Drawing on data from more than 28,000 UK retirement accounts and surveys of over 1,300 savers, the research, “A Legacy for the Kids? The Impact of Sexual Orientation on Pension Investment Motives in the UK,” found that sexual orientation does not affect total pension savings, but it does influence saving motivations.
Same savings, different goals
Straight men were significantly more likely to say they save to leave money to future dependents – even when they don’t have children – while gay men were more focused on securing their own financial independence. Once men become parents or caregivers, the gap disappears, with both groups equally motivated to provide for dependents after death. Sexual orientation did not significantly predict saving motives among women.
Rethinking financial inclusion
The study calls on the financial services industry to modernise retirement education by:
Recognising diverse family structures and life goals.
Training professionals to understand differing savings motivations.
Ensuring pension communications engage all savers equally.
Jonathan Lister Parsons, PensionBee Co-Founder and study co-author said: “This research shows that financial planning is influenced not only by income or opportunity, but by the families we imagine for ourselves. Straight men often plan as if they’ll have children one day, while gay men are less likely to build that assumption into their saving goals. The findings suggest that financial systems and pension communications may unconsciously rely on heteronormative assumptions – potentially alienating customers who don’t identify with traditional family structures."
Jasper Martens, PensionBee Chief Marketing Officer and study co-author added: “Financial messaging that focuses on ‘leaving a legacy for the kids’ might resonate with straight savers but risks missing others entirely. True inclusion means recognising that not everyone saves for the same reasons.
“The industry has a real opportunity to lead on inclusion. By understanding why people save – not just how much – we can help everyone feel seen and supported in building financial security.”
Lead author Dr Peter Hegarty from The Open University commented: “Even before becoming parents, social expectations about family formation shape how men think about their financial futures. Our findings underline why inclusive financial education and communication are so vital.”
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