Select Committee · Treasury Committee

Sexism in the City

Status: Closed Opened: 12 Jul 2023 Closed: 28 May 2024 17 recommendations 19 conclusions 1 report

The Treasury Committee is examining the barriers faced by women in financial services and the progress made in removing gender pay gaps. The MPs will explore what role firms, the Government and regulators should play in combatting sexual harassment and misogyny. The Committee will evaluate the progress on implementing the recommendations of the previous Treasury …

Clear

Reports

1 report
Title HC No. Published Items Response
Sixth Report - Sexism in the City HC 240 8 Mar 2024 36 Responded

Recommendations & Conclusions

6 items
1 Conclusion Sixth Report - Sexism in the City Acknowledged

Financial services culture remains a significant barrier for women, hindering progress on harassment.

Our inquiry has revealed incremental improvements for women working in financial services on certain metrics, such as the proportion of women holding senior roles. Overall, there has been a disappointing lack of progress on sexual harassment and bullying, including serious sexual misconduct. Despite the best efforts of some far too …

Government response. The government welcomed the report and agreed with the Committee's observations about the importance of diversity and inclusion, and the slow progress towards gender balance, but committed to no new specific actions.
HM Treasury
24 Conclusion Sixth Report - Sexism in the City Acknowledged

Prevalence of sexual harassment in financial services is unacceptable

We have been appalled by testimonies we have received about the prevalence of sexual harassment in the financial services industry, including from some of the brave women who told us about their experiences at our own private roundtable event. Although sexual harassment against women is a societal problem, it is …

Government response. The government welcomes the Committee's report, agrees that regulators have an important role in promoting diversity and inclusion, and is prioritizing work on non-financial misconduct, including sexual harassment and bullying.
HM Treasury
25 Conclusion Sixth Report - Sexism in the City Acknowledged

Adopt zero-tolerance to sexual harassment, ensuring thorough investigations and appropriate consequences

Firms need to adopt a zero-tolerance approach towards sexual harassment and abuse and take concrete action to embed this approach within their organisations. Impunity for perpetrators, who are often well known in their organisations for serial offending, must end. As well as being the right thing to do, several high- …

Government response. The government welcomes the report, agrees on the regulators' role in promoting diversity and inclusion, and is prioritizing work on non-financial misconduct, including sexual harassment and bullying, while considering consultation responses to their D&I proposals.
HM Treasury
30 Recommendation Sixth Report - Sexism in the City Acknowledged

Clarify enforcement collaboration between EHRC and FCA on Worker Protection Act

Given the potential overlap between the aims of the Worker Protection Act, which will be enforced by the Equality and Human Rights Commission (EHRC), and the proposals by the Financial Conduct Authority (FCA) on handling sexual misconduct in financial services, we recommend that the EHRC and the FCA clarify how …

Government response. The government states it has a Memorandum of Understanding with the EHRC and will continue to work together and share information to address common interests, but does not outline a specific plan for clarifying enforcement of the Worker Protection Act.
HM Treasury
31 Conclusion Sixth Report - Sexism in the City Acknowledged

Regulators' powers constrained in tackling non-financial misconduct

There is an important role for regulators to play in ensuring that firms tackle sexual harassment. We welcome the proposals by the Financial Conduct Authority and by the Prudential Regulation Authority to strengthen their regimes for tackling non-financial misconduct, including sexual misconduct. We note, however, that the regulators are constrained …

Government response. The government agrees with the committee on the important role regulators play in promoting diversity and inclusion, and is currently reviewing consultation responses from various stakeholders before publishing its final policy.
HM Treasury
32 Conclusion Sixth Report - Sexism in the City Acknowledged

Limited awareness of FCA whistleblowing line hinders effective reporting of harassment.

There is limited awareness of the FCA’s whistleblowing line or how it works, and we believe there is scope to enhance its effectiveness and reduce the ‘fear factor’ victims of harassment face when reporting abuse.

Government response. The government acknowledges the limited awareness and 'fear factor' around the FCA's whistleblowing line, stating they are currently considering improvements to their approach and communication, including the potential for a publicity campaign.
HM Treasury

Correspondence

6 letters
DateDirectionTitle
23 May 2024 To cttee Letter from the Minister for Women - Dame Harriett Baldwin MP
27 Feb 2024 To cttee Letter from the Financial Conduct Authority, relating to non-financial miscondu…
27 Feb 2024 To cttee Letter from Baroness Vere to the Chair, relating to the 'Sexism in the City' in…
27 Feb 2024 To cttee Letter from the Chair to Baroness Vere, relating to the 'Sexism in the City' in…
27 Feb 2024 To cttee Letter from Maria Caulfield MP to the Chair, relating to the 'Sexism in the Cit…
27 Feb 2024 To cttee Letter from the Chair to Maria Caulfield MP, relating to the 'Sexism in the Cit…