The government has published its Keep Britain Working report following an independent review led by Sir Charlie Mayfield.
The initiative will focus on prevention, early support, and better returns to work, helping more people stay in employment and boosting disability inclusion across the UK.
More than 60 major and many small employers are joining forces with the government to tackle the rising tide of ill-health that is pushing people out of work and holding back growth.
The joint effort will drive action to prevent ill-health, support people to stay in work, and help employers build healthier, more resilient workplaces.
Published today, the landmark Review sets out the stark reality facing the UK. One in five working-age adults are now out of the labour force – 800,000 more than in 2019 due to health reasons, with employment among disabled people standing at 53%, below leading OECD nations.
The cost of ill-health that prevents work equals 7% of GDP – nearly 70% of all income-tax receipts - and employers lose 85 billion a year from sickness, turnover, and lost productivity
In response, the government will partner with employers to reshape how health issues and disabilities are managed in the workplace with the launch of employer-led Vanguards.
Vanguards are early adopters who will develop and refine workplace health approaches over the next three years to build the evidence base for what works.
They’re committing to embracing the report’s healthy working lifecycle - which aims to reduce sickness absence, improve return-to-work rates, and increase disability employment rates – which the government will work towards developing into a voluntary certified standard by 2029.
Catherine Foot, director of the Standard Life Centre for the Future of Retirement, said: “We welcome the publication of the Keep Britain Working Review as there is a clear need for reform to tackle economic inactivity due to ill-health and disability. The scale of the challenge is significant, with over 8.7 million people in the UK living with work-limiting health conditions – including an increase of 900,000 in those aged 50–64 since 2015. The review rightly highlights that small changes won’t be enough; we need coordinated action across government, employers, and health services to create better pathways into and back into work.
“Enabling people in their 50s and 60s to enter and stay in good work is not only vital for national economic growth, it’s also essential for individual financial resilience. Supporting longer working lives helps people continue earning and saving, reducing the risk of pre-retirement poverty and the need to draw down pensions too early.
"Promoting longer, healthier working lives in all age groups is good for the economy, businesses and workers, and good quality work also plays a vital role in enabling better, longer lives and enabling individuals to benefit from improved mental and financial health as they journey towards retirement. We look forward to working with the government on the review findings as well as other proven interventions such as flexible work, paid carers leave and reforms to adult careers guidance."
Katharine Moxham, spokesperson for Group Risk Development (GRiD), commented: “Helping employees stay in and return to work, particularly the sick and disabled, has long been a focus for the group risk industry, and, as such, GRiD has appreciated the opportunity of working collaboratively with Sir Charlie Mayfield to demonstrate the value of the vocational rehabilitation model for employers, their employees and the state.
“The report recommends that more employers adopt a Workplace Health Provision model which encompasses case management, early intervention and stay-in and return-to-work plans. It further suggests that, as currently, this should be funded by employers and delivered by the existing eco-system of providers, such as group income protection insurers.
“The strong acceptance by Government of the report’s recommendations constitutes clear recognition that the vocational rehabilitation and case-management services - such as those offered by group income protection insurers to help clients' employees maintain their health, and facilitate their return to work - represent best practice. It’s encouraging that Government wants to see wider adoption of such an approach, which would benefit individuals, businesses, and the wider economy.
“GRiD and its members look forward to the continued partnership between employers, providers and Government, which is envisaged in the Vanguard phase, and working further with Sir Charlie Mayfield, the new Workplace Health Intelligence Unit and across Government to refine how this will work in practice.”
Ian Talbot, CEO at Healix Health, said: “As we await the release of Charles Mayfield’s vital Keep Britain Working review this week, new data from the Royal Society of Public Health warns that 600,000 more people will leave the British workforce in the next decade due to long-term health conditions without more being done by employers to help staff wellbeing.
"This projected 26% increase would represent the equivalent of the entire city of Bristol leaving the workforce, costing the UK £36bn a year. As the CEO of a Bristol-headquartered business specialising in corporate healthcare, this issue clearly resonated with me.
"Investment in employee health and wellbeing shouldn’t be a burden. It should be something that is both necessary and value-creating for employers. What we have to figure out is how to create an environment where more employers feel and experience that investment as a positive.
"Flexible solutions like corporate healthcare trusts are part of the solution, but only part. We are looking for positive action from the government on this vital issue to drive growth in the economy and to show employers why it matters to them."
Dr Subashini M, medical director at Aviva UK Health, added: “We welcome the recommendations in the Keep Britain Working report and Aviva is proud to play an active role in shaping the future of workplace health and wellbeing.
“We strongly support the report’s emphasis on prevention, early intervention, and rapid rehabilitation in the workplace. These measures are essential to tackling economic inactivity and improving the health and resilience of the UK workforce.
“By working together, employers and Government can deliver meaningful change improving the health of the UK workforce and helping more people stay well and at work.
“Supporting employee health and wellbeing is not only vital for individuals, but fundamental to the long-term sustainability and growth of UK businesses.
“Group private medical insurance and group income protection play a critical role in this effort. The report highlights the importance of active case management, return to work plans and rehabilitation services in helping employees return to work when there is an ill-health absence. In fact, it goes further by saying there should be widespread adoption by UK employers of this approach to supporting employees. This approach is fundamental to the group income protection offer and so we are pleased to see this highlighted as best practice and for Government to agree its use should be widespread.
“The report also focuses on prevention and early-intervention to actively support the wellbeing of employees which are key aspects of group private medical insurance. When used effectively, both can help to reduce absence, improve productivity, and contribute to a healthier, more resilient workforce.
“Overall, the report is a truly positive step for employers and providers alike, will improve employee workplace health and we look forward to continuing to share our insight and playing an active role in helping to build a healthier, more productive workforce across the UK.”
