Bridging the gender advice gap

Natalie Beer, Director of Sales, UK

According to intelliflo’s 2025 Advice Map of the UK, which analyses nearly three million advised client records held within intelliflo office, the gender advice gap stands at 7%, with fewer women than men seeking advice. For women in a relationship, the advice gap is even more pronounced, standing at 12% for married women, widening to 14% for those in unmarried relationships.

The gender advice gap

So why do fewer women seek advice? The reasons behind the gender advice gap are the subject of much debate. Many suggest it’s a knowledge gap: the lang cat’s 2024 Advice Gap report found that more women were unsure where to find a good financial adviser (25% compared to 20% of men). Others highlight a confidence gap. HSBC found that 69% of women don’t feel confident about investing, compared to 56% of men.

The pay gap is another factor. The Office for National Statistics (ONS) reports that full-time female employees earn 7% less than full-time male employees (albeit down from 7.5% in 2023), with the gap widening for high earners and those over 40 – likely due to the impact of raising children. This directly influences the wealth gap: HSBC’s research also revealed that 34% of women do not have any savings, compared to 28% of men.

There may also be a priority gap. Research by Charles Stanley found that 45% of high-net-worth women put their children first when considering wealth planning, compared to 33% of men. Similarly, a 2022 survey of US consumers by Ellevest magazine found that women’s top financial priority was supporting their family, while for men, it was growing their retirement savings.

As Verona Kenny, Chief Distribution Officer at Abrdn, explains, “It’s complicated. I don’t think the gender advice gap is due to women not being capable or lacking the desire to build wealth. In my experience, women are often very engaged with their finances, but fifty years ago, it could be hard for a women to even open a bank account in their own name and we’re still fighting against that history. We’re playing catch-up, but the trend is going the right way, and we should be ambitious about getting to a level playing field.”

The great wealth transfer

Levelling the playing field will become increasingly important over the next twenty years as we witness the great wealth transfer. The Kings Court Trust estimates that £5.5 trillion will pass within UK families through inheritances and gifts by 2050, and women are expected to receive a significant share.

Madeleine Debney, founder of AI digital paraplanner Otto, sees the shifting wealth dynamic as a major opportunity for advisers. Remembering her drive to establish a women’s investing network early in her career, she recalls: “All of my friends had these amazing jobs with huge incomes, but they didn’t have a clue about investing or pensions. They didn’t have any help, and they couldn’t afford a financial adviser. A decade on, that problem still hasn’t been solved.”

Closing the gap

However, she believes we are now at a tipping point. On one hand, significant wealth is set to transfer between generations, and to women in particular, creating commercial opportunities for advice firms and financial product providers. On the other, emerging technology, especially AI, will transform advice delivery and reduce costs by automating administrative tasks and workflows.

Verona argues that improving access to advice for women requires improving access for all: “The way we talk to customers, whether male or female, needs work. We need to focus on consumer understanding and offer different ways for people to engage with their finances – not a ‘woman’s way’ or a ‘man’s way’, but in a way that suits the individual. Technology can really help here, to enable better consumer understanding, but the role of advisers is also crucial to give confidence that you’re making the right choices.”

 

The advice profession has a critical role to play in encouraging more women to seek advice and secure their long-term wealth. Technology will also be key, not just in closing the gender advice gap, but in making advice more accessible to all and improving the financial futures of generations to come.

This article was first published in FT Adviser on 21 March. Please find a link to the original piece here.