Gender pay gap report 2025
Download the British Business Banks Gender and ethnicity pay gap report - 2025
Our 2025 gender pay gap at a glance
The following charts depict the key data in our gender pay gap reporting.
Proportion of male and female colleagues in each pay quartile
| Headcount | Percentages | |||
|---|---|---|---|---|
| Quartile | Male | Female | Male | Female |
| Upper Quartile | 92 | 51 | 64.3 | 35.7 |
| Upper middle quartile | 87 | 58 | 60.0 | 40.0 |
| Lower middle quartile | 62 | 81 | 43.4 | 56.6 |
| Lower quartile | 63 | 80 | 44.1 | 55.9 |
Each pay quartile represents a quarter, or 25%, of our total workforce ranked by pay
Gender pay gap (As a % of mean/median male pay)
| Male | Female | Pay Gap | |
|---|---|---|---|
| Median hourly rate | £32.82 | £26.88 | 18.1% |
| Median annual salary | £67,481.50 | £53,905.00 | 18.1% |
| Male | Female | Pay Gap | |
|---|---|---|---|
| Mean hourly rate | £37.14 | £31.15 | 16.1% |
| Mean annual salary | £75,920.79 | £62,994.88 | 16.1% |
Gender bonus gap (As a % of mean/median male bonus)
| Element | 2025 |
|---|---|
| Median % | 37.0 |
| Mean % | 30.6 |
Proportion of male and female colleagues( Based upon 574 colleagues at our snapshot date of 5 April 2025)
| Gender | 2024 |
|---|---|
| Male % | 53.0 |
| Female % | 47.0 |
Proportion of male and female colleagues receiving bonuses
| Gender | 2024 |
|---|---|
| Male % | 76.4 |
| Female % | 71.0 |
Reporting gender pay gaps - an overview
In the UK, public, private and voluntary sector organisations with 250 or more employees are required to report on their gender pay gaps annually.
The reports show the difference between the average earnings of men and women, expressed relative to men’s earnings. If an organisation reports a gender pay gap, it does not mean women are paid less than men for doing the same job, but it does show that, on average, men occupy higher-paying roles than women. Employers must report six different measures, based on a snapshot of pay data on a date set out by the Government Equalities Office:
Median gender pay gap
The difference between the median hourly rate of pay of male full-pay relevant colleagues and that of
female full-pay relevant colleagues.
Median gender bonus gap
The difference between the median bonus paid to male relevant colleagues and that paid to female relevant colleagues.
Bonus proportions
The proportions of male and female relevant colleagues who were paid a bonus during the relevant period.
Mean (average) gender pay gap
The difference between the mean hourly rate of pay of male full-pay relevant colleagues and that of
female full-pay relevant colleagues.
Mean (average) gender bonus gap
The difference between the mean bonus paid to male relevant colleagues and that paid to female
relevant colleagues.
Quartile pay bands
The proportions of male and female full-pay relevant colleagues in the lower, lower-middle, upper-middle
and upper quartile pay bands.
Additional definitions
Mean
Is the average of a set of numbers and is calculated by adding up all the values and then dividing the sum by the total number of values.
Median
Is a measure of central tendency in a set of data. It represents the middle value when the data set is ordered or ranked.
Hourly pay
Is the total of salary and any cash allowances paid, before any deductions for tax, calculated as an hourly rate. The figure used for the 2025 gender pay gap is the hourly pay for April 2025. Colleagues who did not receive their normal full pay during that month for any reason are excluded from the calculation.
Bonus
For the purpose of calculating the bonus gap is the total bonus and/or long-term incentive paid during the previous 12 months to all colleagues who were employed on the snapshot date of 5 April 2025. For the Bank, this means bonus payments made in June and August 2024 in respect of the financial year ending 31 March 2024, and long-term incentive payments made in August 2024 in respect of the three-year performance cycle that ended in March 2024.
Headlines about the gender pay gap tend to focus on the median figure, which ignores extremes and is therefore thought to be the most representative measure. It is, however, important to report all of these measures. Each one tells you something different about the underlying causes of the gender pay gap and each one can mask issues that another may highlight.
If there is a big difference between an organisation’s mean and median pay gap, this indicates that the dataset is skewed – either by the presence of very low earners (making the mean lower than the median), or by a group of very high earners (making the mean bigger than the median).
Taking a ‘snapshot’ of this data on a set date, as required by regulation, creates a level playing field for all reporting organisations. However, it masks the fluidity of gender pay gaps, which can fluctuate from month to month and across pay quartiles depending on changes to headcount.
What is our Gender Pay Gap?
Colleague profile
In the UK we had 574 colleagues on the snapshot date of 5 April 2025, of whom 304 were men (53.0%) and 270 were women (47.0%).
Our gender pay gap
Our analysis shows that the median gender pay gap between men and women’s earnings is 18.1%, based on hourly rates of pay at the snapshot date. This is an increase of 0.3 percentage points from the gap we reported in 2024. Our mean gender pay gap has also increased to 16.1%, from 11.7% last year (4.4 percentage points).
The gender pay gap is calculated as the difference between average hourly earnings of men and women as a proportion of men’s average hourly earnings. It is a measure across all jobs in the company, not of the difference in pay between men and women for doing the same job.
As in previous years, the primary driver of the Bank’s gender pay gap is structural representation. Men continue to be more strongly represented in senior, higher paid roles, within the Bank’s higher paid job families, whereas women remain more concentrated in lower paid job families.
At the snapshot date, men were disproportionately represented in the upper quartile of earnings, making up around 64% of colleagues in the highest‑paid group compared with 36% women. Men similarly held 60% of roles in the upper‑middle quartile. These upper‑quartile roles are concentrated in higher‑paid job families and in Director and Senior Manager roles, where men remain over‑represented. In contrast, women are more strongly represented in lower‑paid quartiles. This structural pattern, rather than pay inequality within comparable roles, remains the primary driver of our gender pay gap.
The under-representation of women in senior roles, a trend observed across many UK employers and more specifically within financial services, remains a key focus for the Bank. This under-representation contributes significantly to the Bank’s gender pay gap. However, when we analyse the pay gap within each employee grade, the gap is considerably smaller. Showing that the checks the Bank has in place to ensure that men and women to be paid equitably based on their role, skills and experience are effective.
Despite the increases we have seen this year in our mean and median gender pay gaps, we recognise the importance of continuous improvement. We are committed to taking action to ensure our policies and practices remain fair and that involves regular reviews of decisions related to the Banks reward and talent processes.
Later in this report, we outline several initiatives which will help to increase diverse representation in the Bank’s leadership positions, we’ll also provide updates on our progress towards the Bank’s Women in Finance Charter.
Our gender bonus gap
The median gender bonus gap stands at 37.0%, marking a decrease from last year’s 37.6%. By contrast, the mean gender bonus gap has shifted from 28.4% to 30.6%, an increase of 4.4 percentage points.
The 2025 gender bonus gap figures are based on bonus payments made in June and August 2024, covering the financial year that ended on 31 March 2024. During this period, 71.0% (203) of female colleagues and 76.4% (239) of male colleagues received a bonus. Eligibility was limited to those who joined the Bank on or before 31 December 2023. For both men and women, the proportion of colleagues receiving a bonus closely mirrored the proportion eligible for a bonus or long-term incentive award. Recruitment throughout the bonus year meant that some new joiners (105, or 17.5%) were not eligible for a bonus.
Several factors influence an individual colleague’s bonus or long-term incentive award. These plans include components linked to the Bank’s overall performance against strategic objectives and to individual performance ratings for the bonus year. We rigorously monitor performance ratings annually to ensure equal distribution between male and female colleagues.
Bonus and long-term incentive opportunities generally increase with seniority, measured as a percentage of salary. This structure, common across many organisations, affects our bonus gap since a higher proportion of senior roles are held by male colleagues.
Part-time working also significantly impacts the gender bonus gap. Regulations stipulate that actual bonus, rather than full-time equivalent figures, must be used in calculations. Given that 4.7% of roles at the Bank are part-time and 81.7% of these are held by women, the current methodology disproportionately affects the average bonuses of female colleagues.
Additional factors affecting bonus levels include individual length of service within the year and deferred incentive payments for senior colleagues (Grades A and B), which can be postponed for up to two years.
Once performance ratings are set, there is minimal discretion for managers to alter bonus or incentive plan outcomes. We are confident that our gender bonus gap reflects structural factors, such as the gender distribution across senior roles, rather than gender-related bias. Our commitment to fairness is upheld through comprehensive line manager training, clear guidance, and stringent governance processes to ensure all pay and bonus decisions are free from bias.