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The Gender Pensions Gap
By Khadijah Zaidi & James Mirza-Davies
The gender pensions gap refers to differences in retirement income or retirement wealth for men and women, and it can be measured in different ways. The gender pensions gap is mainly caused by the gender pay gap. There are however additional causal factors relating specifically to pensions, such as historic state pension rules, the impact of auto-enrolment rules on different types of workers, and how divorce settlements treat pensions. The Work and Pensions Committee (amongst others) called on the Government to develop a statutory measure of the gender pensions gap. This measure, described in more detail in section 1.1 below, was developed and first reported on in June 2023. The Government confirmed on 5 July 2023 that they plan to update this measure annually. Other organisations have developed other measures of the gender pensions gap, and some of the main measures of the gender pensions gap are detailed in the rest of this chapter. Prospect describes a wider range of measures in its report Achieving gender equality in pensions: Prospect’s 2021 report on the gender pension gap.
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