New figures from the Office for National Statistics (ONS) paint a sobering picture of the financial sacrifice women in the UK make when they become mothers. The data reveals a significant and lasting economic setback, often referred to as the “motherhood penalty.”
Women lose an average of £65,618 in earnings in the first five years following the birth of their first child.
This steep decline—a 42% drop in monthly earnings for mothers during that initial five-year period—stems from a combination of factors: reduced working hours, slower pay progression, and the ongoing struggle to access quality, affordable childcare.
The Cumulative Cost of Motherhood
The financial penalty doesn’t end with the first child; it increases with each subsequent birth, demonstrating the cumulative strain on a mother’s long-term economic stability:
- First Child: An average loss of £65,618 in the first five years.
- Second Child: An additional £26,317 in lost earnings.
- Third Child: A further loss of £32,456.
This stark economic reality forces many women to make difficult choices. Alice Martin from the Work Foundation described the findings as “a stark and unfair reality for working mothers in the UK,” noting that women “are forced to trade job security and opportunity to manage early motherhood and ongoing childcare.”
The Long-Term Impact on Work and Family Planning
The ONS also found that women are 15% less likely to be in paid employment a year and a half after having a child. And even for those who do remain in the workforce, the long-term income loss persists, impacting everything from pension savings to overall financial security.
It’s no coincidence that this data is released as the UK’s fertility rate has fallen to a record low of 1.41 children per woman. Surveys indicate that over one in five young adults are delaying or completely abandoning plans to start a family, citing financial pressures as a major deterrent. The economic cost of having children is clearly having a direct impact on family planning across the country.
What Can We Do about the “Motherhood Penalty”?
At The Women’s Organisation, we see the lasting economic impact of motherhood every day—on women’s financial security, their career progression, and their entrepreneurial ambitions. These figures are more than just statistics; they represent untapped potential, structural inequality, and a failure of both policy and investment in women.
Reducing the motherhood penalty is not just a matter of fairness; it’s essential for economic growth, labour market resilience, and ensuring every woman can thrive at work and at home.
To effectively close this economic gap, we need decisive action across four key areas:
- ✅ Affordable, accessible childcare for all families: Subsidising childcare is arguably the single most critical intervention to allow mothers to return to and remain in the workforce.
- ✅ Equitable parental leave that supports both parents: Policies must encourage fathers to take on a larger share of early-years care, helping to normalise shared parental responsibility.
- ✅ Flexible and inclusive workplace cultures: Companies need to move beyond token flexible work policies and embed true inclusivity that supports parents’ needs without penalising their career growth.
- ✅ Investment in women’s re-entry pathways and enterprise opportunities: Targeted support is needed for mothers looking to relaunch their careers or start a business after a career break.
The data is clear: the motherhood penalty is real, significant, and a drag on the entire economy. It’s time for structural change to ensure that having a child is a family choice, not a financial sacrifice that disproportionately falls on mothers.