Young people with mental health conditions are nearly five times more likely to be economically inactive compared to their peers, according to new analysis published today by the Keep Britain Working Review.
The report highlights the early barriers impacting many young individuals at the start of their work journey.
The Discovery Phase report, led by former John Lewis boss Sir Charlie Mayfield, examines the factors behind rising levels of economic inactivity and how government and businesses can collaborate to address the issue. Key findings include:
- Economic Inactivity Due to Ill-Health: Around a quarter of those economically inactive due to ill-health are under 35.
- Work-Limiting Health Conditions: 8.7 million people in the UK have a work-limiting health condition, including 1.2 million aged 16 to 34.
- Mental Health Impact: Young people with mental health conditions are 4.7 times more likely to be economically inactive.
- Return to Work: Those out of work for less than a year are five times more likely to return to work compared to those out longer.
Liz Kendall, Secretary of State for Work and Pensions, said:
“We must do far more to help people stay in work and get back quickly if they fall out. That’s why, as part of the reforms in our Pathways to Work Green Paper and our Plan for Change, we are making a decisive shift towards prevention and early intervention.
“We want to help more employers to offer opportunities for disabled people, including through measures such as reasonable adjustments, and we are consulting on reforming Access to Work so it is fit for the future.
“I want to thank Sir Charlie for this report. It shows the potential for what government and employers can do together to create healthier, more inclusive workplaces, so we build on the great work some businesses are already doing.”
The report underscores the potential economic benefits of better prevention, retention, and rapid rehabilitation. Tackling sickness absence and ill-health related economic inactivity could be worth £150 billion a year to the economy. Reducing the number of young people not in education, employment, or training by a third could increase UK GDP by 1.8%, equivalent to £38 billion.
The government has invested £26 billion in the NHS, including mental health services, and recruited 8,500 additional mental health workers. The expansion of the Talking Therapies programme has helped nearly 70,000 people with mental health issues return to employment last year.
The report sets the stage for further engagement with businesses and stakeholders to develop recommendations by Autumn. The government is also implementing measures to make work more secure and support employers with retention, including the Employment Rights Bill and increasing the National Living Wage.
Image credit: iStock and UK Parliament
