PTSD costs the UK economy £40 billion a year, new research says
New research into the economic impact of Post-traumatic stress disorder has found that average annual costs exceed £14780 per person, which at current prevalence rates equates to £40 billion.
Post-traumatic stress disorder (PTSD) is a significant anxiety disorder that can be triggered as a result of witnessing or experiencing a traumatic event or events. It is estimated that across the UK military and civilian population, 4% of people – or 2,612,000 individuals – have PTSD, with a total of 6,665,000 people expected to develop PTSD at some point in their life.
Despite increased awareness of mental health conditions and the increased prevalence of PTSD, the disorder continues to be misunderstood, misdiagnosed and stigmatised, and the cost to the UK economy has been unknown.
Now, new research from the University of Birmingham has found that the economic and societal burden of PTSD in the UK is far greater than previously understood.
The research was funded by Supporting Wounded Veterans and The Veterans Foundation, and published in BMJ Open.
Paul Montgomery, Professor of Social Intervention at the University of Birmingham, said: “Health and well-being can have significant impacts not only on individuals’ economic situations, but also on the wider UK economy. Appointments, treatment, missed work and other related issues can all add up quickly. The impact that poor mental health can have on the economy has been recognised by successive governments, with various pledges being made to reduce this cost. But, now for the first time, we have a more detailed and current picture of what part of that previously unknown cost is when it comes to PTSD.”
The researchers analysed databases for different types of quantitative data that evaluated the direct and indirect economic and societal costs related to PTSD from 1990-2023.
Direct costs included hospital (inpatient beds), medication, general practitioner/doctors, treatment for alcohol and/or substance abuse, psychiatrists, psychologists, and counsellor costs.
Indirect costs include homelessness, disability living allowance, unemployment allowance, productivity loss at work (absenteeism and presenteeism), home-care workers, social workers (mental health), and premature mortality.
The researchers found that the annual average direct excess costs for a patient with PTSD in the UK is approximately £1,118, whilst the average indirect cost is £13,663 per year, totalling £14,781, with a range from around £11,373 to £16,797. Based on the prevalence figures for PTSD, this comes out at an average annual cost to the UK economy of £40 billion.
Siddhartha Bandyopadhyay, Professor of Economics, explained: “Despite this detailed breakdown of costs and this high figure, there are other factors that may add further costs which we are not able to provide figures for. It is incredibly hard to measure the cost of stigma and discrimination, which could lead to reduced income and a higher dependence on social security assistance. There may also be an increased cost relating to criminal justice, relationship and family support services, and education. This suggests that the actual costs of PTSD on the economy may well exceed that £40 billion figure.”
The researchers also acknowledge that PTSD is often present with other mental health conditions, so disentangling one condition from the other is difficult, and the severity of PTSD can vary from person to person.
Professor Montgomery concluded: “PTSD affects millions of people in the UK, and as a result of the COVID-19 pandemic, it is anticipated that there will be a rise of 77,000 cases per year. This presents even more demand for social and economic services and further increases in the associated costs.
“If the government is serious about reducing the cost of poor mental health and well-being on the economy, then collecting high-quality and accurate cost data, developing more effective therapies and expanding evidence-based interventions for PTSD should be a key part of that plan.”
