Companies in the FTSE 350 index hit their target of having women occupy 40% of leadership positions a year early, with women now filling 43% of company board positions, according to the latest FTSE Women Leaders Review.
The targets were set in 2021, at which point women represented 34% of board positions across the FTSE 350. This advancement is more seismic when compared to the initial launch of the review in 2011, when women accounted for just 9.5% of FTSE 350 board members.
Minister of State Anneliese Dodds, who also acts as minister for women and equalities, said: “As businesses and organisations navigate an ever-changing global landscape, it has become increasingly evident that diverse leadership teams are not just a matter of fairness— they are essential for fostering innovation, driving performance, and ensuring sustainable growth.
“Seeking gender equality is not a gimmick, it is a business imperative. An inclusive and diverse culture expands the pool of ideas, which creates new avenues of development and productivity.”
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However, the review’s co-chair Penny James said that while public companies are “essentially gender balanced” now, there needs to be “a step up in commitment” over the next 12 months from the UK’s 50 largest private companies, which have women occupying less than a third (30.5%) of board positions.
Nine of the UK’s largest private companies have no female representation on their boards at all, including Bestway, Hermes Parcelnet, KCA DEUTAG Drilling, INEOS, M Group Services, Marshall Group Properties and Muller.
Chancellor Rachel Reeves stressed that British companies “cannot rest on [their] laurels” despite considerable progress being made by the FTSE 350.
“We must break down the barriers that stop many women being represented in decision-making roles, so that top talent reaches the highest levels of leadership in businesses driving economic growth across Britain,” she said.
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The government has backed pledges recommended by the review, such as tackling the gender pay gap, improving parental leave, expanding childcare for more flexible working arrangements, and supporting female entrepreneurs who face unique challenges when starting and scaling a business.
Commitments such as these have helped more women reach the pivotal roles of chair, senior independent director, CEO and finance director within leading UK companies, where there is “the greatest opportunity to influence and impact culture change,” according to the review.
The majority (77%) of FTSE 350 companies have women occupying at least one of these roles, and even the UK’s 50 private companies have women in these positions on 60% of their boards.
Only the Co-operative Group – which is a private company – has a women in each of these four key roles. It also has women filling over half (66.7%) of its board positions.
While the review has made significant progress over the years, Dodds noted it should continue encouraging companies to improve their representation of women.
“[The report] highlights the progress made in advancing gender parity within business leadership, while acknowledging that this work needs to continue to ensure that women are adequately represented in senior roles across the FTSE 350 companies,” she said.
“While there has been significant growth in the number of women in senior leadership positions, we must continue to build on this momentum and ensure progress does not stall and that businesses provide their own insights and solutions.”
This article first appeared on PA Future’s sister site Portfolio Adviser
