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121619
Pay gap sees women saving less for retirement
November 1, 2011
By Caroline Johnson

Women are generally saving less than men towards their retirement due to the difference in the average pay received by each gender.

According to recent research by Scottish Widows, the typical salary for a man in the UK is £28,091, while women receive around £22,490. This results in a higher percentage of women who are saving nothing at all - 23 per cent compared to 17 per cent of men.

However, the survey did find that the number of women who are managing to save has reached a seven year high. In fact, 50 per cent are putting cash away for later in life, compared to 43 per cent last year.

Ian Naismith, head of pensions market development at Scottish Widows, said: "It is encouraging to see a positive step change in the number of women saving adequately for retirement, especially given the challenging economic climate, but the gender gap still exists.

"Many women will spend a proportion of their career working part-time and will also face challenges of lower pay, higher childcare cost and growing unemployment, so despite their best efforts this will have a knock on effect on their financial decisions and saving for retirement," Mr Naismith went on to say.

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