New findings have revealed the critical role that physical activity plays in reducing healthcare costs and boosting the economy – with over £8 billion of savings made to the healthcare system by illness prevention.
Larissa Davies, Professor of Applied Sports Economics at Manchester Metropolitan University Business School and Institute of Sport played a key role in Sport England’s latest modelling of the social and economic impact of physical activity in England. The research builds on and extends the findings published in October last year.
The research unveiled that community sport and physical activity generate an estimated £122.9 billion in ‘social value’ per year, across England.
£106.9 billion can be attributed to improved wellbeing, as people live happier, healthier lives, with a further £15.9 billion in health value to wider society.
This includes £8 billion in direct net healthcare savings and nearly £6 billion in productivity gains from a healthier workforce.
It also estimates that physical activity prevents over 3.3 million cases of chronic health conditions annually, including 1.3 million cases of depression, 900,000 cases of back pain, and 700,000 cases of type 2 diabetes.
The report emphasised the benefit of investing in sport and exercise, with every £1 spent generating a return of £4.38 for individuals and society.
Professor Larissa Davies said: “Our research demonstrates that physical activity is not just good for health – it’s a powerful economic driver. Every pound invested in sport and exercise delivers more than four times its value back to society, through reduced healthcare costs improved wellbeing, and a healthier workforce.
“These findings provide compelling evidence for continued investment in opportunities to be active, particularly for those facing the greatest barriers.”
Regionally, the research uncovered that within the North West, £15.83bn of social value is generated by sport annually, with £5.98bn in the Greater Manchester area.
The report also found that if the least active groups in society matched the activity levels of the most active, then a potential extra £20 billion of social value could become available.
The report calls for more to be done to tackle inequalities and support those living with the biggest barriers to being active.
Chris Boardman, Chair of Sport England, added: “Inactivity is quietly draining our economy, health system and our communities – but we can change that. Excitingly, the solution is right in front of us: movement. With a return on investment of more than four to one, billions can be saved in healthcare, our workforce will be more productive, and quality of life improved for millions.”
The findings from the report were made via in-depth analysis of Active Lives survey data, a unique and comprehensive view of how people interact with physical activity, alongside reviewing wider evidence for the health benefits of being active, such as the costs associated with the treatment and care of illness and poor health.
Professor Chris Whitty, Chief Medical Officer (CMO) for England, said: “Increasing physical activity has health benefits across the life course, it is one of the best things we can do to stay healthy and independent throughout our lives. Those living in the most deprived areas have avoidably shorter lives and longer periods of preventable ill health, therefore the health and social benefit of even small amounts of physical activity is greater in these areas.
“The stark findings on inequalities in activity level highlighted throughout this report show that more needs to be done to remove barriers and support particular deprived groups to engage in sport, exercise and wider physical activity.”
The research is part of Sport England’s second year of modelling the social value of sport and physical activity, in partnership with Sheffield Hallam University and State of Life.
The report can be found in full here: Social value and return on investment of sport and physical activity | Sport England
