The Financial Conduct Authority (FCA) has today published a package of information on the progress the organisation is making towards achieving its diversity targets and details of its gender pay gap.
The FCA has set a target of 45% of its senior leadership team identifying as female by 2020 and 50% by 2025 as part of its commitment to the Women in Finance charter. Progress towards the target is reported annually as at 31 March. For 2017 the FCA’s senior leadership team is 36% female, which has fallen from 39% in 2016.
Under new legislation organisations must publish gender pay gap information on an annual basis. Using the required legislative calculation, the FCA’s mean gender pay gap is 19.28% and the median gap is 20.91%. This reflects relatively fewer women in more senior technical and managerial roles and the higher proportion of women at administrator level. This is not an equal pay issue; the FCA’s clear position is that women and men who carry out the same jobs, similar jobs or work of equal value are paid equally.
The FCA has set a target of 8% of its senior leadership team identifying as Black Asian Minority Ethnic (BAME) by 2020 and 13% by 2025. As of 31 March 2017 the FCA’s senior leadership team is 2% BAME which is down from 3% in 2016.
Since March 2017 the FCA has been making better progress towards its targets and anticipates this will be reflected in the 2018 figures.
Christopher Woolard, Chair of the FCA’s Executive Diversity Committee said:
‘Having a diverse workforce helps us make better decisions and judgements as a regulator and it is important that as a regulator we reflect the society which we represent. People who join us say our strong commitment to diversity and inclusion is a major reason for wanting to work at the FCA.
‘We are obviously disappointed that the number of people identifying as female and BAME in senior leadership roles fell slightly in the year ending 31 March 2017. However, we are taking positive steps to ensure that we achieve a better balance across the organisation. This includes improving our gender balance throughout the organisation which will help reduce the gender pay gap.
‘We already know that recruitment to our senior team is beginning to increase the representation of women and BAME colleagues. We have set an ambitious aspiration for greater diversity in the FCA and are determined to meet it.’
The FCA has set out a number of actions that the organisation will take in order to achieve its targets. These steps include:
- all senior leaders have an objective around the promotion of diversity and inclusion
- senior leaders are focusing on ensuring that diversity and inclusion is considered when allocating work
- expecting hiring managers and agencies to produce balanced shortlists which will give the FCA the best candidates for all roles
- training sessions demonstrating the importance of diversity and inclusion to the organisation. Those taking part will make a commitment to change by taking positive action through their management decisions
- establishing a number of mentoring schemes which include an internal mentoring scheme for women and participation in the 30% Club mentoring scheme and Race for Opportunity Cross Organisational Mentoring Circles
The FCA will report again in 2018 on its progress towards its targets.
Christopher Woolard has also today given a speech to City and Financial LGBT event discussing the important of diversity.
Notes to editors
- The gender pay gap describes the difference between the average pay between men and women. This is fundamentally different from ‘equal pay analysis’ which looks at the pay difference between men and women who carry out the same jobs, similar jobs, or work of equal value.
- Additional information on diversity and inclusion and the gender pay gap.
- On 1 April 2013, the FCA became responsible for the conduct supervision of all regulated financial firms and the prudential supervision of those not supervised by the Prudential Regulation Authority (PRA).
- The FCA has an overarching strategic objective of ensuring the relevant markets function well. To support this it has three operational objectives: to secure an appropriate degree of protection for consumers; to protect and enhance the integrity of the UK financial system; and to promote effective competition in the interests of consumers.
- Find out more information about the FCA.