UK economy loses £138bn annually to health-related productivity issues, Vitality study finds

Vitality’s Britain’s Healthiest Workplace survey for 2023 has unveiled that poor health is costing the UK economy a staggering £138bn each year, attributed to employee absence and reduced productivity due to ill health.

UK workers, on average, are absent for 6.1 days annually, with the bulk of productivity loss stemming from ineffective working caused by health issues, equating to almost one day per week or 43.6 days a year lost due to mental and physical health problems such as musculoskeletal conditions, depression, and poor sleep.

The survey also indicates some recovery from the pandemic’s impact on UK productivity, with notable decreases in burnout, job dissatisfaction, and the stress experienced by home-workers.

The analysis within the survey highlights how various health conditions and risk factors diminish workplace productivity.

Mental health issues, particularly depression, fatigue, and burnout, have the most severe impact on productivity, with those at risk losing significantly more productive days than their healthier counterparts.

Physical health issues, including poor diet, obesity, and lack of physical activity, also contribute to productivity loss, emphasizing the need for comprehensive employee support that addresses both mental and physical health.

The study also points out a generational divide in productivity loss due to health issues, with those under 30 experiencing a higher number of lost days compared to their over-50 counterparts, driven by higher levels of mental health concerns among the younger demographic.

Despite the evident link between health and productivity, many employees feel unsupported by their workplace culture in terms of health and wellbeing, especially those in lower income brackets.

While companies offer various health interventions, utilisation remains low, with only a quarter of employees engaging with the provided measures. However, those who do engage find these interventions beneficial.

Neville Koopowitz, CEO of Vitality, commented on the findings: “Our research clearly shows the impact of health and wellbeing on productivity in the UK, and the implications for the UK economy are concerning.  

“The data highlights the complexity of the problem facing UK employers, but also the opportunity for benefit if it can be addressed. Businesses must recognise the importance and impact of facilitating a healthy workplace, one that acknowledges employees’ mental and physical health needs.

“Action needs to be meaningful and informed, and employees need to feel that their wellbeing matters and be educated and encouraged to use the support available. If health at work is properly managed, business and the wider economy stand to gain significantly.” 

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