LGBTQ+ savers face a “pensions gap” according to a new industry paper from the Society of Pension Professionals (SPP).
This latest diversity, equity and inclusion (DEI) paper highlights the challenges faced by LGBTQ+ people ad suggests steps to address this issue, both within the pensions industry and wider workplace, to help support better retirement outcomes.
In the report, Stonewall chief executive Simon Blake calls for pension providers to improve inclusion, and says this aligns with recent guidance from The Pensions Regulator. He stresses that providers must ensure all paperwork, communications, and scheme information reflect the diverse identities and family structures of LGBTQ+ members.
Blake also highlights the importance of greater “curiosity” and understanding of LGBTQ+ histories and lived experiences to support more open and empathetic decision-making.
He says: “For example, some of us may have done our financial planning independently, even when married, because we internalised the idea that our relationships might not last. Others may not have planned together because we didn’t have children, or didn’t think about pensions until later in life because we didn’t expect to grow old.”
He adds that society still pays too little attention to the experiences of older LGBTQ+ people:
“There are few stories about older people in public discourse, and even fewer about older LGBTQ+ individuals and their experiences of ageing.”
Blake concludes that while progress has been made, financial inequality remains entrenched, leading to a continuing LGBTQ+ pensions gap: “It is against this backdrop that we are planning our futures.”
The paper also includes commentary from Savannah Adeniyan, SPP member and solicitor at Travers Smith LLP, who discusses the workplace barriers still faced by many LGBTQ+ professionals.
“I know many LGBTQ+ people who have encountered ‘glass ceilings’ in their workplaces,” she says. “While I can be completely myself in my current firm, the reality is that too many people still feel unable to be open about their identity for fear it might harm their careers.”
Glass ceilings which affect pay will ultimately be reflected in lower retirement incomes she says. Despite these challenges, Adeniyan remains optimistic, noting growing inclusivity across sectors such as the legal profession:
“The trend is moving in the right direction—and that’s something to be positive about.”
The full SPP paper is available to download here
