UK gender wealth gap widens ‘sharply’ as women’s wealth falls

The UK’s gender wealth gap has widened ‘sharply’ over the past year, as women’s wealth declined while men’s continued to increase, according to research from Handelsbanken Wealth.

Average financial assets help by women fell from £177,019 to £142,228 in 12 months, the research found, a drop of nearly 20 per cent.

Meanwhile, men’s average wealth increased from £217,988 to £224,928 over the same period, driving the gender wealth gap to its widest level since Handelsbanken began conducting its surveys.

The wealth manager said its 2026 Wealth Survey suggested the gap was about more than just pay, as it was increasingly being driven by disparities in long-term wealth creation.

Women were found to be less confident about investing and less likely to be responsible for the financial decisions that build wealth over time.

More than half (56 per cent) of men felt they understood investments well, compared to just 34 per cent of women, while 26 per cent of men felt apprehensive about making investment decisions compared to 39 per cent of women.

While women were more likely to manage everyday finances, men continued to dominate decisions that shape future wealth.

Men were more likely to be responsible for their pension (46 per cent) and investments (42 per cent) than women (33 per cent and 23 per cent respectively).

Handelsbanken highlighted that access to professional financial advice can play an important role in building long-term wealth by helping people make informed decisions around investing, pensions, and financial planning.

A quarter (25 per cent) of women do not receive financial advice, only slightly higher than the 22 per cent of men that do not access advice.

However, men were more likely to seek support from professional financial advisers and government-backed sources, while women were more likely to rely on family and friends for financial guidance.

"Seeing women's average financial assets fall by more than £34,000 in a single year, while men's wealth continues to grow, highlights just how fragile financial progress can be,” said Handelsbanken head of wealth, Stephen Cowling.

“As well as reporting lower wealth, women also continue to report lower levels of investment knowledge and confidence, and are significantly less likely to be responsible for pensions and investment decisions.

“Missing out on those conversations and decisions over many years can have a profound impact on long-term wealth.

"Closing the wealth gap will require more than narrowing the pay gap. It means improving financial confidence, encouraging earlier engagement with investing and pensions, and ensuring more women are empowered to take control of the decisions that shape their financial futures."

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