Women in tech 'could unlock £3.5bn a year for the UK'

Britain’s aim of achieving global leadership in AI, digital infrastructure, and advanced innovation is being threatened by a broken career framework that is driving out thousands of experienced female professionals every year; a crisis that means the UK economy is missing out on up to £3.5bn in growth annually.

That is the damning conclusion of the “Lovelace Report 2025”, a collaboration between management consultancy Oliver Wyman and WeAreTechWomen, which not only exposes the dire state of the profession but also reveals what needs to change to overhaul the system.

The report maintains that, each year, between 40,000 and 60,000 women leave their roles in the UK tech and digital sector. Some exit the industry altogether. Others take their skills to new employers in search of the advancement their current roles deny them.

Either way, the economic impact is significant. The churn of women moving roles costs between £640m and £1.3bn annually, while those who leave tech entirely take with them between £1.4bn and £2.2bn in economic value.

However, the report maintains that this is not just a loss of talent; it is a risk to national capability.

The UK Government has committed to scaling the national AI workforce and increasing AI research capacity twentyfold by 2030, but the sector is already short of between 98,000 and 120,000 professionals. Without structural change, those targets will be impossible to reach. Worse, the future of AI risks being built by a shrinking and unrepresentative segment of the population.

The report claims that if underrepresented groups continue to exit, or are excluded from high-impact roles, the products and platforms shaping our digital future will reflect a narrow worldview.

Only 3% of women surveyed cite caregiving as their reasons for leaving the tech sector, which is a striking contradiction of one of the industry’s most persistent myths.

Instead, women point to a broken system: 25% say they leave due to a lack of career advancement; 17% because of inadequate recognition; 15% due to pay inequity. Poor culture and lack of support round out the top reasons, with many women navigating a system that sidelines them just when they should be stepping into senior leadership.

But these are not isolated frustrations, the report insists. They are consistent patterns playing out across all levels of seniority.

In fact, nearly 80% of women surveyed have recently left or are thinking of leaving their tech roles, due to the reasons cited above. Attrition peaks around the six- to 15-year mark, just when women should be reaching the heights of their careers.

For many women in tech, the middle of their career is where progress stalls. Instead of stepping into senior roles, they are stuck waiting. More than 75% of women with 11 to 20 years of experience have waited over three years for promotion.

For those with more than 20 years in their field, nearly 40% have waited more than five. That is well above the industry norm of two years, which is the average wait time for men.

Pay is also a major issue, the study reveals. More than half of the women surveyed earn less than the average for their level of seniority, even though 70% have invested in extra qualifications or leadership training to boost their careers.

Despite these challenges, women’s ambition remains strong. Some 90% of those surveyed want to move into management, but only a quarter believe it will happen easily. Many face the same obstacles: limited access to high-impact work, unclear pathways to promotion, and systems that continue to reward the familiar rather than recognise potential.

The report does not stop there, however, it goes on to outline three major shifts that UK tech employers need to make now:

Develop and effectively sponsor women talent: Companies should monitor for signs that employees are stuck and intervene with real, meaningful opportunities. Instead of relying on familiarity or defaulting to “safe” choices, businesses should match people to projects based on skills and potential, and provide mentoring and guidance to accelerate development. They should also regularly audit past high-profile programmes and track career progression metrics by gender to identify and address bias rooted in proximity or affinity. Finally, firms should implement targeted actions for when individuals, or entire teams, are not advancing.

Grow and promote opportunity for women on high profile projects: Employers need to elevate more experienced women by placing them in leadership roles on high-profile projects and recognising their achievements through public acknowledgement and awards. Meanwhile, they should create additional career-building opportunities through appointments to shadow boards or think tanks, helping expand networks and showcase technical expertise. And, finally, co-design career paths that span roles, geographies, and business lines to accelerate career progression and sharpen business acumen.

Make career pathways crystal clear at every level: Vague expectations keep people stuck. Businesses should create written progression frameworks that define roles, competencies, and pay clearly at every level, then embed those frameworks into regular reviews, development plans, and learning opportunities. In addition, they should make it easier for people to move between teams and functions, not just up.

The report states: “This is not a diversity box to tick. It’s a strategic decision with serious implications for competitiveness, capability, and culture. Retaining and advancing women in tech means faster innovation, stronger teams, and more resilient organisations. The companies that act now, by building systems that reflect the skills of tomorrow, not the structures of yesterday, will be the ones that lead the industry forward.”

WeAreTechWomen CEO and founder Dr Vanessa Vallely concluded: “The UK tech sector has no shortage of ambition, but without women, we fall short of our full potential. This report makes it clear: Gender equity in tech isn’t a ‘nice to have’ — it’s a business imperative.

“Women are already leading transformation, shaping innovation, and building the digital future. Now is the time to break the outdated models that hold them back. The path forward is clear. Let’s act and ensure no woman is left behind in tech’s next chapter.”