Number of long-term sick hits record high of 2.6 million

Published

2 years ago

September 13, 2023

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The level of illness among the UK population is costing lives and harming the economy, a report has warned – after the number of people off work due to long-term sickness hit another record high.

More than 2.6 million people now do not have jobs because of their health, according to latest employment data from the Office for National Statistics (ONS).

The all-time high comes after an additional 491,433 adults were added to the official total in the three months from May to July, figures released on Tuesday revealed.

The Institute for Public Policy Research (IPPR) said in a report on Wednesday that the issue had become a “serious fiscal threat” to the UK – and to individuals’ health.

The think tank blamed long NHS waiting lists and other problems faced by the public in accessing treatment, and said reform was urgently needed to avert “killer” costs while also ending second-rate care.

It comes after the number of patients in England waiting to start routine hospital treatment topped a record high of 7.6 million.

People aged between 16 and 64 who are not in employment due to long-term sickness are officially classed as “economically inactive”, rather than unemployed, because they are either not looking for a job or are unable to work.

Overall economic inactivity – including students in the age range and those not seeking employment for other reasons – rose by 0.1 percentage points during the period to 21.1%, according to the official figures.

The ONS said that while the rate had generally been falling in recent decades, it increased during COVID and is currently still above pre-pandemic levels.

The IPPR pointed the finger at what it said was a decline in the quality of health care – and said the UK was increasingly “spending more to get less”.

“The number of deaths that could have been avoided with timely healthcare or public health interventions is much higher in the UK than in all other comparable European nations,” the report said.

“We estimate that if the UK had an avoidable mortality rate similar to those in comparable European countries, around 240,000 fewer people would have died in the decade from 2010.”

It added: “On the post-pandemic trajectory, new modelling commissioned for this report finds government healthcare spending in England is on course to rise from 9% of GDP [gross domestic product] to 11.2% of GDP by 2033/34.

“This is much faster than the rate at which we expect the economy to grow, suggesting cuts for other public services or rationing of health and social care services.”

The think tank said reforms, such as better integrated services in neighbourhood “health hubs” and improvements to social care, along with better pay and rights for healthcare workers, could save taxpayers up to £205bn over a decade.

Lord Bethell, former health minister and commissioner, said: “Sick Britain is costing us our lives, our livelihoods and harming the UK economy.”

He added: “We must start taking action to reduce demand and need for healthcare, through prevention.”

Downing Street acknowledged on Tuesday that improvements were needed in tackling long-term sickness.

The prime minister’s official spokesman told reporters: “We recognise there is more to do to help get people back into work or into the workforce more generally.”

He added: “We are introducing a package of measures worth £3.5bn to remove barriers to the labour market, to support people who would like to work including those with disabilities or health conditions.”

But Nicola Smith, head of economics and rights at the TUC, said: “This is yet another example to add to the government’s catalogue of economic failures with rapidly rising unemployment alongside record numbers of people unable to find work because of ill health.”

The government recently unveiled proposals to shake up disability benefit assessments as part of efforts to encourage economically inactive people to enter the workforce.

But concerns have been raised that the reforms could force people into jobs when they are not well enough and make them more ill.

Hannah Slaughter, a senior economist at the Resolution Foundation, described the rising number of people who are too sick to work as a “worrying trend”.

She added: “Addressing this issue will require more than just reforms to benefit assessments, it will need to mean more support for those in work too.”

Politics

Plan to tackle rough sleeping unveiled – but charities say it doesn’t go far enough

Published

1 hour ago

December 11, 2025

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Plan to tackle rough sleeping unveiled - but charities say it doesn't go far enough

Homelessness charities have warned that ministers are “falling short of what is desperately needed to end Britain’s homelessness crisis”.

It comes as the government published its new plan to tackle rough sleeping in Britain, which pledges £3.5bn of funding to crackdown on the issue.

But charities have said Labour’s National Plan to End Homelessness “falls short” and contains “important gaps”, meaning the party will not be able to achieve their stated goal of halving the number of homeless people by 2029/30.

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Crisis, an organisation that supports the homeless, also argues that only £100m of the funding announced in the strategy is new.

Meanwhile, Labour MP Paula Barker, who co-chairs the All-Party Parliamentary Group (APPG) for ending homelessness, has told Sky News that the strategy has a “depressing lack of meat on the bone”, looks like it has been “rushed out”, and has left her “disappointed”.

It comes as Shelter warns that 382,618 people in England – including a record 175,025 children – will be homeless this Christmas, equivalent to one in every 153 people.

What does the government’s plan to reduce rough sleeping involve?

The government has made three key pledges in its new plan, unveiled on Wednesday evening.

It says that it is aiming to halve the number of long-term rough sleepers by the end of the parliament, reduce the time families spend living in bed and breakfasts (B&Bs), and prevent more people from becoming homeless in the first place.

To achieve this, the party has set out numerous new measures, schemes and extra funding.

A new £124m supported housing scheme is also being established, and the government hopes that it will help get 2,500 people in England off the streets.

Housing Secretary Steve Reed said homelessness is “one of the most profound challenges we face”, and suggested that the strategy will build “a future where homelessness is rare, brief, and not repeated”.

How has the plan been received?

Ms Barker told Sky News she welcomes “the scale of investment”, but is “disappointed by what I have seen”.

The Labour MP explained: “From what I have seen so far, it leaves more questions than it answers – where are the clear measures around prevention? Where is the accommodation for people sleeping rough coming from – has it already been built? What about specialised provision for those fleeing domestic abuse?

“We needed this strategy to be bold.”

Meanwhile, organisations working to support those on the streets have welcomed the plan for its focus on the issue, but warn it leaves it “almost impossible” for many families to avoid homelessness.

Matt Downie, the chief executive of Crisis, said: “Housing benefit remains frozen until at least 2030; there is no coherent approach for supporting refugees and stopping them becoming homeless; and we hear no assurances that the new homes government has pledged to build will be allocated to households experiencing homelessness at the scale required.

“There is a long way to go. Ministers are taking steps in the right direction, but falling short of what’s desperately needed to end Britain’s homelessness crisis.”

Sarah Elliott, head of Shelter, also warned the proposals do not go far enough, saying: “Until a lot more of these social homes are built, one of the only ways to escape homelessness is if you can afford to pay a private rent.

“We know from our frontline services this is almost impossible to do when housing benefit remains frozen, and that is where the homelessness strategy falls short.”

Centrepoint, a charity that supports young people facing homelessness, said that the strategy is “an important step”, and could be “transformative”. But it added that “gaps in the government’s approach remain”, and said increases in funding “don’t face up to the scale of homelessness”.

The Conservatives have said that the strategy means Labour “has completely failed on homelessness”.

Paul Holmes, shadow housing minister, said the number of households and children in temporary accommodation has risen to “record levels”, and pointed to the government’s “abysmal record on house-building” and tackling immigration.

Politics

Australian regulator eases rules for stablecoins and wrapped tokens

Published

1 hour ago

December 11, 2025

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Australian regulator eases rules for stablecoins and wrapped tokens

Australia’s securities regulator has finalized exemptions that will make it easier for businesses to distribute stablecoins and wrapped tokens.

The Australian Securities and Investments Commission (ASIC) on Tuesday announced the new measures, aimed at fostering innovation and growth in the digital assets and payment sectors.

It stated that it was “granting class relief” for intermediaries engaging in the secondary distribution of certain stablecoins and wrapped tokens.

This means that companies no longer need separate, and often expensive, licenses to act as intermediaries in these markets, and they can now use “omnibus accounts” with proper record-keeping.

The new exemptions extend the earlier stablecoin relief by removing the requirement for intermediaries to hold separate Australian Financial Services (AFS) licenses when providing services related to stablecoins or wrapped tokens.

Leveling the playing field for stablecoin issuers

The regulator stated that these omnibus structures were widely used in the industry, offering efficiencies in speed and transaction costs, and helping some entities manage risk and cybersecurity.

“ASIC’s announcement helps level the playing field for stablecoin innovation in Australia,” said Drew Bradford, CEO of Australian stablecoin issuer Macropod.

“By giving both new and established players a clearer, more flexible framework, particularly around reserve and asset-management requirements, it removes friction and gives the sector confidence to build,” he continued.

The old licensing requirements were costly and created compliance headaches, particularly for an industry awaiting broader digital asset reforms.

“This kind of measured clarity is essential for scaling real-world use cases, payments, treasury management, cross-border flows, and onchain settlement,” added Bradford.

“It signals that Australia intends to be competitive globally, while still maintaining the regulatory guardrails that institutions and consumers expect.”

Angela Ang, head of policy and strategic partnerships at TRM Labs, also welcomed the development, stating, “Things are looking up for Australia, and we look forward to digital assets regulation crystallizing further in the coming year — bringing greater clarity to the sector and driving growth and innovation.”