An analysis conducted by Financial News found that the average median pay gap in the UK’s fintech industry was 31.54% in 2018. This is worse than gender pay gap in the asset management sector with 28.33% and in the investment banking industry with 31.22%. The analysis focused on the percentage difference in hourly rates and did not include bonus pay.
A senior fintech manager said the sector had the chance to close the pay disparity with the launch of several businesses but they blew it.
Challenger bank and peer-to-peer (P2P) lender Zopa reported a 39.1% gender pay gap. Chief executive Jaidev Janardana admitted their numbers are far from ideal and attributed the disparity to the high number of women in operational, administrative and non-technical roles and fewer women in senior leadership positions.
P2P lender Funding Circle and fintech banks Starling, Monzo and Atom had a median gender pay gap of 14% in 2018. Of the four, Starling had the most significant improvement compared to the previous year.
A report from fintech lobbying group Innovate Finance revealed that companies with at least one female founder got only 3% of the total $1.7 billion in venture financing invested in the UK in 2018.
Asset management lobbying group Investment Association reported that 39 of its largest members had a median gender pay of 31%.