City women paid 60% less than men

The gender pay gap in the finance sector stands at 60% - more than twice the national average - research has revealed.

A report commissioned by the Equality and Human Rights Commission found that on average women working full time in areas including fund management, stock broking and futures trading earn 60% less annual gross salary than men. The national gender pay gap for annual gross pay stands at 28%.

Across all roles in the sector female full-time employees receive 55% less annual gross pay. For hourly gross pay, the pay gap is 39% - more than double the national average of 17%.

The report is the first stage of the EHRC's Inquiry into sex discrimination and pay rates in the financial sector. Trevor Phillips, chair of the commission, said: 'The figures we're releasing today are shocking and indicate just how serious the pay gap has become in the financial sector.

"However you look at the numbers, women do not have equal status or equal rewards."

Phillps called for a renewed commitment to fairness and tackling the inequality faced by women for decades.

He added: "The reasons for the differences between men and women in the sector are complicated and include factors like job segregation as well as differences in average working hours."

The EHRC has begun analysing employers' flexible working policies and mentoring schemes to identify how they can be taken up more widely in the sector.

The full inquiry is expected to report back in July.

At a glance: Inequality in financial services

• Women earn 60% less annual gross salary on average than men and the pay gap for hourly gross pay is 39% - more than double the national average.
• 11% of senior managers in the sector are women, compared to 28% in the economy as a whole.
• 70% of men earned more than £29,400 in 2007/8, while 70% of women earned less than £29,500.
• The gender pay gap for mean annual incentive pay for full-time employees is 79%.