UK women given pension warning and 'left with little income'

UK women given pension warning and 'left with little income' Financial experts have explained the worrying situation Divorce battles over money have reached an 18-year high – as experts warn the “real danger” could be that women are being left financially exposed in retirement, with pension sharing being omitted from settlements. Newspage analysis of the latest Ministry of Justice Family Court Statistics, sponsored by Evolution Financial Planning, found that 49,320 financial remedy cases were started in England and Wales in the 12 months to June 2026. Financial remedy cases are the court process used to formally deal with finances following divorce or dissolution, including issues involving property, maintenance, lump sums and pensions. The latest figure is the highest since 2008. There were 47,524 cases started in 2025, compared with 43,869 in 2024 and 37,422 in 2014. That means the annual number increased by 27% between 2014 and 2025. In 2025, 40.4% of respondents in financial remedy cases had no legal representation, up from 28.4% in 2011. Previous Ministry of Justice figures show 10 pension-sharing disposals for every 100 divorces in 2019 – the last available figure. The equivalent figure was 12.5 in every 100 in 2018. The research highlights how some women are left with little income of their own despite dedicating huge amounts of time to caring responsibilities, experts said. Limited opportunity Rebecca Robertson, Independent Financial Adviser, planner and director at Evolution Financial Planning, said: "I have clients who have spent 20 or 25 years caring for children and supporting their family, only to find themselves facing divorce with little income of their own and limited opportunity to rebuild their career. These women aren't looking for special treatment. They're asking for the financial contributions they made through caring responsibilities and supporting the household to be recognised. "As more people try to navigate financial remedy proceedings without professional support, there is a real danger that pensions, often one of the largest assets in a marriage, are overlooked. For many women, that could mean exchanging long-term financial security for short-term survival, with the consequences only becoming apparent when they reach retirement." This can create a huge gap in women's retirement provision, which only becomes obvious years later, according to Philly Ponniah, Chartered Wealth Manager and financial coach at Philly Financial. She said: "A rise in financial remedy cases should mean more couples formally deal with the whole financial picture, including pensions. But it does not guarantee pensions will be shared fairly. "Women are particularly at risk of losing out because they are more likely to have smaller pension pots after career breaks, childcare and lower lifetime earnings. "The rise in people representing themselves also concerns me. Pensions are complex and easy to undervalue or overlook. Someone may fight hard over the house because it feels tangible, while giving up a pension worth hundreds of thousands of pounds. That can create a huge gap in retirement that only becomes obvious years later." Pension assets overlooked While a divorce settlement can focus on trying to keep the property, many people overlook the pension assets they will need later in life. Eamonn Prendergast, Chartered Financial Adviser at Bromley-based Palantir Financial Planning, said: "One of the biggest financial mistakes in divorce can be fighting to keep the house while overlooking the pension that may fund the next 30 years. Pensions are easily misunderstood in divorce. A defined contribution pension has a visible pot, but a final salary pension is a promise of income for life and its cash value may not reflect what that future income is really worth. "This can particularly disadvantage someone with less pension because of childcare, career breaks or part-time work. Taking more of the family home instead of a pension share may solve today's housing problem, but create tomorrow's retirement problem. Pensions don't always need to be divided, but they should never be ignored. "For complex cases, a pension expert can assess the benefits, while a financial planner can model the long-term impact of different settlements. A fair divorce settlement isn't just about today's assets — it's about what both people will have to live on tomorrow." Women left exposed Many couples overlook pensions when negotiating a divorce settlement, but women can be particularly exposed following maternity leave, career breaks and caring responsibilities. Samuel Mather-Holgate, managing director and IFA at Swindon-based Mather and Murray Financial, said: "Divorce is emotional, but the money cannot be sorted on vibes. Too many people focus on the house, the car or keeping things amicable, while the pension quietly becomes the biggest asset nobody has properly valued. That can hit women especially hard, because career breaks, caring responsibilities and lower pension saving already leave many at a disadvantage. "An amicable split is a good aim, but it should not mean walking blind into a lifelong financial mistake. Pension sharing is not a technical footnote; it can be central to whether someone has dignity in retirement. "With more people going into financial remedy hearings without lawyers, the risk is obvious: pensions get missed, misunderstood or traded away too cheaply. Even basic legal advice can stop a fair-minded agreement from becoming an unfair one."