UK insurance boards slash gender pay gap

The gender pay gap on UK insurance company boards dropped from 28% in 2020 to just 3% in 2024.

That was according to EY, which said that UK financial services firms are moving “faster than their transatlantic peers to narrow the board-level gender pay gap”.

The consultancy said that the UK is the only major financial services market across Europe and North America to have narrowed its gender pay gap for non executive directors since 2020.

Overall, the gender pay gap on UK financial services boards narrowed by 11 percentage points from 40% to 29% between 2020 and 2024.

And the 25 percentage point swing in insurance is one of the largest drops in UK financial services. In wealth and asset management, for example, the gender pay gap declined by 31 percentage points from 52% in 2020 to 21% in 2024.

Martina Keane, EY UK and Ireland financial services leader, said: “It is encouraging to see UK financial services firms move faster than their transatlantic peers to narrow the board-level gender pay gap, particularly when many comparable markets are moving in the opposite direction. But this progress should not obscure the scale of the challenge that remains.

“The progress made in asset management and the near parity achieved in insurance show what is possible.”

More effort needed

Despite progress, however, the UK still has one of the highest board-level gender pay gaps in the transatlantic financial services market.

At 29%, the gap is much larger than that of the US (4%), Canada (9%), Germany (21%), France (22%) and in line with Italy in percentage terms.

Keane said: ”Concerted, proactive efforts are needed to sustain and build on the progress that’s been made, but the pace must pick up.

”Faster progress to gender pay equality in financial services will better ensure the best global talent is attracted, retained and leveraged to promote industry and economic growth.”