Women fail to close the income gap

WOMEN FAIL TO CLOSE THE INCOME GAP WITH MEN -NATION'S SAVING, SPENDING AND INVESTMENT HABITS REVEALED IN NEW INDEX- Men are winning the battle of the sexes when it comes to monthly disposable income. Women claim to have £100 less income than men (£228 versus £339), according to the first in a new series of findings from Alliance & Leicester's 'Wealth Tracker Index'. The findings from the new Index are the first to reveal the nation's saving, spending, investment and borrowing habits. While women are failing to close the income gap each month, the findings also reveal they are better money managers and spend less as a percentage of disposable income each month than men, a finding which shatters the stereotype of the 'shopaholic' woman. Alliance & Leicester asked a GB Representative sample of 2000 people what their level of disposable income was each month and, from that figure, how much of it was spent, saved, invested and borrowed. *1 Key findings reveal; q Monthly income levels: On average, people's monthly disposable income this month will be £287 (after household bills, mortgages and borrowings). However, men claim to have a monthly disposable income of £339, while women have £100 less on £228 a month. q q Saving and Investment habits: On average, Britons save or invest, £116 (40%) of monthly disposable income. This month - Britons claim they will save £93 (32% of monthly income - Britons claim they will invest £24 (8% of monthly income) q Women lead the way! Women are more prudent money managers than men, choosing to save and invest more of their monthly income (43% (£100) compared to 39% (£133) for men). However, women supplement their income by borrowing more than men - women claim to borrow £62 per month compared to men £50. q Hey big spender! On average this month Britons will spend £170 (60% of monthly income). Men are bigger spenders than women, a finding that shatters the myth of women as the big money spenders. Men spend £206 per month (60% of monthly income) compared to women £128 (56% of monthly income). q Prudent Britons: Overall this month, three out of four Britons (75%) say they intend to save money this month, suggesting the Government's messages to get people on the savings ladder are getting through or people are concerned about an economic slowdown. Cont/d.... q North / South divide: As well as a male / female divide the new findings reveal there are still clear signs of a north / south divide in Britain. Those in Scotland claim to have £205 disposable income per month while Londoners claim to have almost double that of at £386 per month. People in the North of England claim to have £252 per month.. Simon Ripton at Alliance & Leicester says the new Wealth Tracker Index will continue to examine a range of issues in the savings and investment market - most importantly to look people's money habits each month and the factors influencing their decisions; "There are significant differences between the amount of money that men and women have each month and men appear to be far better off on average. Surprisingly, men are the real money spenders, while women tend to be more prudent with their finances. Women also borrow more to supplement their income. Another interesting finding is that many people are saving money, which could work harder for them if it was invested as part of a more balanced savings and investment portfolio. We are trying to ensure our customers make the most of their money and benefit from a range of investment opportunities available." -ENDS- Alliance & Leicester plc and Alliance & Leicester Unit Trust Managers Ltd are members of the Legal & General Marketing Group, which is regulated by the PIA and IMRO. Alliance & Leicester plc only sells the life assurance and investment products of that group. Notes to Editors National Findings Average figures for spending, saving, investing and borrowing per month for Britons, August 2001 Total % of total income Men % of Women % of (excl borrow) total total income income (excl (excl borrow) borrow) Spend £170 60% £206 60% £128 56% Save £93 32% £101 30% £84 36% Invest £23 8% £32 9% £16 7% Borrow £56 £50 £62 Total £342 £389 £290 disposable income (with borrowing) Total £287 £339 £228 disposable income (excl / minus borrowing) Regional Findings Londo % of Scotla % of Wale % of South % of n tota nd tota s tota East tota l l l l inco inco inco inco me me me me (exc (exc (exc (exc l l l l borr borr borr borr ow) ow) ow) ow) Spend £244 53% £161 69% £137 74% £149 53% Save £146 32% £69 30% £44 23% £117 41% Invest £66 14% £3 1% £3 2% £14 5% Borrow £70 £28 £2 £38 Total £456 £233 £184 £318 disposa ble income (with borrowi ng) Total £386 £205 £182 £280 disposa ble income (excl borrowi ng) South % of East % of West % of East % of West tota Midlan tota Midl tota Anglia tota l ds l ands l l inco inco inco inco me me me me (exc (exc (exc (exc l l l l borr borr borr borr ow) ow) ow) ow) Spend £154 58% £150 60% £223 61% £121 56% Save £87 33% £83 33% £109 30% £72 34% Invest £25 9% £17 7% £34 9% £21 10% Borrow £72 £22 £35 £2 Total £338 £272 £401 £216 disposa ble income (with borrowi ng) Total £266 £250 £366 £214 disposa ble income (excl borrowi ng) Regional findings cont/d.. North % of North % of Nort % of West tota East tota h total l l income inco inco (excl me me borrow) (exc (exc l l borr borr ow) ow) Spend £152 64% £143 63% £177 70% Save £68 29% £54 24% £71 28% Invest £17 7% £31 14% £4 2% Borrow £17 £19 £13 Total £254 £247 £265 disposable income (with borrowing) Total £237 £205 £252 disposable income (excl borrowing) ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2001/08/28/20010828BIT01090/bit0001.doc http://www.waymaker.net/bitonline/2001/08/28/20010828BIT01090/bit0001.pdf