“Today’s data on the number of economically inactive people should be ringing alarm bells loud and clear for businesses up and down the country.” said Brett Hill, Head of Health and Protection at leading independent consultancy Broadstone.
 
Analysis of the data found that the number of economically inactive people rose by 7,000 amongst those aged 16 and above, and increased by 4,000 for those aged 50-64 through July to September 2023. This equates to nearly 20 million economically inactive people aged 16 and above (19.7m) and 3.5 million economically inactive older workers.
 
In the three months to July this year, economic inactivity due to ill-health rose to 2.6 million, emphasising that poor health remains a driving force behind surging economic inactivity levels.
 
“Ill-health is tightening its grip on the workforce at an alarming rate.” He said.  
 
“The crippling impacts of the NHS crisis on access to diagnosis and treatment is forcing up economic inactivity at an eye-watering rate, with the latest figures nearly 700,000 higher than pre-pandemic levels in December to February 2019 (19m).
 
“Each month it appears that more and more people are falling out of work due to debilitating long-term illnesses, and as the problem continues to balloon, we are seeing an increasing number of employers recognise the threat that wilting retention levels – particularly amongst older workers - pose to corporate growth.
 
“In response, many employers are broadening their health & wellbeing programmes to embrace preventive strategies as well as tackling treatment needs when they arise.
 
“They are expanding the membership of company-funded Private Medical Insurance schemes while also implementing preventative measures like health screening and occupational health services, to fast-track the recovery of their staff when ill while reducing the risk of ill health impacting their workforce in the future.
 
“With winter on its way this trend may be about to accelerate. We expect to see more employers face the worsening health of their employees head on with more flexible and holistic health and wellbeing packages in a bid to retain their more experienced employees and future-proof growth.”
 
Labour market overview, UK - Office for National Statistics (ons.gov.uk)