Workplace wellbeing is a growing point of pressure for UK employers, with new research indicating that many organisations are struggling to keep up with employee expectations.
Findings from UK fitness marketplace EGYM Hussle show that 82% of employers now feel pressure to enhance their wellbeing and benefits offering, reflecting a shift in how workplace support is viewed across the labour market.
This pressure is particularly acute for smaller businesses, which often lack the financial and operational capacity to respond at the same pace as larger employers. While there is broad agreement on the value of wellbeing initiatives, translating intent into delivery remains a challenge for many organisations.
The research suggests the issue extends beyond perks or optional extras. More than 90% of employers believe improved wellbeing would support productivity and workforce retention, indicating that wellbeing is increasingly seen as a core component of business performance rather than a discretionary benefit.
However, despite this recognition, many employers report structural barriers that limit their ability to act. Cost remains a primary concern, alongside limited internal resource and difficulties finding suitable wellbeing solutions that align with workforce needs.
Cost And Capacity: A Growing Divide Between Employers
The EGYM Hussle report highlights several factors that are slowing progress. A quarter of employers cite cost as a barrier to improving wellbeing provision, while 19% point to a lack of time to manage internal wellbeing initiatives. A further 17% say existing wellbeing suppliers do not offer options that reflect the needs of their workforce.
These challenges are more pronounced among smaller firms. Among businesses with 1–49 employees, 43% identify cost as a key hurdle to offering wellbeing benefits. This compares with 22% of organisations employing 100–500 people and 13% of those with more than 500 employees, underlining a widening gap between SMEs and larger employers.
Hybrid working has added further complexity. Nearly three-quarters of employers say they find it difficult to provide benefits that work equally well for in-office, remote and hybrid staff. As working patterns diversify, employers are under pressure to move away from uniform approaches that no longer reflect how people work.
While 57% of employers offer flexible working hours and 47% provide mental health support, only 33% offer access to gym or fitness services. The disparity highlights the limitations of one-size-fits-all schemes in a workforce with varied needs and working arrangements.
Stress and Burnout Drive Demand for New Approaches
The impact of these constraints is not limited to employers. Nearly eight in ten businesses report higher levels of stress and burnout among employees over the past year. This trend has prompted more than 80% of organisations to seek new wellbeing solutions in 2026, signalling growing urgency around workforce health.
Neil Harmsworth, Co-Founder and COO at Hussle, said the findings show wellbeing has become a competitive issue.
“The research clearly shows wellbeing is now a competitive issue. Leaders know it drives productivity and retention, but many are blocked by cost and by benefits that don’t work for hybrid teams. Employers need flexible, accessible support that people can use in real life, not just on paper,” Harmsworth said.
“EGYM Hussle is calling on employers, particularly SMEs, to treat wellbeing as a core business priority. With flexible, accessible solutions that meet modern working patterns, organisations can support employee health, improve productivity and retention, and stay competitive in a talent market where expectations continue to rise.”