ONS data shows rise in work-limiting health conditions largest factor to economic inactivity
Health & Wellbeing
May 19th, 2023
ONS data released this morning shows that a rise in the prevalence of work-limiting health conditions was the largest contributing factor to the rise in the economic inactivity over the period 2019-2022.
The figures demonstrate that while cost of living pressures and job vacancies have offset some of the rise in economic inactivity, there has been a significant deterioration of health. The number of people aged 16-64 reporting a work-limiting health condition increased from 15.4% (6.3 million people) in 2016 to 16.4% (6.8 million people) of this population in 2019.
Since the coronavirus pandemic, work-limiting health problems rose further, reaching 7.5 million in 2022, representing 18.1% of the population aged 16 to 64 years. Given that the prevalence of work-limiting health conditions has risen, this group's substantially higher inactivity rates serve to increase the overall inactivity rate among the population as a whole.
Brett Hill, Head of Health & Protection at leading independent consultancy Broadstone, commented: “There are an array of positive and negative factors that drive economic inactivity – from those who saved more during the pandemic and may have been able to retire earlier than expected to those who are struggling with the cost-of-living and must “unretire” to top up their income and pension pots.
“However, this research is further evidence that the deteriorating health of the nation is the primary driver of economic inactivity and is causing lasting damage to workforces up and down the country. Just this week, the labour market statistics uncovered that the number of people not working in the UK due to long-term sickness had risen to yet another new record of 2.55 million.
“With the public health service struggling in the aftermath of the pandemic, workers are finding it difficult to access the treatments that they need to make a quick recovery and return to the workforce which is pushing up economic inactivity.
“It is driving a growing business case for investment in healthcare with this issue now surging right to the top of the boardroom agenda. Chief Executives are recognising that they need to keep their staff fit and healthy to achieve growth, so we are expecting demand for private healthcare to continue to grow.”