Gender pension gap widens to almost £100,000

29 January 2025

Men have nearly twice as much pension wealth as women, according to the Wealth & Assets survey from Broadstone.

Of all adults aged over 16, men have a median of £75,700 in private pension savings, whether that is pots they are actively contributing to, preserving for retirement or receiving in payment. This is nearly twice as much as women whose median private pension savings are £42,500.

While this trend is evident across all age groups, it is more prominent among those nearing retirement, the financial services consultancy said. Of those aged 45-54, men have median private pension wealth of £108,100, over £50,000 more than women whose median savings stand at £57,900.

Similarly, men aged 55-64 and 65-74 have median private pension wealth of £193,900 and £191,600 respectively, considerably higher than women of the same age groups who have private pension savings of £105,200 and £106,300 respectively.

Rachel Coles, workplace engagement consultant at Broadstone, said: “Private pension savings are vital to achieving a decent standard of living in retirement by providing supplementary income to state-provided sources via benefits or the State Pension. While the problem of pension adequacy is well known and understood, data like this is important in helping to uncover specific segments of society that are likely to be worst off.

“It highlights the need for more targeted support towards women to help encourage higher levels of pension saving while other initiatives that help lower the hurdles women face in progressing their earnings will also support this drive.”

Coles believes financial education will be critical in building awareness of the importance of retirement savings, the tax efficient benefits of pensions and how factors like saving younger can help maximise savings.

She added: “In couples where there is an unequal distribution of wealth, the data also demonstrates the need for careful estate planning to ensure wealth can pass from husband to wife in the event of a death.”

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