Sami
New analysis into the state pension payments administered by the Department for Work and Pensions (DWP) reveals a persistent—though narrowing—gap between what men and women receive upon retirement.
Despite progress, men continue to receive £94 more annually than women in state pension payouts.
Current State Pension Payment Figures
Data shows that newly retired men are being paid an average of £209.95 per week, compared to £208.15 for women, translating to a weekly difference of £1.80 or £93.60 annually.
While this discrepancy is significantly smaller than in previous years, it remains a point of concern among policymakers and pension experts.
Sir Steve Webb: Progress Made, But More Work Ahead
Sir Steve Webb, former Liberal Democrat Pensions Minister and the architect of the Triple Lock policy, expressed cautious optimism about the current figures. Now serving as a partner at consultancy firm LCP, Webb stated:
“I’m pleased to see that for today’s retirees, the battle against the gender pension gap is nearly won.”
However, he emphasized that thousands of women who retired in previous decades are still facing underpayments and unfair pension shortfalls.
“There are still too many women living on lower pensions due to errors and outdated systems. I remain committed to advocating for fair treatment and correcting long-standing underpayment issues.”
Calls for Structural Reforms by Helen Morrissey
Helen Morrissey, a senior analyst at Hargreaves Lansdown, echoed Webb’s concerns, adding that deeper reform is necessary to tackle the root causes of pension inequality.
She pointed out that many women have interrupted work histories, often due to childcare responsibilities or a lack of workplace flexibility, which significantly impacts their ability to build adequate pension savings.
“Ensuring affordable and quality childcare, along with flexible working arrangements, is essential to allow women to remain in the workforce and contribute consistently to their pensions.”
Weekly State Pension Payments Comparison
| Group | Weekly Payment | Annual Difference |
|---|---|---|
| Newly Retired Men | £209.95 | – |
| Newly Retired Women | £208.15 | £93.60 less |
While recent data shows that the gender gap in state pensions is shrinking—down to £1.80 per week—the issue isn’t fully resolved. Men are still receiving nearly £100 more annually than women in their retirement income.
Experts like Sir Steve Webb and Helen Morrissey stress the importance of continuing to correct past underpayments and pushing for structural reforms, including better childcare access and workplace flexibility. These steps are crucial to achieving true pension equality for current and future retirees.
FAQs
Why do men still receive more in state pension than women?
Men typically have more complete National Insurance records due to fewer career breaks, leading to slightly higher pension payments compared to women.
What is the Triple Lock policy and who created it?
The Triple Lock ensures that state pensions increase each year by the highest of inflation, average earnings growth, or 2.5%. It was introduced by Sir Steve Webb in the early 2010s.
What reforms are being suggested to close the gender pension gap permanently?
Experts suggest improvements in childcare availability, workplace flexibility, and accurate pension payment systems to support women in maintaining continuous employment and pension contributions.