting ill health to 2014 levels could increase economic output by £57 billion, or 2% of GDP, and provide a £72 billion boost to public finances through stronger tax revenues and reduced spending.
David Finch, interim director of health and inequalities at the Health Foundation, emphasized that improving working-age health could unlock substantial economic benefits and is essential for achieving ambitious growth targets. While acknowledging that improving health won't solve all economic challenges and not all ill health is preventable, the thinktank asserts it plays a critical role in strengthening economic performance, fiscal sustainability, and living standards. The issue of ill health and its impact on the labor force is expected to be a key challenge for the incoming prime minister, Andy Burnham, who will receive reports on youth unemployment and disability benefit reform. The Health Foundation's findings echo recent warnings from the Resolution Foundation, which noted that poor health has been as significant a factor in the UK's challenging public finances as demographic shifts. Health-related spending now constitutes a substantial portion of government expenditure, with approximately £1 in every £4 spent by the government, excluding debt interest, allocated to the NHS.