UK Policy Briefings
2020 WBG: Tax on saving and investment: gender issues
Date Posted: Wednesday 26th February 2020
- The government spends nearly £10 billion a year on tax reliefs for non-pension saving. This is a regressive use of taxpayers’ money that only benefits people who can afford to save.
- Evidence shows that women, once they have children, are more likely than men to have little or nothing in the way of savings and even less in investments. This is due to both the immediate and persistent effect that caring for children and frail adult family members has on paid work.
- To foster greater gender equality, the £10 billion currently spent on savings-related tax reliefs would be better used to improve the provision of affordable, good quality childcare, promote flexible working in higher-paid jobs and measures that foster a move away from the current gendered distribution of unpaid work.