The Rising Cost of Ill Health: Why Occupational Health Matters More Than Ever

The UK is facing a quiet but serious shift in the world of work. More people are finding themselves unable to work because of health problems, and the impact is being felt across businesses, communities and the economy.

Recent findings from the Government’s Keep Britain Working review highlight the scale of the issue. Since 2019, around 800,000 more working-age adults are now out of work due to long-term health conditions. This rise has pushed the number of people leaving the workforce for health reasons to 2.8 million, which represents a 40% increase in just a few years.

Ill health has become one of the biggest reasons people are not working. More than one in five working-age adults are currently out of work and not looking for employment at all.

A Growing Economic Pressure

For employers, the cost is significant. Ill health is estimated to cost UK businesses £85 billion every year through sickness absence, reduced productivity and the challenges that come when people are not well enough to stay in work consistently.

There is a wider national cost too. With fewer people able to work and more people relying on health and welfare services, the strain on public finances and the NHS continues to build.

What’s Behind the Rise?

The review points to several worrying trends:

• Young adults are experiencing a steep rise in health conditions that limit their ability to work. Mental health challenges are particularly common in this group.
• Older workers are facing increasing levels of musculoskeletal problems.
• Many people now have several health conditions at the same time, which makes staying in or returning to work even more difficult.
• Once someone has been out of work for over a year because of ill health, returning often becomes much harder.

These patterns show why a new approach to workplace health is becoming essential.

Why Employers Have a Key Role

Employers cannot solve the country’s health challenges on their own, but the workplace is one of the most important environments for early action. This is where Occupational Health (OH) becomes vital.

Occupational Health services can support people at every stage of their working life, helping prevent health issues from becoming long-term problems and guiding employees back into work safely if they have been unwell.

Here are some of the ways OH can make a meaningful difference:

Early support for employees

Problems often start small. When employees have access to early support through management referrals, wellbeing checks or health risk assessments, they are much more likely to recover quickly and stay in work.

Creating safer and healthier working environments

OH professionals help employers understand where workplace risks might occur. Whether it is physical strain, stress, workload or working patterns, they can provide practical advice on adjustments that help keep people safe and well.

Helping people return to work

If someone has been off sick, a gradual and guided return to work can make a huge difference. OH can help plan phased returns, review duties and work with managers to make sure employees feel supported rather than pressured.

Building a culture where people feel able to speak up

Many employees do not mention health concerns until they reach a crisis point. When businesses foster a more open, supportive culture around health, people are more likely to ask for help earlier and avoid long-term absence.

The Human Impact

Behind every statistic is a person whose life is being shaped by their health. Long periods out of work can reduce confidence and limit future opportunities. The review highlights that a young adult who leaves the workforce at 22 due to illness could lose more than £1 million in earnings and pension contributions over their lifetime.

The effects go beyond financial costs. Work provides routine, connection and purpose, and losing those can be deeply challenging. This is why early intervention and supportive workplaces matter so much.

A Shared Responsibility

The Keep Britain Working review encourages employers, employees and Government to work together. Good workplace health cannot be delivered by one group alone. Employers play a leading role through strong Occupational Health support. Government policies and incentives can strengthen this. Employees who feel respected and understood are more likely to engage in support.

Why Now Is the Time for Action

If current trends continue, hundreds of thousands more people may become economically inactive because of ill health by the end of the decade. This would place even greater pressure on businesses trying to recruit and on public services trying to support those who are unable to work.

Taking action now gives employers a real opportunity to protect their workforce, maintain productivity and create a healthier, more sustainable working environment.

The Case for Occupational Health

Occupational Health is no longer simply a service that helps manage sickness. It has become a strategic part of keeping people well, supporting long and fulfilling working lives and reducing the economic challenges created by rising ill health.

By investing in OH, employers can create workplaces that are safer, healthier and better equipped to face the challenges ahead.

If you would like to start tackling sickness absence and improving health at work, Occupational Health services can provide practical support at every stage: Management Referrals, Onsite Assessments, Health Surveillance, Wellbeing Initiatives and Return to Work guidance.