Waiting time for thousands of people in the UK during the mental health crisis has cut waiting time, which can help employment and save the government £1 billion a year.

According to research from Lancaster University, providing faster treatment across England through the NHS will help improve the health of hundreds of thousands of people while bringing economic benefits to the country.

Professor Roger Prudon found in a new study published in the latest edition of the Economics and Statistical Review Review that a one-month delay at the start of mental health treatment resulted in 2% of patients losing their jobs.

Prudon drew on data from waiting time in the Netherlands between 2012 and 2019, saying a month-on-month reduction could help up to 80,000 people get treatment, saving more than 300 million euros (£253 million) in unemployment-related expenses each year.

He said that given the comparable prevalence of mental health problems, the same calculations could be done in the UK, as well as treatment times and economic and public finance costs similar to unemployment.

The larger UK population will mean a month’s waiting time each year, which can help up to 300,000 people a year and save about £1 billion in lost income tax and unemployment benefits spending.

“In the UK, there is little data on NHS mental health treatments related to employment outcomes, so despite the different settings in the Netherlands, the health care system is similar to the UK and both countries face a growing demand for mental health treatments and a backlog of extended waitlists,” he said.

“Applying this calculation to the UK based solely on population size could potentially save about £1 billion a year.”

Ministers are working to significantly reduce the long waiting time for patients in England and plan to reduce the backlog of elective hospital treatment and provide more appointments through a seven-day health centre.

However, charities warn that the plan does not currently include any commitment to addressing mental health services. According to a study by charities that rethink mental illness, people are eight times more likely to wait for mental health treatment for more than 18 months.

The government is also prioritizing NHS reforms and cuts to the wait list to boost employment, aiming to boost economic growth and cut the welfare bill, a record number of adults leaving the workforce due to health issues.

Official data show that around 3.8 million people in England are in contact with NHS mental health, learning disabilities and autism services, almost two-fifths compared to before the pandemic.

Pruton said that in the Netherlands, about 1 million people are in contact with mental health problems. To reduce the waiting time by one month, he said about 100 additional psychiatrists or psychologists would be needed, about 10 million euros (£8.4 million) a year.

Due to the large population, many additional mental health professionals are needed in the UK. But, Pruton said Rachel Reeves' budget extended and the economy's savings will significantly outweigh the cost.

He added: "The issue of waiting time is not new in the UK and the Netherlands. This is a problem for at least a decade. But what is lacking in the debate so far is what people say, "Well, it's important." However, there is another economic case.

“If we invest more in mental health, it’s not that we’re just losing money. In the long run, this will save a lot of money by retaining more workforces.”

A government spokesman said: “The government has inherited a broken mental health system and there are too many waiting lists that have blocked employment. Our shift to prevention and our welfare reforms will help more people return to work and boost economic growth.

“We are changing mental health services through a change program, investing £680 million this year, hiring more staff, providing more speech therapy and cutting mental health waitlists.”