Climate change is already profoundly affecting people’s lives, work, health, and the stability of communities. Heatwaves, floods, prolonged droughts, and other extreme events threaten physical and food security and have significant impacts on mental health. Although these effects are increasingly documented, the climate models used to guide global policy still overlook many of these consequences for human well-being (Schrijver et al., 2025). By neglecting these dimensions, the models underestimate the benefits of climate action and obscure the real costs of inaction.

It is in this context that the concept of degrowth gains relevance. Degrowth represents an economic perspective that argues that the wealthiest economies should reduce harmful production and prioritize well-being instead of pursuing unlimited economic expansion. A recent study by the London School of Economics (LSE) and the Institute for Environmental Science and Technology at the Autonomous University of Barcelona (ICTA-UAB) examined public support for this proposal. More than 6,200 people were surveyed in the United Kingdom and the United States. The results revealed notable levels of support: between 74 and 84 per cent of respondents in the United Kingdom and between 67 and 73 per cent in the United States agreed with the idea of reducing harmful production and focusing on well-being. The study also shows that when the objectives of degrowth are explained clearly, acceptance increases substantially, regardless of income or social position. These findings indicate a growing awareness that addressing global challenges requires profound structural change rather than isolated adjustments.

This evidence on public support for degrowth aligns closely with the risks that climate change poses to mental health. The report published by the Tavistock Institute of Human Relations (2024) documents how extreme weather and awareness of the environmental crisis generate eco-distress, anxiety, depression, post-traumatic stress disorder, and stress. These effects are particularly strong among young people, marginalized groups, and workers in vulnerable sectors such as agriculture and fisheries. Extreme weather events, economic insecurity, and forced displacement increase the risk of psychological distress, demonstrating that human well-being is already being compromised by climate impacts. In this context, the study by the LSE and the ICTA-UAB helps explain why there is considerable support for economic alternatives centered on well-being. People recognize that economic models focused solely on growth do not safeguard their health or quality of life in the face of climate-related threats.

This conclusion resonates with the principles of Impact Accounting. Tools such as those developed by the Value Balancing Alliance (VBA), based on the OECD Well-being Framework, allow for the systematic assessment of how economic activities and public policies affect essential dimensions of well-being, including health, education, safety, social relationships, income, and environmental quality. By integrating these metrics into economic and climate decision-making, businesses and governments can align policies and practices with what the public already supports and with evidence on the real risks that climate change imposes on health and well-being. Practical examples include affordable housing projects using 3D printing that simultaneously measure economic, social, and environmental impact, the use of industrial waste heat to benefit nearby communities while reducing emissions and energy costs, and impact assessments across the value chain in sectors such as retail, healthcare, and telecommunications. These cases show that it is possible to quantify in a concrete and comparable way the benefits for society and the environment, informing economic decisions that promote well-being and sustainability.

Taken together, these lines of evidence show that the issue is not restricted to debates about economic growth or reducing carbon emissions. It concerns the protection of human lives and the safeguarding of quality of life. Public support for degrowth, documented impacts of climate change on mental health, and Impact Accounting tools converge towards a clear conclusion. Effective policies must place well-being at the centre of decision-making and integrate scientific knowledge, economic reasoning, and social values. The future cannot be measured solely in terms of growth or GDP, but in the ability of societies to protect people’s health, dignity, and quality of life.

Sofia Conde, Researcher for the Center for Responsible Business da CATÓLICA-LISBON