The NHS could save millions if more early intervention services for people with schizophrenia and psychosis were available, according to a London School of Economics report for Rethink Mental Illness.
The charity’s Investing in Recovery report says services such as family therapy and cognitive behavioural therapy can reduce hospital admissions, thereby saving money that is currently spent on NHS beds.
It estimates that by developing early detection and intervention services, the government could save more than £50m a year over the next two to five years.
Over the course of a decade the savings could amount to £15 for every pound spent on early intervention support, it adds.
It notes that a 2007 National Audit Office report estimated that £14.3m a year could be saved if crisis resolution and home treatment teams could support half of those at risk of entering hospital due to mental illness.