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The UK is “sliding into an avoidable crisis” on work, the author of a major review has warned, with one in five adults now out of the labour force.
Overall, 2.8 million working age people are now economically inactive due to health conditions, according to the Keep Britain Working review released on Wednesday.
Among 16-34 year-olds, the number of people out of work due to long-term sickness and with a mental health condition increased by 76 per cent between 2019 and 2024.
Ex-John Lewis boss Sir Charlie Mayfield was commissioned by the government to lead the report that would look at how officials and businesses could work together to get people who are disabled or long-term sick into jobs.
His report found that poor workplace health costs UK employers around £85 billion a year.
It also warned that Britons being unable to work due to ill health is costing the country around 7% of GDP (gross domestic product).
Sir Charlie said there is “broad recognition that Britain is facing a quiet but urgent crisis”, with ill health now one of the biggest drivers of economic inactivity in the UK.
His review told of a culture of fear among workers around ill health, a lack of an effective or consistent support system for employers and employees in managing health, and structural challenges for disabled people.
Among the figures detailed in the document, Sir Charlie said that 800,000 more people are out of work than were in 2019 due to health problems, with projections that this could climb by a further 600,000 by 2030.
He said that “young adults are being hit hard” and added: the growth in 16-34 year-olds with a mental health condition who are economically inactive due to long-term sickness is particularly concerning, having risen by 190,000 (76%) between 2019 and 2024”.
Publishing the document, the ex-retail boss said: “Britain is sliding into an avoidable crisis. Ill-health has become one of the biggest brakes on growth and opportunity. But this is not inevitable.
“Employers are uniquely placed to make a difference, preventing health issues where possible, supporting people when they arise, and helping them return to work. If we keep Britain working, everyone wins – people, employers, and the state.”
He has proposed a new approach where responsibility for health at work is shared between employers, employees and health services rather than being left to the worker and the NHS.
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Work and Pensions Secretary Pat McFadden during a visit to the Opportunity Hub in Neath (PA Wire)
While Sir Charlie said employers must do more to help their employees, he warned that workers must play their part.
He wrote: “Work can be demanding. Setbacks are part of life. Health and work are not always easy partners, but they are mutually reinforcing.”
The so-called review was officially launched in January and was tasked with examining “spiralling levels of inactivity”, as ministers are looking at how to get people back into work.
Among its recommendations, the review called for the adoption of a workplace health provision, which it described as a non-clinical case management service supporting employees and line managers across a so-called healthy working lifecycle.
It said this approach, offering support and advice and early intervention, could be integrated with the NHS App and reduce or replace the need for the current fit note.
The Government said more than 60 employers – including the British Beer and Pub Association, Burger King, John Lewis and Google UK – have expressed interest in becoming so-called vanguard employers to pioneer the overall new approach.
Work and Pensions Secretary Pat McFadden said Sir Charlie’s message is “crystal clear: keeping people healthy and in work is the right thing to do and is essential for economic growth”.
He added: “Business is our partner in building a productive workforce – because when businesses retain talent and reduce workplace ill health, everyone wins.
“That’s why we’re acting now to launch employer-led vanguards as part of the plan for change, driving economic growth and opportunity across the country.”
