Women disproportionately impacted by financial stress
Research has revealed a gender gap in how men and women experience the emotional and physical toll of financial stress.
Some 25 per cent of women reported poor financial health, compared to 18 per cent of men in the latest poll by Nudge, which quizzed 11,500 workers across 17 countries.
The findings were published this month in nudge’s 2025 Global Financial Wellbeing Report, which revealed that although 69 per cent of the women rated their financial literacy as ‘good’, this was accompanied by lower confidence in managing financial change.
There was also a greater likelihood of feeling anxious, ashamed, or angry about their finances.
Tim Perkins, co-founder and chief executive officer at Nudge, said the data highlights the urgent need to close the gender gap in financial literacy.
He added: “Women are disproportionately impacted by financial stress, this is not necessarily because of access to education, but because of lower confidence in navigating complex financial topics.
“We must ensure that financial education is not only accessible, but also personalised to everyone’s unique circumstances and interests.”
Emotional impact
The analysis also highlighted that the emotional impact of financial insecurity is more profound among women as 12 per cent of women reported feeling ashamed, compared to just 6 per cent of men.
Not surprisingly, 16 per cent of women said they felt anxious when it came to their financial situation, compared to 9 per cent of men and 12 per cent of women said they felt angry compared to 8 per cent of men.
When asked to assess their financial health, a quarter of women rated it as poor or very poor, compared to just 18 per cent of men.
Kusal Ariyawansa, chartered wealth manager at Appleton Gerrard Private Wealth Management, said financial wellbeing is not just about knowing the numbers, but rather feeling in control of them.
Women are catching up fast in terms of financial literacy, but the landscape still doesn’t speak their language or address their realities
He added: “The fact that women rate their financial literacy as ‘good’ but still report poorer financial health and higher emotional stress points to a confidence gap, not a competence gap. This is a crucial distinction.”
He added that the women having lower confidence is not because of ability, but about conditioning.
He said: “For decades the financial system and products, and even advisers, have been designed and distributed by and for men. Advisers used to focus their talk on the man, and now question why many women leave their financial adviser when their husband is no more.
“Women are catching up fast in terms of financial literacy, but the landscape still doesn’t speak their language or address their realities.
“Think career break, longer life expectancy, or being expected to be the default caregiver. In parallel, an industry that still leans towards financial jargon, a one-size-fits-all advice model – you’ve got the perfect storm for financial anxiety and second-guessing.
“IFAs should focus on this area because this isn’t just a social opportunity, it’s a commercial one. Women control a growing share of global wealth, but many don’t feel seen or heard by the traditional advice model.”
Women also report experiencing stress-related symptoms, which included 31 per cent saying they have suffered from sleep disruption, 24 per cent have experienced fatigue and 21 per cent have had migraines.
The data suggested that this disparity may be linked to differences in access to, and use of, financial education.
While social media is the chosen source of financial knowledge for both genders, with 41 per cent of women and 43 per cent of men choosing the option, it is men who are more likely to engage with a broader range of resources.
These include financial education books, which have been used by 36 per cent of men compared to only 28 per cent of women.
Aamina Zafar is a freelance financial journalist
link
