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Adam Smith was wrong: the new economics foundation is right: economic prosperity does not of itself bring enhanced individual and social well‐being. Indeed, it carries a significant downside. But implementing the nef manifesto would be no easy matter. In this short commentary, David McDaid outlines some of the hurdles and pitfalls that would have to be negotiated.

The European Union‐supported Child and Adolescent Mental Health in an Enlarged Europe (CAMHEE) project aimed to provide an overview of the challenges, current practice and guidelines for developing effective mental health promotion and mental illness prevention policy and practice across Europe. As part of this work, an analysis was undertaken of the situation in England, making use of a bespoke data collection instrument and protocol.Our analysis suggests that there has been significant effort and investment in research, needs assessment, policy, human resource and service developments in CAMHS over the last 20 years, leading to a more detailed understanding and availability of services. Much of the emphasis has been on assessment and management of difficulties, however in recent years attention has begun to focus on mental health promotion. National standards and programmes such as Every Child Matters (Department for Education and Skills, 2004) have acted as catalysts for a number of national initiatives.

Financial stress has been found to contribute to mental health deterioration associated with job loss. This study examined whether specific types of income support programs (e.g., unemployment benefits and welfare) reduce the negative impacts of job loss on middle-aged women’s mental health in the United States. Two samples of women previously employed before their mental health assessments in their 40s and 50s were selected from the National Longitudinal Survey of Youth 1979 (NLSY79). We conducted regression analysis to predict their mental health scores using employment and income support program status. The model also controlled for baseline health before job loss, socioeconomic status, and demographic and family life characteristics. Compared to their continuously employed counterparts, 50 +  women who had job loss without unemployment benefits had significantly worse mental health. However, those receiving unemployment benefits did not have significantly worse mental health. Unemployment benefits’ ameliorating effect was not found in the 40 +  sample; and welfare programs did not have similar mental health effects. Our findings suggest that certain types of income support policies are beneficial to the mental health of certain cohorts of middle-aged women. For different groups of women, additional and alternative measures are needed to reduce the mental health damage of job loss.