New research conducted by the University of Birmingham has revealed that post-traumatic stress disorder (PTSD) imposes a staggering financial burden on the UK economy, with average annual costs exceeding £14,780 per person. This figure, when multiplied by current prevalence rates, translates to a nationwide economic impact of approximately £40 billion each year. The study, funded by Supporting Wounded Veterans and The Veterans Foundation and published in BMJ Open, marks the first time such a comprehensive and current analysis of PTSD’s economic footprint in the UK has been undertaken.

PTSD is a severe anxiety disorder that can develop following the experience or witnessing of traumatic events. It affects individuals from all walks of life, with approximately 4% of the UK population—equating to around 2.6 million people—currently living with the condition. Over a lifetime, it is projected that over 6.6 million people in the UK will experience PTSD. Despite growing public awareness of mental health issues, PTSD remains widely misunderstood and misdiagnosed. Until now, its actual economic cost to society has been largely speculative and underestimated.

The Birmingham research team drew on data from multiple databases covering the period from 1990 to 2023, analysing both direct and indirect costs associated with PTSD. Direct costs include healthcare services such as hospital admissions, GP appointments, medication, and specialist treatments involving psychologists, psychiatrists, and counsellors. Indirect costs encompass broader social and economic factors, including unemployment, loss of productivity, homelessness, disability, unemployment benefits, home care, social services, and premature death.

Findings from the study estimate that the average annual direct cost for someone with PTSD is about £1,118, while indirect costs are significantly higher, reaching £13,663 per individual each year. Together, these costs amount to £14,781 per patient annually. When these per-person figures are scaled up to reflect the national prevalence of PTSD, the total cost reaches the £40 billion mark—a figure that challenges previous assumptions about the disorder’s economic toll.

Professor Paul Montgomery, one of the lead researchers and a professor of Social Intervention at the University of Birmingham, underscored the significance of these findings. He noted that while policymakers have long acknowledged the financial impact of poor mental health, this research provides a granular understanding of PTSD’s specific contribution to that burden. He emphasised the urgent need for better data collection and more effective treatments, arguing that such efforts must be prioritised if the UK is to address the growing cost of mental health disorders.

Fellow researcher Professor Siddhartha Bandyopadhyay added that even this comprehensive analysis likely underrepresents the full economic impact of PTSD. Stigma, discrimination, and co-occurring mental health conditions complicate the picture and contribute to unmeasured costs, such as reduced earning potential and increased reliance on public assistance. There may also be hidden expenses related to criminal justice, family breakdown, and educational support. As PTSD rates are expected to climb—particularly due to long-term effects of the COVID-19 pandemic, which may add tens of thousands of new cases annually—the researchers call for robust, evidence-based mental health interventions to prevent the economic toll from growing even larger.

More information: Paul Montgomery et al, Economic burden of PTSD in the UK: a systematic review and economic analysis, BMJ Open. DOI: 10.1136/bmjopen-2024-084394

Journal information: BMJ Open Provided by University of Birmingham