Female directors in the UK FTSE top 350 firms earn 66 per cent less on average than their male counterparts, according to a study on gender pay disparity in financial services.

The report conducted by law firm Fox and Partners found average pay for female directors at FTSE 350 firms stands at £247,100, considerably below the average of £722,300 for their male counterparts.

The research shows 86 per cent of these female directors are in non-executive roles which tend to be lower paid compared to executive roles, and have less day-to-day responsibility. Only 15 per cent of female directors are in executive roles.

Despite government figures showing female representation on FTSE 100 firms had reached 34.5 per cent in January, with now no-all male boards in the FTSE top 350 firms, the new figures suggest there is still considerable work to do on achieving equality at higher-paid executive positions.

Fox and Partners partner Catriona Watt says: “Despite having greater levels of diversity at more junior levels, financial services firms are still struggling to reflect that shift at the senior executive level.”

“In order to see long term change, firms must be committed to taking steps that will lead to more women progressing through the ranks, getting into senior executive positions and closing the pay gap.

“Boards need to be open to challenging themselves by asking honest questions about the barriers in their organisation that might prevent women reaching the very top.”