Chronic insomnia is draining billions from the Dutch economy

Chronic insomnia is costing the Dutch economy nearly €3 billion each year, according to a new report on the financial effects of sleep deprivation by SEO Economic Research.

The analysis, based on GP diagnoses and data from the national statistics office CBS, found that people who suffer from long-term sleep deprivation earn less, are more likely to end up on benefits, and perform more poorly at work.

Adults struggling with insomnia earn an average of €800 less in gross salary per year due to repeated absences and reduced productivity. With around 1.4 million people affected, that translates to €1.1 billion in lost earnings, the report said.

If people with persistent insomnia end up on benefits, the losses rise further. Some 36,000 adults with insomnia currently receive welfare benefits, leading to an estimated €1.6 billion in lost productivity.

Combined, these figures add up to an annual burden of €2.7 billion on the Dutch economy, the report said.

Researcher Wouter Vermeulen told broadcaster NOS that treatment costs for insomnia are far lower than the productivity losses. Effective psychological therapy at mental health clinics costs around €600 per treatment, while helping someone return fully to work could deliver an average benefit of €1,900.

Nevertheless, treatment for insomnia is not covered in the basic health insurance package, with most patients receiving medication instead. “You can ask if that is sensible,” Vermeulen said.

The study did not include around 600,000 people who suffer from sleep apnoea, meaning the true scale of sleep-related economic damage is likely to be even higher. Vermeulen said the effects on workforce participation among apnoea patients are broadly similar to those with insomnia.

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