The report, Maximising women's contribution to future economic growth, found there are more than 2.4 million women who are not in work but want to work, and over 1.3 million women who want to increase the number of hours they work. In order to change this the WBC said the UK needs to "unblock this mismatch" and "optimise the potential" to help the economy.
The report also highlighted that equalising participation rates of men and women in the labour market, could increase economic growth by 0.5% a year, with potential gains of around 10% of GDP by 2030.
It warns it's unacceptable that highly skilled and talented women continue to remain behind men in the workplace and states more help is needed for female school children to get ahead in business and employers should be urged to hire more women over 50.
The WBC, which was set up in 2012, advises the Government on issues such as returning to work and how to get more women into executive positions. It has told businesses they must embrace flexible working and understand how best to support working parents in the second stage of their career.
Chair of the WBC, Ruby McGregor-Smith, believes there has never been a "more important" time to "fully capitalise" on the skills and talents of all people, regardless of gender. "We need to ensure that at every stage of a women's career she has the opportunity to learn skills, develop and contribute in a dynamic business environment," she said.
"If we can achieve this, we will unblock the talent pipeline that for so long has restricted women from reaching the most senior levels in business – and we will deliver economic growth."
McGregor-Smith added: "Our recommendations are for both Government and the business community, and cover every stage of women's working lives. Our actions must start with girls and young women if we are to make a lasting impact.
"We must also ensure that parents who wish to return to their careers while raising families, have the opportunity to do so and to fulfil their potential."
Labour's shadow minister for equality, Kate Green, has called on the Government to recognise that women have a valuable economic contribution to make. "It's high time the Government did more to help women into male dominated careers and professions," she said.
"As well as supporting women entrepreneurs, and women at every level of business – instead of making it harder for women to get on," Green added.
Work-life balance organisation, Working Families, has welcomed the recommendation by WBC that more employers should encourage flexible working.
Chief executive, Sarah Jackson, said: "The report recognises that flexible working supports everybody, men and women, and at every stage of their working lives.
"Women starting out at work, becoming parents, taking on caring responsibilities or moving towards retirement will all benefit when flexible working becomes the norm. Offering flexible working widens opportunities for all and supports business growth."
Campaign group, Everywoman has also welcomed the recommendations in the report but co-founder, Karen Gill, said: "Government and businesses can only go so far; women must also be ambitious for their careers if change is to be significant and lasting."
