The number of people out of work due to long-term illness remains close to record levels, adding further pressure to the UK labour market and raising concerns about workforce participation.
According to the latest data from the Office for National Statistics (ONS), around 2.8 million people are now economically inactive due to long-term sickness, a figure that has remained persistently high in recent months.
The trend highlights a significant shift in the labour market since the pandemic, with long-term illness now one of the leading causes of economic inactivity in the UK.
A Shrinking Labour Pool
The rise in long-term sickness is reducing the size of the available workforce at a time when many employers continue to report recruitment difficulties.
While unemployment remains relatively low, the number of people actively seeking work is also lower than pre-pandemic levels. This has created a tighter labour market, where businesses are competing for a smaller pool of candidates.
Sectors such as healthcare, education, and logistics are particularly affected, as they rely heavily on experienced workers who may be more vulnerable to long-term health conditions.
A Structural Shift Since the Pandemic
The increase in economic inactivity linked to illness has been one of the most notable changes in the UK labour market over recent years.
ONS data shows that long-term sickness has overtaken other factors, such as early retirement, as a primary reason for people leaving the workforce.
Health experts point to a combination of factors driving the trend, including the long-term impact of COVID-19, delays in accessing healthcare, and a rise in mental health-related conditions.
This suggests that the issue is not temporary, but part of a longer-term structural shift that could continue to affect labour supply.
Impact on Employers
For employers, the reduction in workforce participation is contributing to ongoing recruitment challenges.
Fewer available workers means roles can take longer to fill, while increased competition for staff can drive up wages in certain sectors.
At the same time, businesses are facing additional pressure to support employees with health conditions, including adjustments to working environments and greater flexibility.
Some organisations are responding by investing more in employee wellbeing and retention strategies, recognising that keeping existing staff is becoming as important as hiring new workers.
Barriers to Returning to Work
For those affected by long-term illness, returning to work can be difficult.
Barriers include limited access to flexible roles, a lack of suitable adjustments, and concerns about managing health conditions in the workplace.
There are also challenges around confidence and re-entry, particularly for individuals who have been out of the workforce for extended periods.
Experts have highlighted the need for more tailored support to help people transition back into employment, including rehabilitation programmes, flexible working options, and employer-led initiatives.
Uneven Impact Across the Workforce
The effects of long-term sickness are not evenly distributed.
Certain groups, including older workers and those in physically demanding roles, are more likely to be affected. There are also links to socioeconomic factors, with individuals in lower-income roles often facing higher health risks and fewer opportunities for flexible work.
This raises broader concerns about inequality within the labour market, particularly where health-related inactivity limits access to employment.
Wider Economic Implications
The rise in economic inactivity due to illness has implications beyond individual workers and employers.
A smaller workforce can limit economic growth, reduce productivity, and place additional strain on public services.
It also affects government revenues, as fewer people in work means lower tax contributions and higher demand for support.
Looking Ahead
Addressing the rise in long-term sickness will require a coordinated approach across health services, employers, and policymakers.
Improving access to healthcare, supporting workplace adjustments, and expanding flexible working options are all seen as key to helping more people return to work.
At the same time, employers may need to rethink how roles are designed, ensuring they are accessible to a wider range of workers.
The latest figures underline a growing challenge for the UK labour market: not just creating jobs, but ensuring that people are able to participate in the workforce in the first place.
Kim Cockayne