Women working in financial services effectively toil for free for 99 days each year, according to new research from eFinancialCareers. The latest Compensation Report reveals that women in the UK finance sector earned an average of £104,000 in 2025, compared to £135,000 for men – a gap of roughly 30 per cent.
The disparity extends beyond base salaries, as bonuses constitute a significant portion of total pay in the industry. Jeannie Boyle, director and chartered financial planner at EQ Investors, highlighted that bonus structures are often opaque and subjectively awarded. Women, more likely to work part-time and less 'visible', may lose out, but verification is hindered by secrecy around these awards.
Bonuses also impact long-term financial security. Boyle noted that bonuses are often used to boost pension contributions, an option not available to those without sufficient financial stability. Charles Cotton of the CIPD pointed out that gender pay gaps in finance are driven by under-representation of women in senior, high-paying roles. Women hold 49 per cent of entry-level positions but only 23 per cent of C-suite roles, with progress stalling since 2022.
Cotton emphasised that employers must address progression into senior roles and reward decision-making. Persistent caring responsibilities, which affect working patterns, and workplaces rewarding long hours, further widen pay gaps. He called for fair promotion processes, flexible working, and regular pay reviews.
The cumulative impact is significant: lower pay and smaller bonuses reduce the ability to save and invest, widening the wealth gap. Boyle illustrated that investing £100 monthly over 40 years could build a pension pot of around £300,000, underscoring how the pay gap affects retirement timing for women in finance.
