‘Late intervention’ costing nearly £17bn a year - EIF

Late intervention on the social problems affecting young people is costing the Government almost £17bn a year, according to research by the Early Intervention Foundation.

The analysis concluded £5bn of the cost came from looking after children in care, £4bn a year is spent on benefits for 18-24 year-olds not in education, employment or training, and another £900m went to helping young people suffering from mental health issues or substance problems.

EIF’s report, Spending on late intervention, said council services account for £6.5bn of the national “late intervention” spend, alongside welfare costs of £3.7bn and a £3bn NHS bill.

The charity called for a shift in focus from fixing problems to addressing root causes, while warning increased demand and reduced funding were currently placing early intervention services under pressure.

EIF set a target of using more effective early intervention towards reducing the cost of late intervention on public services by 10 per cent by 2020.

In order to do this the charity suggested redirecting funding and inefficient spending into a dedicated and ring-fenced Early Intervention Investment Fund, tied to the life of the next Parliament. Supplemented by private sector capital, the money would be awarded to councils, healthcare providers, schools, voluntary groups and other organisations with plans to redesign local services around effective early intervention.

Whoever forms the next government was urged to make prevention and early intervention a key theme of its spending plans, by finding out what is being currently being spent in the area and the impact of the spending.

EIF chief executive Carey Oppenheim said whoever forms the next government must place the next generation of children, young people and their families at the heart of its policies.

“A long-term national and local commitment to prioritising and investing in early intervention will not only save money but will give children the best chance of thriving,” Oppenheim said.

Access the EIF's report here.