Breaking Barriers: Supporting mental health to boost economic growth

 

The economic impact is staggering, with mental health challenges costing the UK economy an estimated £118 billion annually. Perhaps most notably, 72% of this cost stems from lost productivity among those experiencing mental ill-health and unable to work.

This highlights the pressing need to transform how we support people with mental health conditions into employment. Mental Health UK’s Employment Report 2024 sheds light on this complex issue, offering insights into the significant challenges faced by people living with mental health difficulties in securing and sustaining employment, alongside the systemic barriers contributing to economic inactivity and poor health.

Through our research and extensive experience supporting people living with mental health challenges throughout the UK, we’ve found that the path to employment is often complicated by multiple challenges – from accessing appropriate support to navigating workplace environments that may not, at least initially, meet their needs. In this report, we’ve identified key areas where change is needed and developed concrete steps for government, employers, and support services. Only by taking a comprehensive approach, putting people’s needs first, can we help protect, support and empower people living with mental health difficulties to recover and engage in work, ultimately contributing to a healthier, more productive society.

Read the Employment Report

Key drivers of mental ill-health related economic activity

From ongoing research and evaluation of our innovative, holistic employment support service, Into Work, we’ve identified critical barriers in the employment journey, commonly experienced by people living with mental health difficulties – upon entering, through to maintaining employment.

1. Inadequate employment support

Traditional employment support often fails to meet the needs of people living with mental health conditions in numerous crucial ways. Current services tend to take a ‘one-size-fits-all’ approach that doesn’t account for the complex and unique barriers faced by people with mental health conditions. Research from our Into Work programme shows that 50% of clients face three or more barriers to employment, rising to 83% for those out of work for over two years. Some of those barriers include, fluctuating mental health conditions requiring flexible support, loss of confidence after prolonged unemployment, age-related concerns about employability, persistent stigma, and more.

Generic employment services often fall short in three key areas:

1. They lack understanding of how mental health impacts people’s working lives
2. They use mandatory participation and sanctions, which can pressure people into unsuitable work before they’re ready
3. They don’t provide an integrated approach, coordinating between employment and mental health services, leaving gaps in support

2. Treatment delays

The current state of mental health treatment in the UK presents significant challenges. With average wait times of 727 days for adult community mental health care – more than twice the wait for elective care – many individuals find their conditions deteriorating while awaiting support.

Rethink Mental Illness’s 2024 report, Right Treatment, Right Time (RTRT) highlights the significant impact delays in mental health treatment have on people’s ability to work. Findings showed that:

• 80% of survey respondents reported deterioration in their mental health while waiting for support
• 41% were denied support because their condition wasn’t deemed severe enough
• 35% were turned away because their condition was considered too severe

3. Workplace challenges

The modern workplace often presents its own set of challenges for mental health which were explored in Mental Health UK’s Burnout Report 2024:

• 54% of respondents attributed stress and burnout to increased workloads
• 35% don’t feel comfortable discussing mental health with their managers
• 71% may not receive adequate mental health support from their employers

4. Systemic issues

The current support systems often fall short:

• Generic employment support services frequently fail to address the specific needs of people with mental health conditions.
• The Work Capability Assessment system is fundamentally flawed for people with mental health conditions. Rather than helping people into sustainable employment, the system often causes harm and creates additional barriers.
• Many employers struggle to understand and implement reasonable adjustments for employees with mental health conditions.

Success stories: Into Work programme

Despite these challenges, there are promising solutions emerging. Mental Health UK’s Into Work programme, demonstrates the effectiveness of specialised support. The award-winning programme has achieved remarkable results with 42% of participants secured paid employment or voluntary work in the first 20 months. Over three quarters gained a better understanding of their strengths and abilities alongside improved mental wellbeing and overall life satisfaction.

Find out more about the Into Work programme

“When I first spoke to someone from Into Work, I felt nervous ... But instantly I was impressed at how understanding the advisor was, I felt at ease talking about things. I walked out of my first appointment feeling like I had a plan in place and supported. Into Work has really helped build my confidence which has helped with my social anxiety. I am now in work that I love. I wake up every morning and feel positive about the day ahead.”

– Into Work Service User

Five crucial steps for change

Based on our research and experience, we recommend five key steps to enhance both economic growth and mental health outcomes:

1. Invest in holistic support services: Expanding effective, person-centred return to work programmes that address the full spectrum of barriers to employment.
2. Implement UK-wide cross-government approach: Creating a coordinated approach across all four nations while respecting devolved powers and local needs.
3. Prioritise health prevention: Leveraging the NHS 10-year plan to focus on early intervention and community-based support.
4. Reform assessment systems: Developing a new approach to Work Capability Assessment that better reflects the realities of living with mental health conditions.
5. Strengthen mental health standards in workplaces: Implementing and enforcing comprehensive mental health standards in workplaces, building on the Employment Rights Bill.

Looking forward

Our research shows that addressing mental health-related economic inactivity requires a nuanced, compassionate approach that considers both individual needs and systemic challenges.

Success stories from our Into Work programme and partnerships with organisations like the Pret Foundation demonstrate that with appropriate support, people with mental health conditions can thrive in the workplace, benefitting individuals, employers and the broader economy.

As we move forward, Mental Health UK remains committed to supporting people with mental health challenges, advocating for policy improvements, and collaborating with government and employers to implement practical solutions. Together, we must break down the barriers preventing people from accessing and maintaining meaningful employment, creating a more inclusive and productive economy for all.

Read the Employment Report