The Disability Pay Gap: UK Data and What Employers Can Do
The Scale of the Problem
The disability pay gap in the UK has persisted for years. The most recent official data (ONS, published October 2024) shows:
- 12.7% median hourly pay gap between disabled and non-disabled employees in 2023 — median hourly pay was £13.69 for disabled employees and £15.69 for non-disabled employees
- The gap has remained relatively stable since 2014
- The gap was wider for men (15.5%) than for women (9.6%)
- Full-time employees faced a wider gap (11.2%) than part-time employees (4.1%)
- Some groups face much larger gaps: disabled employees with autism experienced one of the widest pay gaps, at 27.9%
Why the Gap Exists
The disability pay gap is not explained by a single factor. Common drivers include:
1. Occupational Segregation
Disabled people are more likely to work in lower-paid occupations and less likely to reach higher-paid ones. ONS analysis shows the size of the gap varies considerably by occupation.
2. Part-Time and Flexible Work
Disabled people may work part-time or flexibly to manage their health and energy. If part-time or informally flexible roles are treated as less senior, this can hold back pay.
3. Progression Barriers
Disabled employees can face barriers to promotion, from inaccessible assessment processes to assumptions about capability. The government has noted that disabled people are, on average, less likely to be promoted and paid less than other employees.
4. Under-Use of Formal Flexible Working
Many disabled employees work flexibly but on informal arrangements that are not recognised in pay band criteria, limiting promotion eligibility.
5. Bias in Decision-Making
Performance assessments and promotion decisions made without structure can disadvantage disabled employees — particularly those with non-visible conditions.
Current Reporting Requirements
Today, UK employers report their disability pay gap voluntarily. Unlike gender pay gap reporting, it is not yet a legal requirement.
That is changing. The government consulted on mandatory ethnicity and disability pay gap reporting between 18 March and 10 June 2025, and in its March 2026 response confirmed it will introduce mandatory reporting for employers with 250 or more employees through the Equality (Race and Disability) Bill. The response proposes:
- The same 6 measures already used for gender pay gap reporting
- A binary comparison of disabled and non-disabled employees, using the Equality Act 2010 definition of disability
- Reporting of the share of employees who declared their disability status
- Mandatory action plans to tackle the causes of any pay gaps
- At least 10 employees in each group being reported on
The legislation is not yet in force, so employers with 250 or more staff should prepare now.
How to Conduct a Disability Pay Gap Audit
Step 1: Collect Disability Data
Without employee data, a pay gap analysis is impossible. Encourage voluntary disability self-identification and explain why you are collecting the data and how it will be used. The higher the declaration rate, the more meaningful the analysis.
Step 2: Analyse Pay by Quartile
Divide your workforce into four pay quartiles. What percentage of each quartile identifies as disabled? A bottom-heavy distribution (more disabled employees in lower quartiles) is a key pay gap indicator.
Step 3: Analyse Progression Data
Compare promotion rates for disabled and non-disabled employees at each grade. If disabled employees are promoted at lower rates, this is a root cause that needs addressing.
Step 4: Analyse Flexible Working and Pay
What proportion of disabled employees are on informal flexible arrangements? Do informal flexible arrangements affect bonus eligibility, progression criteria, or pay band access?
Step 5: Publish and Act
Even before reporting becomes mandatory, voluntary publication of a disability pay gap figure signals commitment. Pair it with a narrative action plan.
Actions That Make a Difference
| Action | Why it helps |
|---|---|
| Accessible, skills-based recruitment and shortlisting | Reduces barriers at the first stage of the pipeline |
| Structured promotion criteria (skills-based, not manager discretion) | Removes subjectivity that drives bias |
| Disability inclusive flexible working policy (formal, not informal) | Enables flexible workers to access senior roles |
| Pay transparency (publish pay ranges in job adverts) | Reduces negotiation gaps |
| Disability champion at board level | Creates senior accountability for progress |
Reporting Framework
Whether you report voluntarily now or prepare for mandatory reporting, the government's proposed measures mirror gender pay gap reporting:
- Mean difference in average hourly pay (disabled vs non-disabled)
- Median difference in average hourly pay
- Pay quarters — the percentage of disabled employees in each of four equally sized pay groups
- Mean difference in bonus pay
- Median difference in bonus pay
- Percentage of employees receiving bonus pay
Alongside these, report your declaration rate (the share of employees who told you their disability status) and a narrative action plan explaining drivers and next steps.
Sources: ONS, Disability pay gaps in the UK: 2014 to 2023 (https://www.ons.gov.uk/peoplepopulationandcommunity/healthandsocialcare/disability/articles/disabilitypaygapsintheuk/2014to2023); UK Government, Equality (Race and Disability) Bill: mandatory ethnicity and disability pay gap reporting — consultation and government response (https://www.gov.uk/government/consultations/equality-race-and-disability-bill-mandatory-ethnicity-and-disability-pay-gap-reporting)