London Daily

Focus on the big picture.
Wednesday, Jan 07, 2026

Companies with female leaders outperform those dominated by men, data shows

Companies with female leaders outperform those dominated by men, data shows

Labour’s Anneliese Dodds says women should play a central role in the UK’s post-pandemic economic recovery
Women should play a central role in the UK’s post-pandemic economic recovery, with evidence revealing companies with more female leaders outperform those dominated by men, according to House of Commons research.

Accusing the government of ignoring women’s needs during the coronavirus pandemic and side-lining them in plans for recovery, the shadow secretary for women and equalities, Anneliese Dodds, said the data showed women held the key to a stronger economy, but they were being held back by a lack of investment and the risk of “childcare deserts” in parts of the country.

“When you’ve got more engagement from women, when women are in the driving seat to the extent they should be, it makes for far more successful businesses,” she said. “Our commitment is to consider women’s concerns and other equality issues from the start. The problem with the current government is they’re not even tacking women’s concerns on at the end, they’re not considering them at all.”

She warned that the UK was facing a “childcare emergency” with early years settings struggling to recruit staff and the Early Years Alliance reporting that some areas of England have seen a 25% decline in the number of places in the past six years.

“The childcare sector is facing a short-term emergency, seeing childcare deserts in different parts of the country, with providers going bust and not being able to continue operating – that has an awful impact on working women,” said Dodds. “Childcare providers are part of our economic infrastructure, we have to find a more sustainable way forward.”

To mark International Women’s Day, which is on Tuesday, Labour have collated data from the House of Commons library. It cited McKinsey research that shows companies in the top quartile for gender diversity on executive teams were 25% more likely to have above-average profitability than companies in the bottom, while companies with more than 30% female executives were more likely to outperform companies that don’t, according to research from academics from the Universities of Glasgow and Leicester.

But only eight women, and no women of colour, are currently employed as CEOs in the FSTE 100, while women hold only 14% of executive directorships and 38% of all directorships, according to the Fawcett Society’s Sex and Power report 2022.

The data shows that women-led SMEs contribute about £85bn to economic output, but Beis research shows that only 16% of small business employers and one in three of entrepreneurs are women. There is further evidence that fewer women get access to financing and business loans, with only 15% of bank financing applications and 22% of new primary business bank accounts openings coming from women.

Dodds said Labour would create 100,000 government-backed start-ups with a “equal recovery pledge” ensuring female representation, strengthen the pay gap reporting system and give a “new deal” for working women.

“​​Unless we actually back women in business, then we’re going to be losing out on a huge amount of potential extra economic activity and prosperity, that all of our communities really need,” she said.

New global data from gender equity researcher Equileap, released for IWD, shows that in the UK, women make up only a fifth (20%) of executive team members, 13 companies (6%) have a female CEO, and 27 companies (13%) have a female CFO.

NatWest is the only company with both a female CEO and CFO. The analysis also found that the UK is one of the worst performing countries on flexible work options, with only 29% of companies publishing a flexible hours policy, and just 18% publishing a flexible locations policy.
Newsletter

Related Articles

0:00
0:00
Close
Béla Tarr, Visionary Hungarian Filmmaker, Dies at Seventy After Long Illness
UK and France Pledge Military Hubs Across Ukraine in Post-Ceasefire Security Plan
Prince Harry Poised to Regain UK Security Cover, Clearing Way for Family Visits
UK Junk Food Advertising Ban Faces Major Loophole Allowing Brand-Only Promotions
Maduro’s Arrest Without The Hague Tests International Law—and Trump’s Willingness to Break It
German Intelligence Secretly Intercepted Obama’s Air Force One Communications
The U.S. State Department’s account in Persian: “President Trump is a man of action. If you didn’t know it until now, now you do—do not play games with President Trump.”
Fake Mainstream Media Double Standard: Elon Musk Versus Mamdani
HSBC Leads 2026 Mortgage Rate Cuts as UK Lending Costs Ease
US Joint Chiefs Chairman Outlines How Operation Absolute Resolve Was Carried Out in Venezuela
Starmer Welcomes End of Maduro Era While Stressing International Law and UK Non-Involvement
Korean Beauty Turns Viral Skincare Into a Global Export Engine
UK Confirms Non-Involvement in U.S. Military Action Against Venezuela
UK Terror Watchdog Calls for Australian-Style Social Media Ban to Protect Teenagers
Iranian Protests Intensify as Another Revolutionary Guard Member Is Killed and Khamenei Blames the West
Delta Force Identified as Unit Behind U.S. Operation That Captured Venezuela’s President
Europe’s Luxury Sanctions Punish Russian Consumers While a Sanctions-Circumvention Industry Thrives
Berkshire’s Buffett-to-Abel Transition Tests Whether a One-Man Trust Model Can Survive as a System
Fraud in European Central Bank: Lagarde’s Hidden Pay Premium Exposes a Transparency Crisis at the European Central Bank
Trump Announces U.S. Large-Scale Strike on Venezuela, Declares President Maduro and Wife Captured
Tesla Loses EV Crown to China’s BYD After Annual Deliveries Decline in 2025
UK Manufacturing Growth Reaches 15-Month Peak as Output and Orders Improve in December
Beijing Threatened to Scrap UK–China Trade Talks After British Minister’s Taiwan Visit
Newly Released Files Reveal Tony Blair Pressured Officials Over Iraq Death Case Involving UK Soldiers
Top Stocks and Themes to Watch in 2026 as Markets Enter New Year with Fresh Momentum
No UK Curfew Ordered as Deepfake TikTok Falsely Attributes Decree to Prime Minister Starmer
Europe’s Largest Defence Groups Set to Return Nearly Five Billion Dollars to Shareholders in Twenty Twenty-Five
Abu Dhabi ‘Capital of Capital’: How Abu Dhabi Rose as a Sovereign Wealth Power
Diamonds Are Powering a New Quantum Revolution
Trump Threatens Strikes Against Iran if Nuclear Programme Is Restarted
Apple Escalates Legal Fight by Appealing £1.5 Billion UK Ruling Over App Store Fees
UK Debt Levels Sit Mid-Range Among Advanced Economies Despite Rising Pressures
UK Plans Royal Diplomacy with King Charles and Prince William to Reinvigorate Trade Talks with US
King Charles and Prince William Poised for Separate 2026 US Visits to Reinforce UK-US Trade and Diplomatic Ties
Apple Moves to Appeal UK Ruling Ordering £1.5 Billion in Customer Overcharge Damages
King Charles’s 2025 Christmas Message Tops UK Television Ratings on Christmas Day
The Battle Over the Internet Explodes: The United States Bars European Officials and Ignites a Diplomatic Crisis
Princesses Beatrice and Eugenie Join Royal Family at Sandringham Christmas Service
Fine Wine Investors Find Little Cheer in Third Year of Falls
UK Mortgage Rates Edge Lower as Bank of England Base Rate Cut Filters Through Lending Market
U.S. Supermarket Gives Customers Free Groceries for Christmas After Computer Glitch
Air India ‘Finds’ a Plane That Vanished 13 Years Ago
Caviar and Foie Gras? China Is Becoming a Luxury Food Powerhouse
Hong Kong Climbs to Second Globally in 2025 Tourism Rankings Behind Bangkok
From Sunniest Year on Record to Terror Plots and Sports Triumphs: The UK’s Defining Stories of 2025
Greta Thunberg Released on Bail After Arrest at London Pro-Palestinian Demonstration
Banksy Unveils New Winter Mural in London Amid Festive Season Excitement
UK Households Face Rising Financial Strain as Tax Increases Bite and Growth Loses Momentum
UK Government Approves Universal Studios Theme Park in Bedford Poised to Rival Disneyland Paris
UK Gambling Shares Slide as Traders Respond to Steep Tax Rises and Sector Uncertainty
×