New DWP update on State Pension age compensation for WASPI women
The Department for Work and Pensions (DWP) has announced that MPs will be able to debate compensation for women affected by changes to their State Pension age next week. Pensions Minister Emma Reynolds confirmed that Conservative MP Sir John Hayes has secured parliamentary time for a debate on the issue on Wednesday, January 15 in Westminster Hall - not the main Commons chamber.
Ms Reynolds confirmed the details in response to Scottish Liberal Democrat MP Angus MacDonald, who had asked if a debate would be scheduled as many MPs have called for an opportunity to discuss the DWP’s recent announcement that there would be no compensation scheme for an estimated 3.5 million 1950s-born women affected by changes to their State Pension age under successive governments.
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In a written response on Thursday, the Pensions Minister said: “Sir John Hayes MP (Conservative, South Holland and The Deepings) has secured a Westminster Hall general debate on the topic of ‘Compensation for women affected by changes to the State Pension age’ on Wednesday 15 January 2024.”
While many will be disappointed that the debate will not be held in the larger arena of the Commons, Westminster Hall is expected to be packed with MPs keen to express their views on behalf of their constituents.
You can watch the debate on Parliament TV here.
The Parliamentary and Health Service Ombudsman’s (PHSO) final report, published on March 21, 2024 stated that “Parliament must urgently identify a mechanism for providing that appropriate remedy” and recommended compensation equivalent to level four on its banding scale, which is worth between £1,000 and £2,950.
However, on December 17, Work and Pensions Secretary Liz Kendall told MPs there would be “no scheme of financial compensation” for those affected by changes to the official age of retirement. However, in the statement to Parliament, Ms Kendall admitted there was maladministration by the DWP and apologised to all women impacted by changes to their retirement age on behalf of the UK Government.
The DWP boss went on to explain the reasoning behind the UK Government’s decision, which focused on research showing that the vast majority of women approaching State Pension age were aware of upcoming retirement changes.
The announcement came as a huge blow to all women affected by the age changes who firmly believed a Labour Government would support their campaign for compensation.
Shortly after the announcement during Prime Minister’s Questions, Sir Keir Starmer told MPs that “ninety per cent of women were aware of the changes” to their State Pension age which campaigners have branded “misleading” and a distortion of the facts.
The Women Against State Pension Inequality campaign (WASPI) said it was now taking fresh legal advice and accused the Prime Minister of spreading “dangerous misinformation” in his defence of how the DWP communicated retirement age changes.
Angela Madden, Chair of the WASPI campaign, explained: “This isn’t just misleading. It’s an insult to millions of 1950s-born women who were blindsided by these changes. The Ombudsman’s findings were based on rigorous evidence showing that 60 per cent of women had no idea their own State Pension age was rising.
“The Government’s attempt to cherry-pick data to suggest otherwise is spreading dangerous misinformation, plain and simple.”
Ms Madden continued: “The fact that 90 per cent of women had some general awareness of potential changes in the future does not mean they knew this would impact them personally.
“That is exactly why the Ombudsman identified maladministration and why this Government’s continued attempts to muddy the waters are so unacceptable.”
After a six-year long investigation, the Ombudsman concluded in March 2024 that the UK Government’s failure to directly inform affected women was maladministration, resulting in financial hardship and emotional distress for millions.
The PHSO recommended compensation at level four of its banding scale - between £1,000 to £2,950 per person. Ms Kendall explained that this would cost between £3.5 billion and £10.5 billion.
The DWP said: “Given the great majority of women knew that the State Pension Age was increasing, the Government does not believe paying a flat rate to all women - at a cost of up to £10.5 billion - would be a fair or proportionate use of taxpayers’ money.”
Ms Madden added: “We are not giving up. The Parliamentary Ombudsman has asked Parliament to step in, and a cross-party group of MPs is meeting to demand a vote on the principle of compensation.
“Keir Starmer has not heard the last of this issue. The Labour Government must act now to address this injustice.”
Public support for compensation soared over the festive period as more than 152,000 people have signed an online petition created and posted by the WASPI campaign calling on the UK Government to “fairly compensate” those affected by changes to their retirement age.
You can read the full petition, and the DWP's response, here.
