{"id":278993,"date":"2025-07-21T03:54:18","date_gmt":"2025-07-21T03:54:18","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/278993\/"},"modified":"2025-07-21T03:54:18","modified_gmt":"2025-07-21T03:54:18","slug":"womens-pensions-are-less-than-half-of-mens","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/278993\/","title":{"rendered":"Women’s pensions are less than half of men’s"},"content":{"rendered":"

\n\t\t\t\t\tRoyal London is urging the Government to take action to tackle the barriers preventing women from not saving enough for retirement\t\t\t\t\t <\/p>\n

Women are retiring with less than half the savings of men, with just 42p in their pension pots<\/a> for every \u00a31 of their male counterparts.<\/p>\n

Insurer Royal London found that while men have average nest eggs of \u00a392,000, women typically have just \u00a339,000 \u2013 a gap that experts warn is putting millions at risk of financial insecurity in later life.<\/p>\n

The stark research comes ahead of the Government\u2019s expected update<\/a> on the second phase of its pension review and lays bare the persistent gender divide in retirement wealth.<\/p>\n

Sarah Pennells, consumer finance specialist at Royal London, said the figures should serve as a wake-up call.<\/p>\n

She said: \u201cIt\u2019s deeply concerning that for every \u00a31 a man has saved towards his pension, a woman has just 42p \u2013 this isn\u2019t just a statistic, it\u2019s a glaring inequality.<\/p>\n

\u201cWomen typically retire<\/a> with far less in their pension pots than men, and that\u2019s no accident. It\u2019s the result of lower average earnings, time out of the workforce for caring responsibilities, career breaks, and part-time work.\u201d<\/p>\n

Meanwhile, men have an average of \u00a3145,000 in personal assets<\/a> compared to \u00a379,000 for women, further highlighting the broader financial inequality that extends beyond pensions.<\/p>\n

Confidence in managing pensions is also split along the gender line, with just 29 per cent of women saying they feel confident in combining or transferring pensions, compared to 44 per cent of men.<\/p>\n

Campaigners warn that this confidence gap could leave many women disengaged from crucial financial planning and less likely to seek advice or switch to better pension products.<\/p>\n

With the Government poised to release the next stage of its review, Royal London is calling for urgent action to tackle structural barriers that prevent women from saving inadequately<\/a> for retirement.<\/p>\n

Ms Pennells added: \u201cIt\u2019s encouraging to see a continued focus on how the Government plans to support growth and reduce inequality.<\/p>\n

\u201cThe upcoming second phase of the Government\u2019s pensions review presents a valuable opportunity to explore a range of issues affecting retirement outcomes, including the gender pensions gap.\u201d<\/p>\n

While any proposed changes are unlikely to be immediate, Ms Pennells believe this phase of the review could help \u201clay the foundations for long-term improvements in the pension system\u201d.<\/p>\n

Royal London is also urging employers to play their part. Equal opportunities for career progression, flexible working policies, and better communication around workplace benefits could all make a significant difference.<\/p>\n

Ms Pennells also stressed the importance of menopause awareness training, warning that too many women feel forced to reduce their hours or leave work altogether because of unsupportive working environments.<\/p>\n

She explained: \u201cThis training could cover menopause and how to create a supportive environment so women experiencing symptoms don\u2019t feel they have little choice but to reduce their hours or leave their job entirely.\u201d<\/p>\n

But she emphasised that the issue runs far deeper than individual choices or awareness campaigns.<\/p>\n

She added: \u201cWe need to move beyond simply encouraging people to save more and make the system work better for everyone.<\/p>\n

\u201cThat means addressing the structural barriers that hold women back from building up their pensions.\u201d<\/p>\n

One of the most urgent reforms, according to Ms Pennells, is expanding auto-enrolment into workplace pensions.<\/p>\n

Currently, many low-paid and part-time workers \u2013 disproportionately women \u2013 are excluded from the system.<\/p>\n

In automatic enrolment for workplace pensions, only those earning over \u00a310,000 per year and working as employees are included. Self-employed people and those earning less than \u00a310,000 \u2013 perhaps because they are part-time workers \u2013 are not included.<\/p>\n

She said reforming enrolment rules would be \u201ca key step\u201d in boosting savings rates among women.<\/p>\n

She said: \u201cWe also need to look at how childcare costs and caring responsibilities affect a woman\u2019s ability to save and ensure that policies reflect the realities of modern working lives.\u201d<\/p>\n

\nHow to help close your pension gaps<\/p>\n

Below are ways you can help close your own pension gap to ensure you save enough for the standard of living you want in retirement.<\/p>\n