Improving health literacy could save billions and boost GDP, new global study finds

• People with low health literacy face annual healthcare costs nearly three times higher than those with high health literacy¹ 
• The United States stands to save the most in absolute terms, with a potential saving of $78 billion each year²

Improving low levels of health literacy – the ability of people to understand and use health information to make decisions about their health - by just 25% could save $303 billion a year across 40 countries. That’s according to new findings from the Health Inclusivity Index, released today by Economist Impact and supported by global consumer health company Haleon.¹

The Index analysed the economic and health benefits of addressing health inclusion gaps in 40 countries across seven common health conditions, focusing on four underserved groups: people with low health literacy, people on lower incomes, women, and older adults.³ The results reveal both the enormous costs of health exclusion and the striking benefits of inclusion.⁴

People with low health literacy often struggle to understand medical information, navigate healthcare systems, and make informed decisions about their care. This results in greater healthcare costs arising from delayed treatment, higher emergency service use, and increased hospital admissions.^5,6

Improving oral health among underserved communities presents another major opportunity. The Index countries lose almost $35 billion every year in productivity due to tooth decay, an issue that disproportionately affects people on lower incomes.

Inadequate preventive dental care, and subsequent higher disease prevalence, means that treatment costs are 50% higher for people on low incomes across the 40 countries studied.^1,7 Tackling gum disease more effectively through good oral hygiene and professional care could prevent 57 million type 2 diabetes cases globally, unlocking $181 billion in economic gains over ten years.¹

Addressing musculoskeletal conditions in underserved populations, such as women aged 50 and over, could also unlock additional billions of US dollars in savings.⁸ 
In women, improved prevention could help reclaim 69 million workdays annually and inject more than $51 billion per year into Index country economies, underscoring that inclusive health strategies aren’t just good for people, they’re essential for prosperity.⁹

Women also bear the biggest burden when it comes to micronutrient deficiencies, particularly in low- and middle-income countries.^9,10 Further, women lose 568 million workdays each year due to anaemia-related symptoms and $48 billion could be saved by reducing anaemia among women of reproductive age by 50% by 2030.^9,11Alarmingly, rates of anaemia are rising in nearly three-quarters of Index countries.⁹

Another significant finding from the Health Inclusivity Index is the enormous impact of air pollution, which drives chronic illness, undermines productivity, and strains healthcare systems, particularly in underserved communities least equipped to bear the costs.¹¹

The Index found that reducing air pollution to meet the WHO air quality guidelines could save 4.5 million lives annually and generate $101 billion in annual economic benefits.¹

Sarah McDonald, VP Sustainability at Haleon, said: “The Health Inclusivity Index, developed by Economist Impact and supported by Haleon, provides clear evidence that inclusive health is not a cost, it’s an investment. By addressing disparities in health literacy, oral care, bone health and nutrition for underserved groups, we can save lives and billions in healthcare costs, boosting productivity and increasing GDP. While Haleon is taking action to help close the gaps through its purposeful brands, such as Sensodyne, Advil and Centrum, we cannot effect change on our own. Through this research, we want to influence governments and policymakers to prioritise inclusive health systems - because at a time of rising costs and global productivity pressures, inclusive health is no longer optional, it’s essential.”

Jonathan Birdwell, Global Head of Policy and Insights at Economist Impact, said: “The Index shows us that health inclusivity is a catalyst for economic progress. The ripple effects of inclusive health systems reduce inequality, strengthen economies, and help societies better withstand economic shocks. As the world grapples with widening health inequalities, ageing populations, and economic uncertainty, the case for inclusive health has never been clearer.”

The Index builds on two previous phases of research that exposed global gaps in health policy, and the lived experience of health exclusion. This third phase shows that investing in inclusive healthcare could unlock hundreds of billions in healthcare savings, boost GDP, and prevent millions of deaths annually.¹

About Haleon and Health Inclusivity

Haleon’s social impact goal is to empower millions of people a year to be more included in opportunities for better everyday health – with the company aiming to reach 50 million people a year by 2025. In 2024, the company delivered its goal one year ahead of plan, empowering 50.2 million people to be more included in opportunities for better everyday health. 

We have identified three key barriers to health inclusivity that Haleon is well placed to help address, which are:

• health literacy

• healthcare accessibility

• bias & prejudice 

Examples of Haleon’s efforts to break down barriers to health inclusivity include:

Health Literacy

Our Caltrate calcium supplement brand in China has run several initiatives to raise awareness of the risks of osteoporosis and how to actively prevent and manage it. This includes working with Health Professionals to reach more consumers through online education, in-person outreach and bone density tests. So far, the programme has deeply engaged with 55 million consumers, conducted bone density tests for 4.5 million consumers, and covered more than 120 cities.  

Healthcare Accessibility

Haleon has partnered with Smile Train to enabling over 19,000 life-changing cleft surgeries and 13,000 non-surgical treatments, including nutritional support, dental care, and speech services, in 98 countries. In the US, Haleon, in partnership with Walmart, is helping bring dental care to rural and underserved communities in so-called “dental deserts.” Pop-up clinics deliver essential services, including denture fittings and oral health education, at no cost to patients.

Bias and Prejudice

Theraflu’s ‘Right to Rest and Recover’ programme is a multi-year initiative in the US and Poland to champion the right for workers to take time off when they fall sick. In its third year, in the US, Theraflu collaborated with A Better Balance, an organisation that helps workers better understand their rights to sick leave, while continuing to address the cultural pressure people experience to 'go to work sick'. In Poland, the programme tackles the pressure working mums experience to 'go to work sick' which is linked to fears that taking time off could impact their current and future job prospects.

About Haleon

Haleon (LSE/NYSE: HLN) is a global leader in consumer health, with a purpose to deliver better everyday health with humanity. Haleon's product portfolio spans six major categories - Oral Health, Vitamins, Minerals and Supplements (VMS), Pain Relief, Respiratory Health, Digestive Health and Therapeutic Skin Health and Other. Its long-standing brands - such as Advil, Centrum, Otrivin, Panadol, parodontax, Polident, Sensodyne, Theraflu and Voltaren - are built on trusted science, innovation and deep human understanding.

For more information, please visit www.haleon.com

About Economist Impact

Economist Impact combines the rigour of a think-tank with the creativity of a media brand to engage a globally influential audience. We believe that evidence-based insights can open debate, broaden perspectives and catalyse progress. The services offered by Economist Impact previously existed within The Economist Group as separate entities, including EIU Thought Leadership, EIU Public Policy, Economist Events, El Studios and SignalNoise. Our track record spans 75 years across 205 countries. Along with creative storytelling, events expertise, design-thinking solutions and market-leading media products, we produce framework design, benchmarking, economic and social impact analysis, forecasting and scenario modelling. This makes Economist Impact's offering unique in the marketplace.
Visit www.economistimpact.com for more information.