According to House of Commons research, companies with more female leaders outperform those dominated by men. Research indicates that women are set to play a major role in the UK’s post-pandemic economic recovery.
Shadow Secretary for Women and Equality Anneliese Dodds said the data showed it was women who held the key to a stronger economy. She further accused the government of ignoring the needs of women during the pandemic.
Speaking to the Guardian, she said: ‘When you have more engagement from women, when women are in the driver’s seat to the extent that they should be, it makes businesses much more successful.
The research comes just days before International Women’s Day.
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As part of the study, data was collected from the House of Commons Library.
He cited McKinsey research that shows companies in the top quartile for gender diversity in leadership teams were 25% more likely to perform above average. Additionally, companies with more than 30% female executives were more likely to outperform companies that do not have as many female executives.
The study further pointed out that women-led SMEs contribute an estimated £85 billion in economic output. However, Beis’ research shows that only 16% of small business employers and one in three entrepreneurs are women.
There is also evidence that fewer women have access to finance and business loans. Only 15% of requests for bank financing and 22% of new business bank account openings come from women.
(With agency contributions)