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This research study provides estimates of the economic and social costs of Class A drug use in England and Wales for the year 2000.

Title: The economic and social costs of Class A drug use in England and Wales, 2000 - Home Office Research Study 249
Authors: Christine Godfrey, Gail Eaton, Cynthia McDougall and Anthony Culyer
Number of pages: 62
Date published: November 2002

The information provided in this report represents the first real attempt at assigning monetary values to a difficult problem to society. Estimates are based on the most reliable data available and an innovative model that examines major cost consequences according to the treatment status of problem drug users. The design of the costing model will also allow for future updates on economic and social costs, together with future simulations of the relationship between streams of government proactive and reactive expenditure.

Total economic costs or reactive expenditure is estimated to be £3.5 billion for Class A drug use in England and Wales, 2000 (medium estimate, range is £2.9bn to £5.3bn). This equates to some £1,927 averaged over all Class A drug users, and £10,402 averaged over problem drug users. The majority of the estimated costs are created by problem users.

Total social costs are substantially higher even though only limited data were available. The total estimate of consequences was £12 billion for 2000 (medium estimate, range is £10.1bn to £17.4bn). This equates to £6,564 per year averaged over all Class A drug users, £35,456 for problem drug users.

A number of assumptions and limitations will need to be considered when interpreting the results from this research. These will require updating as and when new data becomes available. Sensitivity analyses of key assumptions suggests that the range of estimates provided for the economic and social costs of Class A drug misuse are fairly realistic.

The economic and social costs of Class A drug use in England and Wales, 2000 - Home Office Research Study 249 PDF 177 Kb