Study: Women in Wealthy UK Households Earn 25% Less Per Hour Than Men

A new analysis of four decades of work‑history data found that women in higher‑earning households in the United Kingdom earn about 25% less per hour than men, a disparity far larger than the gap recorded in lower‑earning households.

Researchers at City St George's at the University of London analysed 40 years of retrospective employment data and reported that men in affluent households earned an average of £29.27 per hour while women earned £21.94 per hour — a difference of roughly 25%. In contrast, the study found an average hourly earnings difference of about 4% in lower‑earning households, with men earning £8.22 per hour and women £7.90 per hour. The findings were published Sept. 2, 2025.

The gender pay gap, as measured in the study, refers to the difference between average earnings of men and women across the workforce rather than to unequal pay for identical roles. The researchers said the larger gap among wealthier households is partly driven by persistent expectations that women assume unpaid care responsibilities for children and elderly relatives, which can limit working hours, career progression and access to higher‑paid roles.

The study did not attribute the gap to a single cause, noting a combination of factors including occupational segregation, part‑time work patterns, career interruptions and structural barriers within firms. By focusing on household income strata, the analysis highlights how inequality in labour markets interacts with household economic position to produce divergent outcomes.

Experts commenting on the research pointed to the long‑term consequences of the disparity for income trajectories and retirement savings, particularly where higher household earnings might otherwise mask reductions in individual labour market attachment. The researchers said the pattern underscores the need for policy and workplace changes to address unpaid care burdens and support continuity of employment and promotion opportunities for women.

The findings add to a body of research that differentiates the gender pay gap from equal pay issues and shines a light on variation by household wealth. Policymakers and businesses seeking to narrow gender gaps have implemented measures such as enhanced family leave, flexible working arrangements and targeted promotion pipelines; the new analysis suggests such measures may need tailoring to address disparities that are more pronounced in higher‑earning households.

The researchers used retrospective self‑reported and administrative employment histories spanning multiple decades to construct hourly earnings estimates across household income bands. The study's authors cautioned that while average hourly earnings provide a useful comparison, they may not capture all dimensions of compensation such as bonuses, benefits or occupational seniority that can also influence observed gaps.

Trade unions, equality groups and some economists have urged further research into the mechanisms that amplify the pay gap in wealthier households and called for employer transparency on pay and progression outcomes. The paper's authors recommended continued monitoring of pay patterns by both individual and household income to inform targeted interventions.

The analysis complements ongoing debates in the UK about workplace equality, the role of unpaid care in labour market outcomes and how best to design policies that support equitable access to higher‑paid roles. Further peer‑reviewed publication details and the underlying dataset were made available by the research team for independent scrutiny.