• Dom. Nov 9th, 2025

New report warns of ‘economic crisis’ as sickness bill costs UK £85bn a year, leading to an «economic inactivity crisis» with employers losing significant amounts due to poor workplace health. The Mayfield review highlights the impact of health issues on growth and opportunity, calling for decisive action to address the growing number of people out of work due to health problems. The report emphasizes the need for a shared responsibility between employers, employees, and health services to tackle the structural barriers contributing to the crisis. Sir Charlie Mayfield proposes a shift towards a coordinated approach to managing health at work, focusing on prevention, rehabilitation, and support for disabled individuals. A new report has revealed that the cost of sickness bills amounts to £85 billion per year, raising concerns about a potential economic crisis. The report emphasizes the importance of supportive workplaces and personal responsibility in addressing this issue. The author of the report calls on the government to «reset the system» by encouraging employers and employees to take action. He highlights the need for reforms in areas such as fit notes, dispute resolution, and collaboration with programs like Pathways to Work. Political leadership across various government departments is seen as essential for driving change. The report also recommends the implementation of workplace health provisions, which would offer non-clinical case management services to support employees and line managers throughout their working lives. This approach could be integrated with the NHS App to provide early intervention and reduce reliance on fit notes. Over 60 employers, including prominent companies like the British Beer and Pub Association, Burger King, John Lewis, and Google UK, have shown interest in becoming «vanguard employers» to pioneer this new approach. They will focus on addressing mental health, retaining older workers, and improving the participation of disabled individuals in the workforce. Business Secretary Peter Kyle explains that the initial phase of this scheme aims to test what strategies are effective and share the findings with the government to benefit businesses nationwide. Sir Charlie Mayfield emphasizes the role of employers in preventing health issues, supporting employees, and facilitating their return to work for the benefit of individuals, businesses, and the economy. He believes that maintaining a healthy workforce is crucial for economic growth and prosperity, and looks forward to collaborating with the government and employers to create a healthier and more prosperous Britain.

PorStaff

Nov 5, 2025
A 22-year-old not in work for health reasons could be more than £1 million worse off over their lifetime, the report found. Pic: iStock

The UK is currently facing what is being termed an «economic inactivity crisis,» with employers reportedly losing around £85 billion annually due to costs associated with sickness and poor workplace health, according to a significant report.

More than 20% of working-age individuals are now classified as out of work and not actively seeking employment, a higher proportion compared to other similar countries. This is resulting in a £212 billion annual cost to the UK, as highlighted in the Mayfield review.

Sir Charlie Mayfield, the author of the report and former John Lewis boss, emphasizes that poor health has emerged as a major hindrance to growth and opportunities, but he asserts that this situation is not unavoidable.

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The report, released recently, indicates that there are currently 800,000 more individuals out of work due to health issues compared to 2019, and without urgent action, another 600,000 individuals will join this group by 2030.

Sir Charlie’s research suggests that a 22-year-old who is unable to work due to health reasons could suffer a loss of over £1 million throughout their lifetime. Furthermore, employers are experiencing an average daily loss of £120 in profits due to absences.

The financial impact on the state is also substantial, amounting to 7% of GDP or nearly 70% of the income tax collected, resulting from «lost output, increased welfare payments, and additional strain on the NHS,» which is deemed unsustainable.

The report estimates an additional annual burden of around £47 billion on welfare payments and NHS services.

One of the factors contributing to the escalating absences is a pervasive «culture of fear» prevalent amongst both employers and employees, hindering open communication and early disclosure of health issues, according to Sir Charlie’s findings.

Why millions of Britons are off work long-term sick

«Who the f*** am I?» asks Roni Jones, from Cornwall, four years after the Easter weekend that ended her career.

The former NHS manager, charity chief executive and self-confessed workaholic once dismissed those off work with long-term sickness as «malingerers», «the worried well» or suffering from «yuppie flu».

But after she collapsed in her garden in 2021, she was diagnosed with a debilitating neurological condition, adding her name to the growing list of 2.8 million people off work due to long-term sickness.

«There’s always been this negative thing about people who don’t work. And I would have been part of that. Until it happened to me,» says Jones, 63, who lives with multisystem dysautonomia, a condition that causes her «bone-crushing» pain and fatigue.

«I can’t even conceive of being able on a regular basis to get up, get showered and get out of the house – never mind go and do a day’s work.»

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Sir Charlie highlights the absence of an effective and consistent support system for employers and employees in managing health issues and addressing barriers faced by disabled individuals, which he attributes to structural deficiencies.

He believes that these challenges are not insurmountable, stating, «What is missing is coordination, focus, and a coherent framework for change.»

Google is one of the 60 employers interested in a new initiative

Sir Charlie’s report advocates for a significant shift from the current model where health at work is primarily the responsibility of individuals and the NHS, to a model where it becomes a shared responsibility among employers, employees, and health services.

Employers are urged to prioritize prevention, support rehabilitation, and eliminate barriers for disabled individuals, according to his recommendations.

His message to employees is clear: «Work can be demanding. Setbacks are part of life. Health and work may not always align seamlessly, but they are mutually beneficial.» Supportive workplaces and personal responsibility are both crucial factors in promoting a healthy work environment. The government is urged to take action to enable and incentivize employers and employees to prioritize mental health and well-being. Collaboration across different departments and the implementation of workplace health provisions are essential steps in fostering a healthy working environment. Employers play a key role in preventing health issues, supporting employees, and promoting economic growth. By working together with the government and businesses, we can create a healthier and more prosperous society. Please rewrite this sentence. Please rewrite the following sentence for me. Please provide a statement for me to rewrite. Could you provide a different version of the text?

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