Diabetes: costs to individuals, families and the economy
In 2014 Schofield et al 10 examined the likelihood of Australian people with diabetes being in work and poverty rates amongst those with diabetes who were unemployed. They found that those with diabetes were more likely not to have employment and those who were unemployed were most likely to live under the poverty line. They concluded that having diabetes, more than any other condition was likely to lead to unemployment and poverty in Australia and that this status exacerbated their abilities to care for their health.
There has been no improvement since then. Healthcare costs of diabetes increased substantially from 2001 – 2 to 2008 – 9 ($AUD 811 mill to $AUD 1.51 bill). Indirect costs for the 45 – 64 age group were substantially higher. For example, those who left their job due to diabetes had just one third the income of those without the condition.. By 2030 the differences will be substantial. 11.
Schofield et al 11 maintain while substantial diabetes direct costs are large, ‘the full range of indirect costs (i.e., lost earnings, lost productivity, lost superannuation, lost taxation revenue, carer costs, extra welfare payments, cost of aids and home/work modifications, travel costs) are recognised as being even greater.’ These include lost productivity, and reduced capacity to gain and maintain employment as a result of related physical disability.
This impacts on the Australian health system and the broader economy. By 2018, death rates for those with diabetes were nearly double than for the general population in Australia, and for those under 45 years of age with Type 2 diabetes nearly 6 times the prevalence in the general population. 12
Schofield et al 11 analysed the costs of diabetes in Australia over time. They projected between 18,100 (2015) and 21,400 (2030) people would be out of the workforce, leading to lost income from $AUD 467 mill (2015) to almost double that in 2030. In addition, for the government there was a loss of taxation revenue annually from $AUD 102 mill in 2015 to more than a 50 per cent increase in 2030. It was estimated that a loss in GDP of $AUD 2.1 bill (2015) would increase to $AUD 2.9 bill (2030) due to diabetes.