In the pink: Homosexual‐heterosexual wage differentials in the UK

There are few systematic studies of wage discrimination against homosexuals: none for the UK. This paper studies the earnings of homosexual men and women in the UK relative to their heterosexual counterparts. Homosexuals are identified as individuals living with “same sex partners”. Although gays of either sex earn more than non‐gays, once allowance is made for differences in characteristics gay men appear to be paid less than heterosexuals, while lesbians appear to be paid more. As this implies, the gender pay gap is smaller amongst homosexuals than amongst heterosexuals. The gay male pay penalty is significantly lower in London than elsewhere.