Skip to content
Search

Latest Stories

"Rhetoric" masks lack of progress on gender diversity in finance: FCA

THE number of women in senior roles at financial services firms in Britain has flatlined since 2005 despite diversity "rhetoric" from industry, according to research from the Financial Conduct Authority (FCA).

The markets watchdog said on Friday (25) that despite bold targets and high-profile initiatives to boost the number of women in leading roles, there have been only pockets of progress.


The proportion of women in so-called approved persons roles - those responsible for key aspects of a company such as systems and controls - and more recently those vetted under the new senior managers regime was 17 per cent in UK financial services in 2019, almost unchanged since 2005, the research showed.

The FCA's large database gives it a reliable basis for estimating gender diversity at the overall level, the watchdog said.

There has been a degree of improvement at some unnamed systemically important banks, taking this group to just above a low overall industry average, but other sectors remain "the same old boys' clubs that they ever were", the research said.

"Overall then the picture is sobering: for all the rhetoric and conspicuous effort by some firms, the upper echelons of many financial services businesses remain as undiverse today as back in 2005," the research said.

Many of the firms that have above-average diversity are signatories of the British finance ministry's Women in Finance charter, it said.

The charter was launched in 2016 to encourage gender diversity and now has over 350 signatories covering 800,000 employees in the financial sector.

Under the charter, firms set their own targets and implementation strategies for increasing the number of senior women in their organisation, and agree to publicly report on progress.

An update on the charter's progress for the finance ministry in July said a shortage of senior women, particularly with backgrounds in technology and investment, could frustrate efforts to reach diversity objectives.

Continued male domination of the sector was also deterring women from entering financial services in the first place, and some firms don't want to feel obliged to hire a woman when a woman departs, said the update, which was compiled by the New Financial think-tank after surveying the charter's signatories.

Encouraging women to apply for senior roles was challenging as firms "fished" in the same limited pool, contributors to the update said.

UK Finance, the trade body for banks in Britain, said firms recognise the importance of having a fair and inclusive workplace. However, there is more work to be done, which is why it and many of its members have signed the charter, it said.

The FCA said that investment management firms showed most diversity, with the most prominent and successful women in finance working as wealth managers.

Brokerages were the least diverse, it said.

The FCA said on Friday that representation of women in its own senior leadership team was 40 per cent by March this year, and it has a target of parity by 2025.

(Reuters)

More For You

Sanjay Bhandari's extradition appeal opens in London
Sanjay Bhandari

Sanjay Bhandari's extradition appeal opens in London

SANJAY BHANDARI, a consultant in the defence sector wanted in India on alleged tax evasion and money-laundering charges, began an appeal in the High Court in London against his extradition order.

The 62-year-old businessman had won permission to appeal against a November 2022 Westminster Magistrates’ Court ruling clearing his extradition earlier this year.

Keep ReadingShow less
Rupert Murdoch looks on as he walks on the day of the hearing on the contentious matter of succession of Rupert Murdoch's global television and publishing empire, in Reno, Nevada, US, September 23, 2024. (Photo: Reuters)
Rupert Murdoch looks on as he walks on the day of the hearing on the contentious matter of succession of Rupert Murdoch's global television and publishing empire, in Reno, Nevada, US, September 23, 2024. (Photo: Reuters)

Murdoch's bid to secure eldest son's control of media empire fails

RUPERT MURDOCH’s attempt to secure control of his media empire for his eldest son, Lachlan, has reportedly failed, according to a US news report on Monday.

The Murdoch family, which oversees influential outlets like Fox News, The Wall Street Journal, and various British and Australian media organisations, has often been compared to the fictional dynasty in the TV series Succession. Like the show, real-life disputes within the Murdoch family have centred on control of the business after Rupert Murdoch’s death.

Keep ReadingShow less
Kamlesh Pattni faces UK sanctions for illicit gold trade
Pattni stands accused of central involvement in the infamous Goldenberg scandal. (Representational image: iStock)

Kamlesh Pattni faces UK sanctions for illicit gold trade

THE UK and US have imposed financial sanctions on Kamlesh Pattni, a British-Kenyan businessman with a controversial financial history. The punitive measures target Pattni and four of his close family members, including his wife and brother-in-law, reported the BBC.

The sanctions, announced by the UK Foreign, Commonwealth and Development Office, will result in the immediate freezing of assets, representing a significant intervention in what officials describe as a complex network of illicit gold trading spanning multiple African nations.

Keep ReadingShow less
Sanjay Malhotra speaks during the 67th Foundation Day of the Directorate of Revenue Intelligence (DRI) in New Delhi on December 4, 2024. (Photo: Getty Images)
Sanjay Malhotra speaks during the 67th Foundation Day of the Directorate of Revenue Intelligence (DRI) in New Delhi on December 4, 2024. (Photo: Getty Images)

India appoints Sanjay Malhotra as new central bank governor

INDIA has appointed Sanjay Malhotra, a senior finance ministry bureaucrat, as the new governor of its central bank, the Reserve Bank of India (RBI).

The announcement was made on Monday, a day before the term of outgoing governor Shaktikanta Das was set to expire.

Keep ReadingShow less
The new order includes 10 widebody A350 planes and 90 narrowbody A320 family aircraft.
The new order includes 10 widebody A350 planes and 90 narrowbody A320 family aircraft.

Air India orders 100 more Airbus jets to expand fleet

AIR INDIA has placed an order for 100 more Airbus aircraft to expand its fleet and enhance connectivity, the Tata Group-owned carrier announced on Monday.

The new order includes 10 widebody A350 planes and 90 narrowbody A320 family aircraft. The purchase is in addition to the 470 aircraft Air India ordered last year from Airbus and Boeing, the airline said in a statement.

Keep ReadingShow less