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Women entrepreneurs climbing UK wealth ladder

Entrepreneurialism among women has meant that inheritance and divorce are no longer the main circumstances behind women’s personal wealth, a new report has shown. Increasing numbers of women entrepreneurs are contributing to a growing rate of female millionaires, according to research by Barclays Wealth Management. This year, the combined wealth of Britain’s 100 richest women is more than £33bn and the report estimates that by 2020, 53% of millionaires will be women.

However, despite the increasing number of women setting up their own businesses, the report said ‘the glass ceiling persists’ and an equal number of women and men on company boards is still some way off.

Amy Nauiokas, Managing Director and Head of Brokerage at Barclays Wealth, said: “The report presents a fascinating global picture of women and wealth trends – in particular the evidence which points to more women becoming independently wealthy via their job, ownership of a business, or from personal investment. While the more ‘traditional’ drivers of wealth still play a part, they are no longer the dominant forces they once were.”

The study also found that women were more cautious with their hard-earned money than men. When asked how they would choose to spend a cash windfall of £100,000, the majority of men said they would prefer to put the money in the stock market, but women have a greater propensity to avoid high risk, choosing instead to invest in their personal pension.

Ms Nauiokas said: “Women will alter their approach as they reach their goal and will often act to protect what it is they have built up. But equally, when they are in the mindset that ‘this is for investment and saving’ women are very diligent and plan well. They are also absolutely more disciplined in allocating a figure for the spending pot to enhance their lifestyle and enjoyment.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .