This week’s Budget represents a pivotal moment in British history. It is not only Labour's first Budget in 14 years but, for the first time in 110 Chancellors and 291 years, it will be delivered by a woman. This change is reflective of the progress that has been made in women’s leadership in politics and other sectors but there is still much more to be done. In the light of the Autumn Budget, let’s take stock of the significance of this moment by not only examining the economic challenges we face in this country but also the urgent need to foster a more equitable and, ultimately, prosperous future for all.
Women have historically faced barriers to leadership, and despite recent progress, gender representation in senior roles remains unequal. In 2023, female representation on FTSE 100 Executive Committees reached 30% for the first time, but only 10 companies within this group are led by female chief executives. Additionally, only one in three UK entrepreneurs is female, with women’s average starting capital 50% lower than men’s.
These statistics reflect the uphill challenges that women face in the business world; challenges I have witnessed first hand as a female Partner at city accountancy firm haysmacintyre. In my 20 plus years in the financial services industry, there have been occasions where I have been overlooked or misjudged because of my gender including instances where new acquaintances assume that I am not in a leadership or fee-earning role.
I don’t think many people in the UK are questioning Rachel Reeves’ credibility as Chancellor because of her gender, but that is sadly not the case for many other women rising through the ranks. At the current rate of progress, the World Economic Forum estimates that it will take more than 130 years to reach full gender parity, roughly five generations from now.
While this rate of change is concerning, what is even more so is the fact that we are at risk of losing progress. Research from the King’s College London’s Global Institute for Women’s Leadership found that nearly half (47%) of Britons say that when it comes to giving women equal rights with men, we have gone so far in promoting women’s equality that, men are now being discriminated against. This is particularly true among men aged 16-27, of whom 60% think that ‘women’s equality has gone too far’, more than any other age group.
As a mother of one daughter and two sons this is a concerning narrative which I hope doesn’t gain further momentum. I hope for them to enter a workplace that sees them in equal light giving them equal opportunity. The world is a big place. I know my sons aren’t going to begrudge my daughter forging a path in life side by side to them rather than a number of steps behind and in their shadow.
The rising scepticism towards gender equality that King’s College found is not only dangerous it’s bad for business. We need to start treating women in leadership as more than a diversity quota or tick-box exercise and recognising them as a genuine financial asset to organizations and the economy. More diverse leadership leads to better results.
The “Rose Review” found that if women in the UK had the same starting opportunities as men in entrepreneurship, including equal access to capital, it could add a staggering £250 billion to the economy. This is just the tip of the iceberg. There is so much untapped female potential in this country, and systemic support is key to unlocking it.
In the Budget, it is rumoured that the Chancellor will allocate £1.8bn for the expansion of government-funded childcare, with a further £15m of capital funding for school-based nurseries. Childcare reform is a critical issue that disproportionately affects women, and the Chancellor has made removing this and other barriers, such as the gender pay gap, a priority for her tenure.
As businesses, we must mirror the progress being made in government by supporting women in leadership roles. I am proud to say that at haysmacintyre, our gender pay gap is 3%, more than 20% lower than the average of the financial services industry. This journey is ongoing and requires active work.
We have also worked hard to develop industry-leading maternity and menopause policies that empower women in our workplace and are committed to greater equality in our leadership. In total, 45% of our workforce is female, 40% of our sector heads are female and 44% of our management team is female. Providing clear paths to leadership for women is more than just the right thing to do; it’s a necessity for future economic resilience.
In this moment of great challenge and opportunity, as a female Chancellor guides us through economic challenges, it is time for businesses and society to embrace and elevate women’s contributions in all sectors. A future where women are equal partners in leadership isn’t merely a matter of social justice but a crucial strategy for economic success. Let this Budget be the beginning of a new chapter in which the full potential of women’s leadership is recognized, championed, and woven into the very fabric of our economy.
Natasha Frangos is Managing Partner of haysmacintyre
