Leaders discussed the progress of the socio-mobility government task force and the establishment of Progress Together, the socioeconomic diversity membership body. Richard Rowntree, managing director for mortgages at Paragon Bank, opened the session.

Rowntree said there had not been a “wake-up moment” about barriers faced by people from working-class backgrounds in the same ways the Black Lives Matter and Me Too movements raised awareness around discrimination faced by Black people and women.

As he went on to say, it can be difficult to identify people from working-class backgrounds because they are reluctant to disclose this information or because their life progression may mask any barriers they faced during their upbringing.

 

Background determines life progression

 

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According to Rowntree, a person’s socioeconomic background is the biggest determining factor in how they progress in life. In fact, those from working-class backgrounds have been found to progress their careers 25% slower than their professional counterparts.

Progress Together aims to widen access to the sector. In 2020, data from The Bridge Group stated that 51% of UK CEOs had a professional background, rising to 89% among those in financial services specifically.

This exclusivity is even more prevalent when considering intersectionality, the complex way in which multiple personal characteristics overlap and give rise to barriers and discrimination, especially for marginalised groups.

Data shows that the UK financial services sector tends to favour certain genders, ethnicities and socioeconomic backgrounds. While white men from professional backgrounds make up 45% of senior positions, women from ethnic minorities make up only 1%.

 

Rowntree said, “Think about how much anger that 1% causes when we talk about wealth inequality in this country. When we talk about this in the same way, we’ve just raised the conversation to another level… This needs fundamental change.”

Progress Together aims to have people from non-professional backgrounds hold 50% of all senior positions in UK financial services. Firms can work towards this goal by recruiting more people from working-class backgrounds and helping them progress in their careers.

 

Talent retention limits progress

 

Rowntree also discussed how employers can inadvertently hinder career progression and damage efforts around diversity and inclusion in the workplace. Managers, “protective of their own talent,” do not always want employees to move away and around the business.

Without the necessary networks and opportunities, people are unable to experience new posts and progress in their careers. This is why “people settle in their role and don’t move,” Rowntree said. “Understand there’s a whole world of opportunity outside your organisation.”

Gone are the days when people would work for one company “from cradle to grave,” he added. Now, there are as many reasons to champion employees of all socioeconomic backgrounds as there are benefits of diversity and inclusion in the workplace.

 

Support employees from working-class backgrounds

 

Following his session, Rowntree chaired a panel discussion with several top industry figures.

 

Making people comfortable

 

Having established that firms have a role to play in helping people from working-class backgrounds feel comfortable being themselves at work, Rowntree invited questions and suggestions from the audience.

Kate Davies, executive director of IMLA, suggested giving praise and feedback to communicate when people are doing well at work and create an environment where people feel recognised and validated.

In response, panellist Amanda Bryden (head of Halifax Intermediaries and Scottish Widows Bank) argued it’s as important to feel safe to give and receive constructive criticism. “If you’ve got the right culture, you’ll have an environment where it’s okay to make mistakes.”

 

Other recommendations from both the panel and the audience included:

 

• Get new recruits to speak and spend time with senior members of staff (Martin Schultheiss, group managing director of Uinsure)
• Gather feedback from staff to help create a work environment that suits everyone (Beverley Loggia, business partner at Lifetime Wealth Management)
• Cultivate an environment where people can be vulnerable and leaders can empathise (Andrew Montlake, managing director of Coreco)

 

Building people’s confidence

 

Next, Martese Carton from Leeds Building Society questioned how to teach people to embrace their differences.

Elaborating, she said that entering an interview with confidence could override any perceived barriers and prevent them from limiting themselves. “It is the confidence and belief in yourself … that will convince whoever you’re speaking to.”

Panellist Rob Gill (managing director of Altura Mortgage Finance) also advised practising meeting people of different demographics in advance of business dealings with people of those demographics to mitigate any feelings of uncertainty and discomfort.

Coming from Skegness to London, Bryden said she initially tried to fit in. But, as she progressed in her career and established herself in the industry, she began to feel more comfortable being authentic.

 

Bryden said: “I’m not quite as polished as some people, but that’s okay because I’ve got a support network around me saying ‘we like you’. That’s the power of the people in this room. And we need to make sure that we do more than keep them in this room.”

 

Key takeaways

 

• Mortgage industry professionals from working-class backgrounds progress in their careers at a slower rate than their more privileged peers
• By monopolising talent in the workplace, firms can prevent people from progressing in their careers and hinder diversity and inclusion efforts in the industry as a whole
• Creating a working environment where employees can be themselves brings out the best in people
• Approaching a job interview or role with confidence can override any perceived disadvantages

 

The DIFF leadership event was a success, with top mortgage industry figures gathering to discuss and progress social mobility, diversity and inclusion in the workplace.

 

Stay up to date with mortgage industry developments and information on how to promote diversity and inclusion in the workplace on our news page.