[Deep dive]: The monetised social value of physical health, physical activity and wellbeing

Physical health

We all know that physical health is important, but how do we define it when valuing wellbeing? According to the NHS, physical health refers to the proper functioning of our bodies. It plays a crucial role in our overall wellbeing, affecting growth, movement, sensations, and our ability to maintain health through self-care.

For many NHS organisations, a key focus is musculoskeletal health, which is essential for maintaining physical function at work and in daily life.

In this blog, we explore the impact of improved physical health on wellbeing and its measurable social value, using insights from MeasureUp and other key studies.

How physically healthy are we as a nation?

According to ONS statistics, the proportion of people in England reporting very good health increased from 45.0% in 2011 to 47.5% in 2021. Meanwhile, the percentages of people reporting good health (34.2%), bad health (4.1%), and very bad health (1.2%) all declined over the same period.

While many people are in good physical health, there remains a significant proportion of the population who would benefit from improvement.

Place matters: regional differences in physical health

While national trends are positive, there are stark regional differences in how physical health is experienced.

• South East: Had the highest proportion of people reporting very good health (49.6% or 4.6 million) and the lowest proportion reporting very bad health (0.9%).
• North East: Had the lowest proportion reporting very good health (44.7% or 1.2 million) and the highest reporting very bad health (1.6% or 43,000).

These figures highlight geographical inequalities in health outcomes and the need for targeted interventions in regions with poorer health.

What influences our health?

While some diseases are unavoidable, many deaths—particularly those caused by coronary heart disease and lung cancer—can be prevented. However, health is not just about disease prevention; it is shaped by everyday habits, including:

• Diet: A balanced intake of nutrient-rich foods like fruits, vegetables, and whole grains.
• Physical activity: Regular movement, such as walking, cycling, or playing sports.
• Sleep: Getting enough rest and recovery.
• Substance use: Limiting alcohol intake and avoiding tobacco products.
• Healthy habits: Attending regular health check-ups and engaging in preventive care.

The wellbeing value of improved physical health

MeasureUp includes the value HE1 improved physical health, which quantifies the impact of better physical health on life satisfaction.

Research using national datasets can estimate the isolated impact of a change in physical health on life satisfaction, after accounting for important controls such as age, health, socio-economics and other demographics.

According to the State of Life (The WELLBY Value Guide), even after accounting for all these other factors, a change from ‘poor’ physical health to ‘good’ physical health is associated with an increase in life satisfaction by 1 point.

💷 The monetised value of one person transitioning from poor to good physical health for a year is £15,300 (2023 prices).

Physical activity and its social value

Increasing physical activity encompasses a wide range of things that can contribute to an individual’s overall physical activity levels. Physical activity can take many forms, from structured sports (football, netball, rugby) to everyday activities (walking, gardening, housework).
According to the Active Lives Adult Survey (Sport England, 2023):

• 63.4% of adults in England met the Chief Medical Officers’ guideline of 150+ minutes of moderate-intensity physical activity per week.
• This equates to 29.5 million adults participating in sport or physical activities each week.

Benefits of physical activity

• Physical wellbeing: Improves fitness, strength, and balance while helping to prevent and manage medical conditions.
• Mental wellbeing: Enhances happiness and self-esteem while reducing stress, anxiety, and depression.
• Individual development: Supports the development of social skills, persistence, and perseverance, positively influencing employment opportunities.
• Social and community development: Strengthens social connections, fosters trust, and reduces isolation.
• Economic development: Contributes to economic growth and job creation.

The wellbeing value of increased physical activity

MeasureUp includes the value HE1.1 increased physical activity, estimating the impact of physical activity on life satisfaction.

🤾🏽‍♀️The monetised value of one person engaging in sport or physical activity once a week for a year is £3,400 (2023 prices).

The valuation is based on the research by State of Life (The WELLBY Value Guide), which found that even after accounting for all other factors, compared to someone who ‘never / almost never’ does physical activity, someone who does this ‘at least once a week’ is associated with an increase in life satisfaction of 0.22500.

Physical health vs physical activity – what’s the difference?

Understanding the distinction between these valuations is crucial when assessing the social value of interventions.

Valuation	Definition	Monetised value
Improved physical health	The outcome of improving a person’s overall health. This reflects the change in the overall state of health rather than a specific behaviour or activity leading to that change in health.	£15,300 per year
Increased physical activity	The behavioural impact of engaging in physical activities such as walking, swimming, or playing sports once a week for a year. It represents a behavioural valuation, linking activity levels to health improvements and other social and economic benefits.	£3,400 per year

While physical activity contributes to better physical health, this valuation does not fully capture the total health outcomes (e.g., long-term disease prevention or chronic condition management), but could be a more suitable valuation for specific activities that aim to increase people’s physical activity such as sports and exercise programmes.

📝 Key takeaways:

• Use physical activity valuation for specific interventions (e.g., sports participation programmes).
• Use physical health valuation to measure the broader economic and societal impact of improved health.
• Consider causality and long-term effects, as sustained physical activity may lead to good health over time, but other factors (e.g., diet, medical care) also play a role.

Example: A community-based walking program and its social value

Imagine a local government in England launches a community-based walking program aimed at increasing physical activity among adults aged 40–65. The program provides guided group walks in parks and urban areas, encouraging participants to engage in moderate-intensity exercise at least once a week.

The program seeks to improve public health, reduce healthcare costs, and enhance social wellbeing by increasing weekly physical activity levels.

Monetised social value

1. Physical activity valuation (£3,400 per person per year)
   • According to the MeasureUp HE1.1 framework, one person engaging in activities such as walking, swimming, or sports once a week for a year generates an economic benefit of £3,400.
   • If the program enrols 500 participants, the annual social value of increased physical activity would be: 500 × £3,400 = £1.7 million
     
2. Physical health valuation (£15,300 per person per year)
   • If some participants experience improvements in physical health, shifting from poor to good health.
   • If 20% (100 participants) transition to good health after sustained participation, the monetised benefit is: 100 × £15,300 = £1.53 million per year

Total monetised social value

• Direct physical activity benefit: £1.7 million
• Health improvement benefit (for those moving to “good” health): £1.53 million
• Total estimated annual social value: £3.23 million

Conclusion

Investing in physical health and physical activity is not just about fitness—it is about wellbeing, economic resilience, and stronger communities. The data is clear: targeted interventions in health and exercise can generate significant social and economic returns.

By prioritising accessible, community-based health initiatives, we can build a healthier, happier, and more productive society.

Learn more about the ‘Improved Physical Health’ MeasureUp value here: https://measure-up.org/mu-outcomes/improve-physical-health/

Learn more about the ‘Increased Physical Activity’ MeasureUp value here: https://measure-up.org/mu-outcomes/increased-physical-activity/