Investing in early mental health support for children and young people could generate £14 of economic benefits for every £1 spent, according to a new report that warns more than two-thirds of young people with mental health needs are not receiving appropriate help.
The analysis, published by Pro Bono Economics in partnership with The Children’s Society, found that expanding universal, targeted and treatment support to all 2.2 million young people aged 10-17 who need it would cost around £4.1bn annually, but could deliver up to £56bn in economic benefits.
These benefits include:
- £15bn in increased lifetime earnings for young people, driven by improved educational attainment and better employment outcomes.
- More than £1bn as parents are able to return to work or become more productive
- Over £300m in savings to public services;
- Around £39bn in improved wellbeing for young people and their families, based on Treasury approaches to valuing quality of life
Currently more than one in six young people (17%) are ‘significantly struggling” with mental health needs, while a further 16% are ‘starting to struggle’, experiencing difficulties that, if left unaddressed, may worsen over time. Around 200,000 young people are at crisis point, requiring urgent clinical intervention.
The proportion of young people experiencing severe mental health needs has grown substantially. The share significantly struggling rose from 10.2% in 2017 to 14.2% in 2023, while those at crisis point nearly doubled from 1.8% to 3.5% over the same period.
The report warns that without earlier intervention, young people’s needs can become entrenched. Among those significantly struggling in 2022, nearly a third deteriorated to crisis point within a year, while more than two-thirds of those already at crisis point remained there a year later.
Significantly, the analysis found that the return on investment is highest for the earliest types of support – those delivered before problems escalate into crisis. Universal support delivered to all young people could generate around £40 of benefits for every £1 spent, compared with £15 for targeted support and £5 for treatment.
The CEO of the Children’s Society, Mark Russell OBE said: ‘For too long, young people have been left to navigate an increasingly changing world with a support system that hasn’t kept up. These gaps in support cannot become the norm. And it doesn’t make sense – neither for the young people being let down; our public purse; or the general progress of society. This issue cannot be ignored any more, not only does this support gap need to be urgently filled, it needs to come alongside wider systems change at the very core of our society.’
However, the report concludes that expanding services alone will not fully reverse the decline in young people’s mental health, which reflects broader changes in their lived experiences: academic pressures, economic insecurity, social media exposure and the lasting social consequences of the pandemic.
The full report can be read here.
Photo: Matthew Ball
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