Ahead of the Federal Budget, economic modelling commissioned by the Australian Psychological Society has found that an increase in mental health funding by the Federal Government would provide wide-ranging economic and health benefits that would boost productivity and help reduce the federal deficit.
External rapid Benefit Cost Analysis underpins the APS Pre-Budget Submission. Developed by advisory firm ACIL Allen, authors of the National Mental Health Workforce Strategy, the BCA found APS proposal would generate economic returns between $2.52 and $3.74 for every dollar invested, based on conservative models.
APS President Dr Catriona Davis-McCabe welcomed the economic research underpinning APS policy saying “a strong economy is predicated on a mentally capable workforce.”
“Australia’s current and future workforce needs to be equipped with the right tools to succeed in an increasingly unstable global economy and climate.”
“Better mental health improves educational outcomes, productivity and physical health, reduces sick days for employers and keeps people out of costly GP clinics and emergency departments which are in crisis.”
Mental illness is Australia’s leading chronic health condition, with 5 million Australians suffering each year.
“With productivity in Australia stagnant for over a decade amidst a mental health epidemic and an aging population, we need to look at new ways to raise living standards for all Australians.”
“This analysis builds on previous work that shows the clear economic benefits for additional mental health investment.”
The Productivity Commission has previously found that mental illness and suicide costs the Australian economy up to $220 billion per year based on pre-pandemic figures. The report recommended more investment in mental health and found it would give the Federal Budget $18 billion in annual savings from reduced welfare, health and court costs.
The Commission also found investing early in children's mental health and wellbeing results in a return-on-investment between $1 and $10.50 for each dollar spent.
APS policy proposal aligns with the government’s recent independent Better Access Review and is designed around three key reform pillars:
Build: Improve the mental health and wellbeing of Australian communities through a strengthened psychology workforce
Support: Address access and equity issues in relation to psychological services within the Better Access initiative and Medicare more generally
Prepare: Partner with the APS to build the capacity of psychologists to work with individuals and communities to prepare for and respond to natural disasters, and to support our young people in response to climate change events.
Key APS policy proposals from the submission include:
- Boost perinatal care and adopt a 1:500 psychologist to student ratio at all primary and high schools.
- Create a ‘youth mental health safety net’ to ensure people 16-24 years old can access affordable care.
- Replicate GP regional relocation incentives for psychologists to expand access to areas in most need.
- Get patients treated faster by removing GP referral requirements for the first 3 sessions, and
- Expand the APS national Disaster Response Network for communities experiencing natural disasters.
You can read the full Pre-Budget submission here.
For more information, or to arrange an interview call the APS Media team on 03 8662 3358 / 0435 896 444, or email. Find the APS Media team on Twitter: @AustPsych
The APS is the largest professional organisation for psychologists in Australia, representing more than 27,000 members. The APS is committed to advancing psychology as a discipline and profession. It spreads the message that psychologists make a difference to people’s lives, through improving psychological knowledge and community wellbeing.