Women's Retirement Income Hits A Record High - But The Gender Gap Starts To Grow Again
03 August 2016
- Women planning to retire this year expect to have the highest annual retirement income on record
- But they will still be £5,400 a year worse off than men in retirement
- Just two in five women think they will have a financially comfortable retirement
Women planning to retire this year expect to have the highest retirement income on record but the gender gap has started to grow again, according to new research from Prudential1.
The unique annual research, which tracks the future financial plans and aspirations of people planning to retire in the year ahead, is now in its ninth year. It shows that the women in the Class of 2016 have an average expected retirement income of £14,450 – the highest on record and up £150 on last year.
However, despite the increase in the women’s average expected retirement income, the gap between the two sexes has grown by £600 since last year, to £5,400. Women planning to retire this year expect to live on an annual income 27 per cent lower on average than the £19,850 expected by men in the Class of 2016.
The growth of the gender gap among the Class of 2016 partly reverses some of the gains made by women retiring in 2015, when there was a record fall in the size of the gender gap – of nearly £2,000. Despite this year’s rising gap, the difference between men’s and women’s expected retirement incomes is still around £4,000 less than in 2008, the year when it was at its largest at £9,500.