According to StepChange, over 60% of their new clients are female.
That doesn’t mean that women struggle with debt more than men.
It could mean that women are more open to accepting help and support.
Studies suggest that men are more likely to have a higher amount of debt, but that there is a higher number of women that are in debt.
There is no sole reason why people find themselves in debt, but it’s clear that debt is something that many women are battling with.
Gender Pay Gap
The GPG is not the case of women being hired at a lower salary to men, or women and men being paid differently in the same roles.
Rather, it is the difference in the average earnings of male and female employees.
It is a complex issue that can be attributed to a few reasons:
• Fewer women choose high paying careers
• A higher number of women work part-time
• Fewer women compete for promotions and raises
• Taking career breaks to raise a family
The current GPG in the UK is estimated to be around 15%.
Lower earners may have no alternative option other than taking out further credit or loans to deal with unexpected payments.
The Motherhood Penalty
Women are more likely to have gaps in their employment or work part-time due to bearing and raising children.
It’s estimated that the Motherhood Penalty makes up 80% of the GPG, which could explain why it is still very much a real issue in the UK.
Time away from careers can impact promotions, pay rises, or the ability to improve learning and skills.
90% of single parents in the UK are women.
It’s worth noting that the national average salary for single mothers in £28,794.
This equates to £1,966 each month after tax, however, the average cost of full-time childcare is £1,079 a month in Scotland.
This is a clear reason as to why many women give up work, work part-time, or take on lower-paying roles that offer more flexibility.
Economic abuse is a common form of abuse in intimate and family relationships.
Both men and women can be victims of domestic abuse.
1 in 4 women in the UK will experience an abusive relationship at some point in their lives.
Economic abuse involves the control of a partner or ex-partner’s money, finances, and things that money can buy.
Some examples of economic abuse are:-
• Controlling your access to money
• Taking out credit in your name, without your permission
• Taking your paycheck
• Preventing your work or education opportunities
• Forcing you to justify every purchase made
• Insisting all bills are in your name, leaving you eligible for any arrears
• Stealing from you
• Refusal to contribute to household costs
Economic abuse can plunge the victim into debt or prevent them from being able to get out of pre-existing debt.
If you, or someone you know is dealing with economic abuse, below are some places to seek help and support.
If you are in Immediate danger, please call the police on 999.
Women’s Aid Online Chat
Domestic Abuse and Forced Marriage Helpline (Scotland)
A 24-hour service available on 0800 027 1234. An online chat service is also available.
Men’s Advice Line
Call on 0808 801 0327
If you need debt help, give us a call on 0141 221 0999.