Therapy better than money in making people happier

Psychological therapy is more than 30 times more cost-effective at making people happier than a lottery win or a large pay rise, according to newly-published research.

The study conducted by the University of Warwick and the University of Manchester in England found that society vastly overestimates the importance of money in improving well-being and mental health.

Chris Boyce, of the University of Warwick, and Alex Wood, from the University of Manchester, conducted the research by comparing large data sets in which thousands of people had reported on their well-being.

They then examined how well-being changed due to therapy, compared to the results of sudden increases in income.

The researchers found that an £800 (€888) course of therapy had such a large effect on well-being that it would take a pay rise of over £25,000 (€27,700) to achieve an equivalent increase in happiness.

Entitled 'Money or Mental Health: The Cost of Alleviating Psychological Distress with Monetary Compensation versus Psychological Therapy', the study also looked at deteriorating mental health despite huge economic gains in developed countries over the past five decades.

University of Warwick researcher Chris Boyce said: “We have shown that psychological therapy could be much more cost-effective than financial compensation at alleviating psychological distress.

“This is not only important in courts of law, where huge financial awards are the default way in which pain and suffering are compensated, but has wider implications for public health and well-being.”

“Often the importance of money for improving our well-being and bringing greater happiness is vastly over-valued in our societies.”