Sunak to announce £500m mental health funding as demand for support soars during pandemic

People who need help must not ‘suffer in silence’

Rishi Sunak said mental health funding would mean people did not 'suffer in silence’ (Reuters TV)

The chancellor is to announce a £500m package to support mental health services after demand for support soared during the coronavirus crisis.

Rishi Sunak will pledge the new funding in his spending review on Wednesday, as he delivers his long-term plan for infrastructure investment.

According to the Treasury, most of the funds will be allocated to specialist services for young people, including in schools and support for NHS workers.

Mental health charities and mental health care providers called on the government to make additional investments into community mental health services earlier this month, in anticipation of the second coronavirus lockdown.

A study also found that one in five Covid-19 patients were diagnosed with a mental illness for the first time within three months of contracting the virus, suggesting that coronavirus survivors could be at a higher risk of developing psychiatric disorders.

Mr Sunak is expected to pledge for rapid progress to be made in tackling the backlog of adult mental health referrals.

The government estimates that poor mental health costs the economy up to £35bn per year, and hopes the package will address the increased demand for services as the pandemic continues to impact people’s lives.

“The pandemic has had a major impact on mental health because of increased isolation and uncertainty,” said Mr Sunak.

“So it is vital we do everything we can to support our mental health services and ensure help is there for people.

“This funding will make sure those who need help get the right support as quickly as possible so they don’t have to suffer in silence.”

The chancellor could face a backlash if reports that the government will impose a pay freeze on millions of public sector workers is confirmed - although NHS doctors and nurses are expected to be exempt.

On Friday, The Times reported that the pay freeze will be announced as part of the spending review and Mr Sunak will argue it is only fair since the private sector has been hit hard by the pandemic.

Labour shadow chancellor Anneliese Dodds urged Mr Sunak to use his spending to avoid returning England to the “shambles” the country experienced prior to the current national lockdown.

She said Mr Sunak “must lay the foundations for that recovery” in his set-piece financial update on Wednesday to prevent PPE stocks running out, local services returning to being “on their knees”, and families “struggling with the cost of living”.

“And that must include working together to build a better, more secure future for our country, so that we do not go back to the fragility and instability of the way things were, “ she told the Co-operative Party’s local government conference on Saturday.

The chancellor will also announce the National Infrastructure Strategy, which has been delayed a number of times, which includes £100bn of long-term spending to tackle the climate crisis and invest in transport.

The Treasury also confirmed that Mr Sunak will change the set of rules that determines the value of government schemes, known as the Treasury’s “green book”. The rules are thought to favour London and the southeast of England.

Additional reporting by PA