Women are more likely than men to start contributing to a pension at a younger age; however, they continue to feel less informed and confident about their retirement planning, according to new research from Wealthify.

The survey of 1,000 working-age pension holders across the UK found that two-fifths (42 per cent) of women begin contributing to a pension before the age of 24, compared with a third (33 per cent) of men.

However, despite this positive head start, the findings highlighted that women remain more likely to be held back by a lack of confidence and a lack of understanding.

Indeed, almost one in eight women (12 per cent) said a lack of knowledge had delayed or prevented them from contributing more to their pension, compared with 8 per cent of men.

Understanding of pension terms was found to play a key role in this gap.

Nearly a quarter (24 per cent) of women said they did not understand any pension terms at all, double the proportion of men (12 per cent).

Knowledge gaps were evident across several widely used terms, with only 9 per cent of women saying they understood “volatility,” compared with 21 per cent of men.

Similarly, only 10 per cent of women understood the “triple lock,” compared to 21 per cent of men, while “drawdown” and “annuity” both showed a 10 percentage point gap.

This lack of knowledge risks undermining the long-term benefits of an early start, Wealthify warned, with women potentially making more cautious decisions around contributions, investments and withdrawals.

The findings contribute to growing evidence on the UK’s gender pensions gap, which has risen to a "stark" 48 per cent, according to figures from the Department for Work and Pensions (DWP).

Industry research has repeatedly pointed to structural factors, such as lower average earnings, career breaks, and part-time work, but today’s report suggests that knowledge and confidence gaps may also be contributing to women missing out on stronger retirement outcomes.

It follows findings from Wealthify, from the same study, which showed that almost three-quarters (76 per cent) of UK adults believe that pensions are not taught or discussed enough in schools or during early adulthood, amid a persistent lack of knowledge about pensions.

Wealthify chief investment officer, Jessie Kwok, emphasised the need to make pensions simpler to understand.

“Confidence and knowledge go hand in hand," she explained.

"If someone doesn’t understand the terminology in their pension paperwork, they could be more likely to second-guess themselves or make overly cautious decisions.

"That could mean missing out on valuable allowances, delaying contributions, or feeling unable to take control of their financial future.”

Kwok added that while women are clearly taking action earlier than men, “they’re not getting the full benefit of that head start because they feel less informed and less confident about pensions overall”.

Looking ahead, Kwok was optimistic that this imbalance could be addressed:

“The good news is that this is a gap we can close. By explaining pensions in plain English and making education accessible, we can help women build confidence and ensure their early saving habits truly pay off when it matters most.”

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