- UK has the potential to unlock £8 in socio-economic returns for every £1 spent on preventive healthcare, according to new Deloitte analysis;
- Increasing prevention spend from current 6% to 10% could lead to £42 billion of savings to the UK healthcare system in 10 years;
- A 7% reduction in preventable deaths could save over 5,400 lives annually, with a societal value of £6 billion.
The UK has the potential to unlock £8[1] in socio-economic returns for every £1 spent on preventive healthcare, according to a new health report by Deloitte.
Analysis in the report: ‘The shift to prevention: Realising the socio-economic potential’, included the review of 100 published papers estimating the return on investment (ROI) from prevention at different life stages. It found that the UK - across multiple groups including individuals, their families, the healthcare system, employers and wider society - stands to gain £8 ROI for every £1 spent on prevention.
UK spending2 on prevention has been around 6% of total health expenditure for over a decade the report revealed, and increasing this to 10% could yield £42 billion3 returns in 10 years.
Deloitte’s analysis also found a 7% reduction4 in preventable deaths could save over 5,400 lives annually, add 15 healthy lived years per life saved, and generate £6 billion in socio-economic returns each year. Mental health initiatives by employers could also help return £4.705 for every £1 spent through reduced absenteeism and higher productivity, according to the report.
Elizabeth Hampson, partner at Deloitte and report author, said: "Preventable ill-health is a tragedy for thousands of families. With over 75,000 deaths in England6 each year attributable to preventable conditions, and healthy life expectancy stagnating at just under 62 years 7, our analysis shows that prevention isn't just about saving lives, it's about building a more productive and resilient nation."
The report found that early interventions offer the most substantial returns. Deloitte estimates that for every £1 invested in early-life prevention, such as maternal health, oral health, diet, exercise, and vaccination, could yield a £13.50 return 8. For later-life interventions, such as frailty, loneliness, and respiratory disease, these could return £5.30 for every £1.
Short-term view on prevention creates long-term losses
A key barrier to increased investment is the short-term nature of current appraisal methods. Interventions are often evaluated over periods far shorter than their actual impact, according to the report.
The Deloitte analysis found that childhood interventions, which impact outcomes for 70-80 years, are typically appraised over only 20-25 years 9, missing the full payoff in education, earnings, long-term health, and care needs. Studies of working-age interventions, often employer-led, frequently measure returns over only 1-2 years and tend to focus on productivity, without considering wider impacts.
"This approach systematically undervalues prevention," Hampson added. "It creates a structural bias where acute care appears more valuable because its benefits are immediate and easily measured, while prevention's long-term, cross-sector payoff is often ignored.
“Only when appraisal horizons are expanded and the range of benefits assessed, will we truly capture prevention’s immense societal value. The benefits will then be far reaching for families, employers, and wider society - not just direct healthcare cost savings."
Liz Hampson, Deloitte Partner and author of the report.
[1] The Return on Investment (ROI) from each of the 100 papers reviewed and included in the analysis was set out, then summarised as an average across life stage, and intervention theme within life stage (based on prevalence data). The weighted average ROI was c. £8 for every £1 spent. As set out in the report, this includes valuing the benefits across a range of stakeholder groups: individuals, friends and family, the health system and wider society.
3 The ONS National Health Accounts data (Healthcare expenditure, UK Health Accounts - Office for National Statistics) sets out that currently, total expenditure on preventive care in the UK is around 5%-6% of total healthcare expenditure (around £17 billion across all financing routes). If increased to 10%, this would represent an increase of around £14 billion. If an ROI of £3 for every additional £1 spent could be realised, this would lead to a £42 billion return to the healthcare system in ten years.
4 As set out in the Appendix of the report, to estimate the societal value of avoided mortality, the report looked at data on mortality rates from preventable cases (age-standardised rate per 100,000 population aged under 75) from the ONS: Avoidable mortality in England and Wales - Office for National Statistics. Comparing the UK with its five closest European countries included in the OECD dataset (Health at a Glance: Europe 2024 (EN)) showed that a 7% reduction in the UK’s preventable mortality rate would be required to be in line with the average of these five countries: Belgium, France, Germany, Ireland and the Netherlands.
5 Based on the Deloitte report: ‘Mental health and employers: The case for employers to invest in supporting working parents and a mentally healthy workplace’.
6 Avoidable mortality in England and Wales - Office for National Statistics
7 Based on the ONS data: Healthy life expectancy in England and Wales - Office for National Statistics. It sets out that in England, a men could expect to spend 61.5 years of their lives in good health and women 61.9 years.
8 The Return on Investment (ROI) from each of the 100 papers reviewed and included in the analysis was set out, then summarised as an average across life stage, and intervention theme within life stage (based on prevalence data). The £13.50 for every £1 spent is the weighted average impact for the in-utero to 5-year age group. The £5.30 return for every £1 spent is the weighted average impact for the older community and social care group.
9 This is based on the average appraisal period considered in the papers reviewed for the in-utero to 5-year age group (approximately 20 years) and the school and education group (approximately 25 years).
About this research
This report, The shift to prevention: Realising the socio-economic potential, explores how the UK can unlock the full value of prevention. It examines why and where to invest, current underinvestment, potential achievements with greater investment, and how funding models can be reformed. The analysis includes a review of 100 published papers estimating the Return on Investment (ROI) from prevention at different life stages.
This is the second report following a previous report with Google and The Royal Society: The shift to prevention: A new ecosystem of health promotion and protection.