Fintech firms among those pressed on gender equality charter

By Ryan Weeks on 15th February 2018

P2P/Marketplace Lending

Nicky Morgan MP has written to firms that are yet sign up to the charter, but she has been accused of political grandstanding by some.

Fintech firms among those pressed on gender equality charter

Nicky Morgan MP has written to firms that are yet sign up to the charter, but one fintech founder has accused her of political grandstanding.

Financial services firms that have been slow to sign up to The Women in Finance Charter have gotten a kick up the backside from Nicky Morgan MP, former Secretary of State for Education (2014-2016) and Minister for Women and Equalities (2014).

The charter is a commitment by HM Treasury to build a more gender balanced and fair financial services sector. As of November 2017, it had over 160 signatories, representing over 600,000 employees in the industry, which is roughly 50 per cent.

Morgan has written to over 30 firms to ask whether they will be signing the charter, and, if not, their reasons for not doing so. Among those 30 are a number of alternative finance and fintech firms, including Crowdcube, iwoca, LendInvest, MarketInvoice, Seedrs and Zopa. They sit alongside some of the biggest names in financial services, such as Goldman Sachs, JP Morgan and UBS.

“The progress of the Women in Finance Charter is to be welcomed,” said Morgan (pictured). “The aim, however, must be to see all firms in the financial services sector sign up to the Charter and make a concerted effort to improve their gender diversity, particularly in senior roles.”

But some recipients seem to have been caught off guard by the letter. Christian Faes, who runs property lending platform LendInvest, yesterday posted a series of tweets in which he complained that Morgan’s letter arrived after the distribution of a press release announcing it.

“Worse still, the letter doesn't provide a copy (or even a link) to the Charter, nor any information on how we actually sign up,” Faes told AltFi. “Her press release provides more information on it all, than her letter to us. Having received her letter only yesterday, she wants us to sign up by tomorrow. It’s total nonsense. She is clearly more interested in getting a headline than really trying to help Women in Finance (in my opinion).”

Faes also noted that 40 per cent of LendInvest employees are women – a statistic which applies to the firm’s senior management roles as well as company-wide.


Mike Baliman

15 Feb 2018 03:40pm

1) Putting aside the PR stunt angle of "catching firms out" what is this constitutionally? It is not a law debated and passed by parliament. It is not a regulation. But woe betide you if you dont conform. This is plain statist/political bullying. 2) Interestingly there are no equivalent "initiatives" in sectors dominated by women [primary school teaching, therapy et al] asking them to have targets for men. How is this "gender balanced"? 3) All this gender-ism we are seeing totally ignores peoples' free will and preferences when choosing career (hence uneven outcomes as above). In the UK in A level computer science 90% of sitters were boys, 10% girls. 4) Pressuring Fintechs to enforce social engineering (without a debate in parliament) can only deteriorate the meritocracy that is entirely the case in every Fintech I have ever met - they need to succeed so much they hire whatever person is best for the job - regardless of gender/ethnicity/whatever - if penguins were the best coders there would seriously be a rush on London zoo to get that competitive edge. 5) this has become such a hot potato (hysteria started post last US election) that folks refuse to even mention it on the podcast - even in passing. What kind of a world do we live in when folks don't feel free to have and to share their opinion? 6) as has been shown by research (which, being a father of daughters, I keep an eye on) being constantly exposed to the narrative that the world is against you and that you need affirmative action to survive in it is deleterious to girls'/young womens' mental health which is already arguably worse than it ever has been across all of history (suicides in young people having tripled in 30yrs). Identity politics is absolutely not cost-free, consequence-free.

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