The UK’s finance sector is making progress in increasing female representation in senior management, according to the HM Treasury’s annual Women in Finance Charter report.
The report showed average senior female representation across Charter signatories has risen to 35% in 2022, up from 33% in 2021.
It noted that almost three quarters have increased their proportion of women in senior management while 77% have either increased or maintained their proportion of women in senior management.
In addition, half of those assessed have set a target to raise their firm’s representation of women to at least 40%.
HM Treasury launched the Women in Finance Charter in 2016 to encourage the financial services industry to improve gender balance in senior management.
It currently has more than 400 signatories, including HSBC, Aegon Asset Management, and Schroders.
The HM Treasury has annually published an accompanying annual review monitoring signatory progress from the previous year, in collaboration with think tank New Financial.
The Women in Finance Charter was launched to encourage the financial services industry to improve gender balance in senior management. It currently has more than 400 signatories, including HSBC, Aegon Asset Management, and Schroders.
Signatories of the Charter must report annually to the Treasury on their progress against their self-created targets for women in senior management.
The HM Treasury noted that, for the first time since the Charter’s creation the top quarter or 52 firms have already achieved at least 40% representation in senior management, representing “great strides” in progress.
“A 2% improvement is encouraging, but we have to move beyond that and soon if we are going to make lasting change,” said Amanda Blanc, group CEO at Aviva and Women in Finance champion.
“She adds, “The signs are good, and what is hugely encouraging is to see leaders being held accountable for the levels of diversity in their business and that data is finally being allowed to flex its muscles on this issue.”
Treasury Lords Minister Baroness Penn said, “There is much to celebrate this year. Signatories have demonstrated their commitment to delivering on this agenda: analysing data to drill into the issue at hand, setting ambitions high, and working to develop and inspire the leaders of tomorrow.
It is most encouraging to see that after last year’s stall in progress, our 400+ strong signatory base has brought itself back on track.”
She added, “This report should serve as a marker of strong progress but also a reminder that we shouldn’t be complacent. I want to ensure that the Charter continues to be a tool for keeping the sector competitive, innovative, and productive.
This journey is not linear, but together we can keep each other accountable, drive growth and boost innovation in the financial services sector.”
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