A new report highlights the £100 billion annual cost of obesity in the UK, far surpassing the expenses of weight-loss drugs, with calls for government action on prevention

A recent report reveals that healthcare and productivity costs related to obesity far exceed the prices of obesity weight-loss drugs like Ozempic and Wegovy, highlighting the urgent economic need to address the global obesity crisis. Research by ING Bank shared exclusively with The Guardian, indicates that the cost of obesity in the UK alone reaches £100 billion annually, with £19 billion directly affecting the National Health Service (NHS).

In countries like the UK, Germany, and the Netherlands, the economic case for prescribing obesity weight-loss drugs is becoming increasingly evident. The cost of the diabetes drug Ozempic is significantly lower than the ongoing healthcare expenses for individuals living with obesity. While Wegovy has a higher price tag, its cost is still overshadowed by the broader financial burden obesity imposes on society.

Produced by the Danish pharmaceutical company Novo Nordisk, both Ozempic and Wegovy have grown in popularity worldwide, alongside similar medications such as Eli Lilly’s Zepbound and Mounjaro. These drugs mimic a gut hormone known as GLP-1, which induces feelings of fullness, aiding weight loss. Additionally, they have been linked to other health benefits, though questions remain about their long-term effectiveness.

The global obesity epidemic has intensified over the last few decades, with more people now overweight than undernourished. Obesity is linked to numerous health complications, including cardiovascular diseases, joint problems, and diabetes—all costly conditions to treat. Diederik Stadig, ING’s healthcare analyst, estimates that healthcare expenses related to obesity cost £1,400 per person annually in the UK. This figure is even higher in Germany and the Netherlands, at €2,400 and €2,300 respectively.

A year’s supply of Ozempic in the UK costs £830, while Wegovy is priced at £2,760—significantly lower than the £14,500 cost for Wegovy in the US. Although these list prices may be higher than what health services actually pay, they underscore the potential savings that could be achieved by including obesity weight-loss drugs in broader health strategies.

Healthcare costs, however, only account for about a quarter of the overall economic burden of obesity. Productivity losses, personal expenses related to obesity, such as transportation and clothing, and the need for adapted living facilities, add significantly to the total. Research from the Institute for Advanced Studies in Vienna shows that individuals with obesity are up to twice as likely to take time off work, which contributes to the strain on economies across Europe.

While these new drugs offer hope, experts caution that they are not a cure-all. Studies indicate that once patients stop taking semaglutide, the active ingredient in both Ozempic and Wegovy, they regain much of the weight they initially lost. Side effects such as nausea and stomach pain also cause many users to discontinue treatment.

Despite these challenges, there is growing recognition that governments must do more to address the root causes of obesity. Stadig advocates for VAT reform, suggesting that lower or no VAT should be applied to healthy foods like vegetables, while higher taxes should target fast food.

Public figures like Australian actor Rebel Wilson, British TV personality Sharon Osbourne, and broadcaster Stephen Fry have openly discussed their use of Ozempic, raising awareness about obesity and weight-loss drugs in the UK while also highlighting potential side effects. Doctors stress that medications like Ozempic should complement diet and exercise. The overarching message from the report is clear: the financial cost of obesity makes it crucial to prioritize both prevention and treatment in public health policies.

Analysis

Political: The staggering cost of obesity to the UK economy puts pressure on policymakers to address the crisis more urgently. While weight-loss drugs such as Ozempic and Wegovy present potential solutions, they also introduce new challenges for public healthcare systems like the NHS, which are already strained. Politically, this could fuel debates about how the government should allocate resources between treatment and prevention. Currently, NHS guidelines are stringent in their prescription of weight-loss medications, but the financial argument presented in this report may push policymakers to expand access to these drugs. Additionally, government measures such as VAT reform on healthy foods or taxes on unhealthy products could become part of the political discourse, as they offer potential solutions to prevent obesity from developing in the first place.

Social: Social perceptions of obesity and the use of weight-loss drugs could shift dramatically in light of these findings. For decades, obesity has been stigmatized, with individuals often facing blame for their condition. However, with the advent of medications that tackle biological drivers of weight gain, society might increasingly view obesity as a medical condition requiring treatment, rather than a personal failure. This could lead to greater acceptance of pharmaceutical interventions for weight loss. The rise of these drugs may also alter social dynamics around diet, exercise, and wellness, as more individuals seek out medical solutions rather than relying solely on lifestyle changes.

Racial: Obesity disproportionately affects minority communities, both in the UK and globally. Socioeconomic factors such as food deserts, limited access to healthcare, and cultural dietary habits contribute to higher rates of obesity among racial minorities. While weight-loss drugs offer a potential solution, access could be limited by socioeconomic status, potentially exacerbating existing health disparities. Racial minorities may also face additional challenges in accessing these medications, whether due to healthcare inequality or cultural stigmas around obesity and medical intervention. As these treatments become more widespread, ensuring equitable access for all racial groups will be critical to their success in addressing the global obesity crisis.

Gender: Obesity affects men and women differently, with women often experiencing greater social stigma for weight gain. Women are also more likely to suffer from obesity-related health conditions such as depression and joint issues. These factors make them key candidates for weight-loss drugs like Ozempic and Wegovy. However, the social pressures surrounding female body image may also complicate the narrative. High-profile cases such as Sharon Osbourne and Rebel Wilson’s public discussions of their weight-loss journeys could influence more women to seek these drugs. Nevertheless, the medicalization of weight loss may also spark debates around body autonomy and the ethics of prescribing medications for cosmetic reasons versus health-related purposes.

Economic: The economic impact of obesity extends far beyond healthcare costs. Productivity losses due to obesity-related sick leave, disability, and early retirement weigh heavily on the economy. In Europe, labor shortages are compounded by the increased number of sick days taken by people with obesity. Implementing weight-loss drugs could alleviate some of this economic burden by reducing healthcare costs and improving workforce participation. However, the high price tag of medications like Wegovy raises questions about sustainability. Governments may be forced to negotiate drug prices or consider alternative funding models to make these treatments accessible without overwhelming public healthcare budgets. Additionally, the long-term efficacy of these drugs remains uncertain, which could undermine the financial argument for their widespread use.