The current economic recession represents a time of high stress for individuals, organisations and society as a whole. Research evidence presented here suggests that components of economic adversity such as unemployment, debt and poverty have a significant impact on mental health. The Mental Health Commission is concerned about this impact on the mental health of the wider population and on those with pre-existing mental health conditions in particular. The resultant increased pressure on mental health services is also of concern. Several initiatives have already been taken by Government and these are very welcome1. This paper outlines the Commission’s position and proposes a series of actions informed by evidence, to help alleviate the human cost of the economic crisis. The paper first considers the wider context in terms of the recession itself, the economic impact of mental health problems and the public health context for action in mental health, then goes on to examine the evidence documenting the effect of economic adversity on mental health and actions proposed in other jurisdictions, and finally suggests a series of actions to be considered in the Irish context.