Investing in dementia and its diagnosis can transform care and cut costs

Mark MacDonald

Associate Director of Evidence, Policy and Influencing, Alzheimer’s Society

Dementia is the greatest challenge currently faced by our health and social care system. It is the UK’s biggest killer, costing our economy £42 billion this year (Alzheimer’s Society, 2024).

Dementia affects every part of the system, from primary care to hospital and hospice care. People living with dementia are also the largest users of social care. 

Addressing dementia challenges to help NHS

Secretary of State for Health and Social Care Wes Streeting says the NHS is ‘broken.’ By understanding the challenges posed by dementia, Ministers can understand the challenges faced by the entire system — and how to address them. 

Without action, the cost of dementia will be £90 billion annually by 2040. We must think and act differently on a condition that has been under-prioritised for decades. 

Diagnosis for dementia cost-efficiency

The cornerstone of any plan to address dementia must start with diagnosis. As Lord Darzi said when launching his new investigation into the NHS: “As every clinician and patient knows, the first step to addressing any health problem is a proper diagnosis.” 

As the disease progresses, total costs increase significantly, from £29,000 per year for mild dementia to £81,000 for severe dementia. Getting a diagnosis eases system pressure and cost. Existing treatments to manage symptoms are effective at reducing stressful and costly crisis points. Yet, only 1.4% of total dementia healthcare costs are spent on diagnosis and treatments. That doesn’t make sense for a system so clearly stretched. 

Just 1% of people living with dementia told
us they saw no benefit in getting a diagnosis.

Diagnosis essential for care access

Just 1% of people living with dementia told us they saw no benefit in getting a diagnosis. Yet, over a third of people living with dementia in England and Northern Ireland never get a diagnosis. In Wales, around half do not.  

Only a diagnosis can unlock access to care, support and treatments. People are less likely to escalate into a crisis, such as an unplanned hospital or A&E admission or a last-minute search for a care home place. Without an early and accurate diagnosis, people with Alzheimer’s disease will never be able to access treatments we hope will be part of a more hopeful future. 

Prioritise dementia for budget impact

More ambitious diagnosis targets and greater investment in diagnostics, including getting ready for new treatments and blood tests for dementia are key to reducing the devastating personal impact of dementia and the immense cost and pressures it brings to the NHS and social care system. The Government would do well to prioritise dementia as it prepares for the budget in October.