The average pension pot in the UK increased in size by 9 per cent between 2024 and 2025, putting growth comfortably ahead of inflation, but significant gaps linked to gender and geographic location remain, figures from PensionBee have revealed.

According to the PensionBee Pension Landscape 2025 report, based on data from more than 285,000 of its customers, the average UK pension pot held £21,875 in June 2025.

However, while the gender gap has narrowed very slightly, from 38 per cent to 37 per cent, there is still a sizeable difference between the pension pots of men and women.

While men’s pension savings grew to £25,652 on average, women’s savings stood at just £16,169, and this despite a higher growth of 11 per cent over the past year for women’s pots.

In terms of age, the largest gender gap was found among the over-50s age, with a difference of some 44 per cent. But even among the under-30s, there remained a gap of 13 per cent, down from 18 per cent in 2024.

The size of pension savings pots differed significantly depending on geographical location. In London, average pension pots were worth £25,838, and in the south-east the average retirement savings amount rose to £27,727. In the north-west, the average stood at £17,082, and in Northern Ireland, just £15,118.

There was also a large geographical difference in the size of gender savings gaps. London had the smallest gender gap – though even in the capital the difference between men’s and women’s pensions was 29 per cent. In the south-east the gap stood at 38 per cent, and in Wales and Northern Ireland the gender gap was widest at 43 per cent.

Pension pots in all age groups grew year-on-year and the projected savings held at retirement for those in their 30s and 40s rose by £11,535 and £6,327 to £178,439 and £130,140, respectively.

However, the projection for those in the under-30s age group decreased by £13,893 to £181,165. The group said this could be explained by falling weekly incomes.

Commenting on the figures, PensionBee UK chief business officer, Lisa Picardo, said: “It's encouraging to see both pot growth and a slight narrowing of the gender gap. But progress remains frustratingly slow and the regional disparities are stark.

"London savers have pots 70 per cent larger than those in Northern Ireland, for example, which reflects broader economic inequalities that follow people into retirement.”

She added: “Even more concerning is that under-30s are seeing their projected retirement pots shrink due to falling incomes. This is a worrying warning sign for future generations who may end up heavily reliant on the State Pension.”

Picardo argued that lowering the auto-enrollment age threshold, currently at 22 years of age, would be a “simple yet powerful solution” to the savings gap problem. “The magic of compound growth makes early contributions incredibly valuable over longer periods.

"We cannot allow today's contribution gaps to become tomorrow's retirement poverty," she said.

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